Oil continued to rise after Ukraine attacked more Russian energy facilities over the weekend
Oil continued to rise on Monday as Ukrainian drone strikes on Russian refineries disrupted crude and fuel exports, while also reflecting rising US fuel demand.
Brent crude futures rose 47 cents, or 0.7%, to $67.46 a barrel by 06:22 GMT, while WTI crude futures rose 48 cents, or 0.8%, to $63.17 a barrel.
Both contracts gained more than 1% last week as Ukraine escalated its attacks on Russian oil infrastructure, including Primorsk, its largest oil export terminal, and the Kirishinefteorgsintez refinery, one of Russia's two largest refineries.
The attacks signal a growing plan to disrupt international oil markets, potentially putting upward pressure on oil prices.
Primorsk has a capacity to handle approximately 1 million barrels of crude oil per day, making it a major export hub for Russian oil and the largest port in Western Russia.
The Kirishi refinery, operated by Surgutneftega, processes approximately 17.7 million metric tons of Russian crude oil annually, or 355,000 barrels per day, equivalent to 6.4% of the country's total.
Despite concerns about oversupply as OPEC+ plans to increase production, Ukraine's attack on Russian oil export infrastructure represents a strategic move and poses upside risks to forecasts.
Pressure on Russia is increasing after Trump reiterated on Sunday that he is willing to impose sanctions on Russia, but this rhetoric requires Europe to act in concert with the US.
Investors are also closely watching the US-China trade talks that began in Madrid on Sunday, at a time when Washington is demanding that its allies impose tariffs on Chinese imports due to their purchases of Russian oil.
Last week, weak job creation data and rising inflation in the US raised concerns about economic growth in the world's largest economy and oil consumer, but the Fed is likely to cut interest rates at its September 16-17 meetings.
Related Articles
Oil prices are rising as supply concerns increase amid expectations of a prolonged conflict in the Middle East
Oil prices continued to rise following US and Iranian attacks on ships serving their respective purposes
Oil prices closed higher this week following renewed US-Iran hostilities
