Russia, US, Saudi Arabia produce 33% of global oil supplies

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This month, according to Reuters, estimates of Iranian crude exports have varied by more than 1 million bpd, which is enough to cover Turkey's oil demand.

He further said supply of one million barrels of oil at the trade floor of IRENEX would continue with the current trend, and changes could be made if needed in future supplies.

Even with US sanctions on Iranian exports due to come into force on November 4, oil prices have fallen about $10 a barrel since four-year highs reached in early October.

The U.S. said Tuesday it is considering sanctions "exemptions" for countries that have majorly cut their dependence on Iranian oil ahead of a key deadline next week.

State-owned oil companies have already placed an order for 1.25 million tonnes of Iranian oil for November.

EIA also forecast WTI prices to increase at a slightly slower rate, leading to a widening of the Brent-WTI spread to 9 dollars per barrel in October.

However, the effects of the US withdrawal from the Joint Comprehensive Plan of Action (JCPOA) in May, the resumption of Iran sanctions and the potential response from other countries pose significant uncertainty to the forecast.

The tight market in Asia is visible in the low amount of unsold crude oil stored on tankers on waters around Singapore and southern Malaysia, the region's main oil trading and storage hub.

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Last week, Saudi OPEC governor Adeeb Al-Aama reportedly said the oil market could shift into oversupply in the last quarter of the year and that OPEC may have to return to oil production cuts.

Oil prices dipped on Monday amid cautious sentiment as a plunge in financial markets last week and dollar strength early this week underscored concerns that growth may be slowing, especially in Asia's emerging economies. Meanwhile, Brent further increased 0.74 dollars to 77.63 US dollars per barrel.

The Iranian official also spoke about "European resistance" to USA and the help of "friendly countries", such as Russian Federation and China.

Around 300,000 bpd of crude oil previously pumped and exported in the Kirkuk province to the Turkish port of Ceyhan have been shut in since the Iraqi federal government moved in October previous year to take control over the oil fields in Kirkuk from Kurdish forces. USA supply data also showed a sixth straight weekly rise in domestic crude inventories.

The second round of USA sanctions reimposed by president Donald Trump in May kick in on November 4.

"What is happening today is a lie that U.S. policymakers are telling the people of the world and the Americans that Iran's oil supplies should be replaced by Saudi Arabia so that oil prices would not rise", he said. -China trade war are stirring demand-growth concerns.

Data from the U.S. Energy Information Administration last Wednesday revealed that U.S. crude stockpiles rose for a fifth straight week.

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