Oil approaches three-year high as China dips into reserves

Supply disruption in the Gulf of Mexico could last for months. (Reuters)
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Updated 24 September 2021
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Oil approaches three-year high as China dips into reserves

  • Brent near its highest since October 2018
  • China makes first public sale of state crude

Oil prices rose on Friday, nearing a three-year high, and were headed for a third weekly gain amid continued US supply disruptions.

Brent crude advanced 0.3 percent to $77.45 at 4:38 p.m. Riyadh time, while WTI, the US benchmark, was 0.1 percent higher at $73.35.

This week’s upward momentum was barely interrupted by China’s first public sale of state crude reserves.

Ongoing disruptions in US Gulf Coast production following Hurricane Ida and other storms could last for months and have led to large inventory drawdowns in the US and globally.

US oil refiners looking to replace crude from the Gulf of Mexico have been turning to Iraqi and Canadian oil, while Asian buyers have been pursuing Middle Eastern and Russian grades, analysts and traders told Reuters.

Some OPEC+ members have struggled to raise output because of under-investment or delays to maintenance work during the pandemic.

Brent oil prices could hit $80 a barrel by the end of September, analysts at UBS said in a research note.

Gains were briefly interrupted by China’s first public sale of state oil reserves. State-owned PetroChina and private refiner and chemical producer Hengli Petrochemical bought four cargoes totalling about 4.43 million barrels, sources with direct knowledge of the auction told Reuters.

An energy crunch continued in Europe as some Shell gas stations ran out of fuel in the UK. A shortage of truck drivers forced BP to close some filling stations this week, sparking concern among some consumers that they would be unable to fill up.

Germany’s E.ON will take on customers from a Lower Saxony firm that has decided to quit gas sales as prices have tripled in Europe this year. Surging gas prices have hit consumers worldwide and have squeezed out a number of companies in Britain.


Closing Bell: Saudi main index closes in red at 11,183

Updated 16 February 2026
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Closing Bell: Saudi main index closes in red at 11,183

RIYADH: Saudi Arabia’s Tadawul All Share Index dipped on Monday, losing 44.79 points, or 0.4 percent, to close at 11,183.85.

The total trading turnover of the benchmark index was SR4.05 billion ($1.08 billion), as 69 of the listed stocks advanced, while 191 retreated.

The MSCI Tadawul Index decreased, down 6.63 points or 0.44 percent, to close at 1,504.73.

The Kingdom’s parallel market Nomu lost 328.20 points, or 1.36 percent, to close at 23,764.92. This comes as 22 of the listed stocks advanced, while 49 retreated.

The best-performing stock was Maharah Human Resources Co., with its share price surging by 7.26 percent to SR6.50.

Other top performers included Arabian Cement Co., which saw its share price rise by 6.27 percent to SR22.71, and Saudi Research and Media Group, which saw a 4.3 percent increase to SR104.30.

On the downside, the worst performer of the day was Arabian Internet and Communications Services Co., whose share price fell by 8.01 percent to SR207.80.

Jahez International Co. for Information System Technology and Al-Rajhi Co. for Cooperative Insurance also saw declines, with their shares dropping by 5.61 percent and 4.46 percent to SR12.79 and SR75, respectively.

On the announcement front, Etihad Etisalat Co. announced its financial results for 2025 with a 7.9 percent year-on-year growth in its revenues, to reach SR19.6 billion.

In a Tadawul statement, Mobily said that this growth is attributed to “the expansion of all revenue streams, with a healthy growth in the overall subscriber base.”

Mobily delivered an 11.6 percent increase in net profit, reaching SR3.4 billion in 2025 compared to SR3.1 billion in 2024.

The company’s share price reached SR67.85, marking a 0.37 percent increase on the main market.