Oil prices slipped on Wednesday despite escalating attacks on the United Arab Emirates’ energy infrastructure, as rising U.S. crude inventories helped offset rising geopolitical risk premiums.
Prices of Brent, the international benchmark, declined 1.17% to $102.19 per barrel. U.S. oil prices fell 1.81%, to $94.56 per barrel as of 10:44 p.m. ET.
Market sources, citing API figures, told Reuters that U.S. crude stocks rose by 6.56 million barrels in the week ended March 13, well above the 380,000 additional barrels expected in a Reuters poll for the same period.
The pullback came even as fresh strikes in the UAE fueled fears of prolonged supply disruptions amid the Iran conflict. Recent incidents included a drone attack on the world’s largest ultra-sour gas facility, a fire at the Fujairah Oil Industry Zone, and damage to a tanker near the Strait of Hormuz.
The UAE reopened its airspace on Tuesday after a temporary shutdown triggered by drone strikes. Meanwhile, operations at the Shah gas field remain suspended following a separate drone attack that caused a fire, authorities said, with no reported injuries.
