Iran Crude Oil Trading Above $50

Iran's oil export grades topped the $50-per-barrel mark in the week ending Dec. 16, supported by a decision of OPEC producers and outside producers to slash production to alleviate a global oversupply that has depressed prices for more than two years.

Iran Heavy, the country's main export grade, traded at $51.70 per barrel in the week, gaining $2.02 over the previous week. Iran's light crude averaged $51.70 a barrel in the said period, up $1.04, Shana reported on Saturday, citing a report by the Oil Ministry.

Iran's heavy and light blends have averaged $38.68 per barrel and $40.60 per barrel respectively in 2016.

Members of the Organization of Petroleum Exporting Countries reached a decision last month to reduce production by more than 1.2 million barrels to lock their collective output at 32.5 million barrels per day through the first half of next year. Some non-OPEC countries, including Russia, pledged to cut production by another 600,000 barrels.

Oil is trading around its highest since mid-2015. International benchmark Brent crude was down 34 cents at $54.71 on Friday, the last trading day in the US and Europe. It reached $57.89 per barrel, the highest since July 2015, on Dec. 12. US West Texas Intermediate crude fell 37 cents to $52.58

However uncertainties on whether producers will stick to their planned cuts have pared gains.

OPEC's basket price of 14 crudes settled down last month at $43.22 per barrel from the October average of $47.87 a barrel, according to OPEC's monthly report.