Iran Crude Prices Slide 5%

Iranian crude oil slipped to $45 per barrel in the week to June 9 amid bearish sentiments that an OPEC-led initiative to erase global oil stocks to lift prices is not enough.

Iran Heavy, the main export grade, slipped $2.39 a barrel, or nearly 5%, to $45.95 in the week while its light crude settled at $44.85, down 4.5% in weekly trade, IRNA reported, citing a report by the Oil Ministry.

The price of OPEC basket of thirteen crudes stood at $44.38 a barrel on Thursday, compared with $45.16 the previous day, according to OPEC Secretariat calculations.

Oil prices have largely remained locked within a narrow range of $45-50 a barrel in the past few weeks.

Last month, 13 members of the Organization of Petroleum Exporting Countries and 11 other producers extended an agreement to cut oil supplies by 1.8 million barrels daily in the first half of 2017 by nine months to March next year.

But most energy stocks fell and crude prices went on a downward spiral on the news of the extension. Some analysts suggested the extension was not enough, adding that the markets expected deeper cuts or more producers to jump on the supply cut bandwagon.

International Brent crude futures settled at $47.37 per barrel and US West Texas Intermediate traded $44.74 a barrel on Friday.

Oil prices have nearly lost all their gains since OPEC announced its supply cut agreement in late November.