Baghdad: Oil prices fell for the fifth straight session following a preliminary agreement between Iraq’s federal government and the Kurdish regional administration to restart an oil pipeline, raising oversupply concerns in the market. Brent crude futures decreased by 42 cents, or 0.63%, to $66.15 a barrel, while US West Texas Intermediate (WTI) crude dropped 36 cents, or 0.58%, settling at $61.92 a barrel. Both contracts have experienced a five-session losing streak, cumulatively declining by 4%.

According to Oman News Agency, the agreement between Iraq and the Kurdish regional governments involves oil firms resuming crude exports via Turkiye. This development is expected to allow the resumption of approximately 230,000 barrels per day (bpd) from Iraqi Kurdistan, which had been halted since March 2023. The resumption of these exports is seen as a critical move in alleviating the suspension that has impacted regional oil output significantly.