London, Tuesday, 18 January 2022 -
On Tuesday, oil prices soared to their highest level in seven years, owing to supply concerns following an attack by Yemen's Houthi rebel group on Abu Dhabi, as well as supply interruptions caused by several OPEC+ members' failure to meet their monthly quotas.
At 0636 GMT, international benchmark Brent crude was trading at $87.50 per barrel, up 1.18 percent from the previous session's close of $86.48 per barrel.
At the same time, the American benchmark West Texas Intermediate (WTI) was trading at $84.55 a barrel, up 1.50 percent from the previous session's close of $83.30 per barrel.
Both benchmarks have risen by more than $1 as tensions in the United Arab Emirates (UAE) have risen following the explosions of three fuel tanker tankers in the industrial Musaffah region of Abu Dhabi earlier on Monday. A building site at Abu Dhabi International Airport also caught fire.
The Houthi rebels claimed to have carried out a military operation "deep in the UAE," but did not elaborate.
The UAE has stated that it reserves the right to respond to the Houthi attack and has promised that it will not be tolerated.
Since 2015, the UAE has been a member of a Saudi-led coalition fighting Houthi rebels in Yemen.
Shrinking supplies has also aided higher prices, as several members of the Organization of Petroleum Exporting Countries and Allies (OPEC+) are struggling to fulfil their monthly production targets, with less oil pumped than the anticipated 400,000 barrels per day (bpd).
(Editing and research by: The Decision Maker)