Oil prices rise amid political uncertainties

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Oil held gains after an industry report showed an unexpected drop in American crude stockpiles, while traders continued to assess simmering tensions between the US and Saudi Arabia over a missing journalist.

Barkindo said India's crude oil demand was expected to rise by 5.8 million barrels a day (bpd) by 2040, accounting for around 40 per cent of the global demand rise by then.

US gasoline stockpiles fell by 2 million barrels last week, while distillate stockpiles declined by 800,000 barrels, according to the EIA.

The threats came in response to growing global and US outrage with the killing of dissident journalist Jamal Khashoggi in the kingdom's consulate in Turkey, and Riyadh's now admitted role in his disappearance, the Saudi government issued a strong statement warning other nations against imposing penalties.

Brent crude rose 78 cents to US$81.56 a barrel by 2.01pm EDT (1801 GMT), while West Texas Intermediate (WTI) crude was up 30 cents at US$72.08 a barrel. "Big oil producing countries are going off the market under USA sanctions and that has led to turmoil".

Crude oil futures declined sharply on Wednesday, after official data from the Energy Information Administration showed crude stockpiles to have risen larger than expected last week.

News reports and Iranian government documents indicate that Iran has in some cases lowered prices and offered discounts to maintain sales as sanctions loom.

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The area has a strong affinity to the royal family, after a highly successful visit by Prince Charles and Princess Diana in 1983. The news has also revived speculations about Prince Harry's conspiracy to bring America back into the fold of the British reign.

MRPL, which has an annual deal to buy 4.5 million tonnes of Iranian oil, has so far taken about 60-70 percent of its contracted volumes, Venkatesh said.

When asked whether Russian Federation and Saudi Arabia had made a backroom deal to increase oil production, MbS was more tight-lipped, saying only that Saudi Arabia was "ready to supply any demand and any disappearing from Iran".

US Senator Lindsey Graham accused Saudi Crown Prince Mohammed bin Salman of ordering the murder of Saudi journalist Jamal Khashoggi and said the prince was jeopardising relations with the United States.

Opec producers such as Saudi Arabia and allies including Russian Federation may have to reach deep into their spare production capacities to fill the potential supply gap. The U.S. -imposed sanctions go into effect November 4 and prohibit countries from buying Iranian crude exports. Inventories in the American storage hub of Cushing, Oklahoma, have also increased by about 1.8 million barrels last week to more than 28 million barrels, the highest level in nearly four months.

On Prime minister Narendra Modi meeting with captains of domestic and global oil industry on Monday, Mr Pradhan said that Prime Minister was speaking from the prospective of consumer community of emerging economies.

However, its gross refining margin for the three months through September, or profit earned on each barrel of crude processed, fell to $9.50 per barrel, a 3-1/2 year low.