Rising Middle East Production May Trigger A New Oil Price War

Rising Middle Eastern oil production is making the commodity that comes out of this region cheaper compared to Brent-linked grades, which may lead to a price war, Bloomberg has reported, citing an FGE analyst. “There’s much cheaper crude, and a lot of it coming from the Middle East,” Grayson Lim, a senior oil analyst at the energy consultancy, told Bloomberg.

“Those Brent-linked cargoes will need to be offered at a huge discount for buyers in the [Asia] region to snap up the barrels,” he explained. “But if they’re…