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News of the major Forties pipeline in the North Sea remaining shut for repairs until early January likely supported prices.

Allegedly, OPEC is working on a contingency or exit strategy for the current oil production cut agreement between OPEC and a row of non-OPEC oil producers. The agreement was extended last month and the aim is to reduce the global oil inventories to 5-year average. According to Al-Falih, energy minister for Saudi Arabia, the global surplus is around 150 mio. barrels of crude. OPEC will meet again in June next year.

Earlier this week, Saudi Arabia in a budget statement forecast a 12% increase in revenue from oil sales next year. Budget data from Iraq, Qatar and Iran suggested similar expectations.

Turning to the financial markets, U.S. passed a business tax bill earlier this week – reducing business tax from 35% to 19% in an attempt to spur growth in country – potentially leading to increased oil demand.