Oil Slips as Putin Agrees 30-day Halt on Energy Facility Strikes

A view of an oil pump jack on the prairies near Claresholm, Alberta, Canada January 18, 2025. REUTERS/Todd Korol/File Photo
A view of an oil pump jack on the prairies near Claresholm, Alberta, Canada January 18, 2025. REUTERS/Todd Korol/File Photo
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Oil Slips as Putin Agrees 30-day Halt on Energy Facility Strikes

A view of an oil pump jack on the prairies near Claresholm, Alberta, Canada January 18, 2025. REUTERS/Todd Korol/File Photo
A view of an oil pump jack on the prairies near Claresholm, Alberta, Canada January 18, 2025. REUTERS/Todd Korol/File Photo

Oil prices edged lower on Wednesday after Russia agreed to US President Donald Trump's proposal that Moscow and Kyiv temporarily stop attacking each other's energy infrastructure, a move analysts say could eventually pave the way for Russian oil to enter global markets.

Brent crude futures slipped 11 cents, or 0.16%, to $69.97 a barrel at 1130 GMT. US West Texas Intermediate crude (WTI) was down 12 cents, or 0.18%, at $66.78.

Russian President Vladimir Putin agreed on Tuesday to stop attacking Ukrainian energy facilities but stopped short of endorsing a full 30-day ceasefire that Trump hoped for.

"Crude prices softened on signs of progress towards a ceasefire deal in Ukraine, coupled with wider market weakness as traders and investors worry about the fallout from tariff wars," said Panmure Liberum analyst Ashley Kelty, Reuters reported.

"Even if a deal is struck, it will likely take some time before Russian energy exports increase in a significant way, with the short-term impact being around diversion of flows in order to attract better pricing."

Russia is one of the world's top oil suppliers, but its output has waned since the beginning of the war, which resulted in sanctions on Russian energy.

The deal reduces supply disruption risks and increases the chances for peace that could lead to an easing of energy sanctions on Russia, allowing more supply into the market, said Charalampos Pissouros, senior investment analyst at brokerage XM.

Meanwhile, US tariffs on Canada, Mexico and China have raised recession fears, which also weighed on oil prices as that would have a dampening effect on demand for crude.

Oil markets remain focused on price downside despite rising Middle East tensions, Goldman Sachs analysts said in a note on Wednesday.

Traders are awaiting the outcome of the US Federal Reserve policy meeting which will conclude later in the day.

Interest rate cuts typically boost economic activity and energy demand. However, the Fed is expected to hold its benchmark interest rate steady in the 4.25%-4.50% range, amid investor worries over an economic slowdown due to Trump's tariffs.

Trump vowed to continue his country's assault on Yemen's Houthis and said he would hold Iran responsible for any attacks carried out by the group that has disrupted shipping in the Red Sea.

Israeli airstrikes in Gaza, meanwhile, killed at least 200 people, Palestinian health authorities said, which ended a week-long ceasefire and elevated risks of oil supply being threatened from the broader region.

In the US, crude oil stocks data painted a mixed picture, with crude stocks rising while fuel inventories fell.

Crude stocks were up 4.59 million barrels in the week ended March 14, market sources said, citing American Petroleum Institute figures on Tuesday. Gasoline inventories fell by 1.71 million barrels and distillate stocks were down 2.15 million barrels, they said.

Official government data is due on Wednesday.



Saudi Arabia’s Diriyah Named Among Global Eco-Friendly Destinations for 2025

The recognition stems from a joint effort between the Saudi Tourism Authority and the Diriyah Gate Development Authority. (SPA)
The recognition stems from a joint effort between the Saudi Tourism Authority and the Diriyah Gate Development Authority. (SPA)
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Saudi Arabia’s Diriyah Named Among Global Eco-Friendly Destinations for 2025

The recognition stems from a joint effort between the Saudi Tourism Authority and the Diriyah Gate Development Authority. (SPA)
The recognition stems from a joint effort between the Saudi Tourism Authority and the Diriyah Gate Development Authority. (SPA)

Saudi Arabia’s Diriyah has been named one of the Global Eco-Friendly Destinations for 2025 by the British travel platform Wanderlust, which annually highlights leading destinations committed to sustainable tourism.

The recognition stems from a joint effort between the Saudi Tourism Authority and the Diriyah Gate Development Authority, which submitted a comprehensive nomination highlighting Diriyah’s initiatives in environmental, cultural, and tourism sustainability.

Chief Executive Officer and Board Member of the Saudi Tourism Authority Fahd Hamidaddin stated that Diriyah’s selection underscores the Kingdom’s growing commitment to sustainability in tourism.

“This recognition is a testament to our strategy of empowering local partners and showcasing national destinations in international markets,” he said. “It further solidifies Saudi Arabia’s position on the global tourism map as the fastest-growing destination in the world.”

Chief Executive Officer of the Diriyah Gate Development Authority Jerry Inzerillo said: “This international recognition highlights Diriyah’s role as the cradle of the Saudi state and our dedication to preserving its heritage while applying the highest environmental and cultural sustainability standards.”

“We value the continued collaboration with the Saudi Tourism Authority, which is instrumental in promoting Saudi destinations on the world stage.”

The recognition reaffirms the Kingdom’s expanding global presence in tourism, driven by Vision 2030. The Saudi Tourism Authority continues to support its partners across the tourism ecosystem, aligning efforts to meet ambitious national targets.

In 2024, the Kingdom welcomed approximately 116 million visitors and remains on track to reach its goal of hosting 150 million visitors by 2030. This growth is supported by significant infrastructure investments and vibrant tourism seasons featuring hundreds of immersive experiences and partnership opportunities.