Excess crude account swells as oil price leaps towards $80

Carbone's remarks inspired CNBC co-panelist and contributor Ron Insana - who worries that oil could climb to as high as $100 per barrel this year due to geopolitical tensions - to remark that said tensions are "a risk I don't think is fully discounted by the markets yet".

In his statement he also mentioned Kharg Island, which has recently seen a number of changes made to the oil sales strategy to reach a new oil exports capacity of 8 million barrels of oil and related products combined.

"We find current situation worrying as it affects worldwide commerce, as other sanctions do; though what's key to note is that we worry not about not having access to crude oil, but to the price of crude", Saras' Dario Scaffardi said on an analyst call, adding that "history shows these tensions are not positive for commerce". Historically, the negative consumption response dominated the increase in oil investment.

U.S. West Texas Intermediate (WTI) crude futures were at $70.44 a barrel, down 26 cents, or 0.3 percent.

Global benchmark Brent gained US$1.11 to settle at US$78.23 a barrel.

Global oil supplies are plentiful enough to withstand a "significant reduction" in petroleum exports from Iran, according to a White House memo issued on Monday as the Trump administration prepares to reimpose sanctions on the OPEC member nation.

"That absolute plunge in Venezuelan production. just highlights how tenuous the market is in terms of the supply-and-demand balance", said John Kilduff, a partner at Again Capital LLC.

The motoring organisation said the decision could cause price rises of more than 2p per litre over the coming weeks, after the United States decision saw the price of Brent Crude oil jump to $77 (£56.84) a barrel - the highest level since November 2014.

Earlier in the week, the CEO of Italy's Eni said Europe should use its diplomatic clout with the U.S. to limit the impact of renewed sanctions against Iran. With WTI's price above $70 a barrel, that increase wasn't surprising, ING strategists said in a note.

"I think the irony of what the president might do [is that it] will isolate the USA, not isolate Iran", Sherman said during the call, which was hosted by the progressive National Security Action and Diplomacy Works coalitions.

The country produced 3.813 million barrels per day of crude oil in March, the report read.

According to the RAC's fuel spokesman, Simon Williams, the weak pound and high oil prices are a "toxic combination" for drivers anxious about the cost of filling up. Further, higher incremental liquefaction capacity of almost 40 million tonnes in the next 2 years, we expect spot LNG prices to soften to $6-7/mmbtu in near to medium term.

Jon Jones has reacted to Chuck Liddell's call-out following comeback announcement
Kim Jong Un understands phased denuclearization 'failed repeatedly' - Pompeo