The Feb’26 Brent futures reached an early morning low of $62.25/bbl at 06.10 GMT, strengthened slightly to above $62.50/bbl at around 07.30 GMT and softened slightly to below $62.40/bbl at 09.30 GMT (time of writing). Saudi Arabia’s crude exports to China are expected to reach a three-month high in January after Saudi Aramco cut official selling prices to Asia. About 49.5mb (1.6 mb/d) are allocated to Chinese refiners, the most since October, up from under 40 mb in the previous two months. PetroChina, Rongsheng Petrochemical and Shenghong Petrochemical plan to increase liftings, while CNOOC and Hengli Petrochemical will take less. Iraq has resumed output at Lukoil’s West Qurna-2 oilfield, one of the largest globally, after a leak in an export pipeline forced production cuts, two Iraqi energy officials told Reuters this morning. Oil prices had earlier trimmed losses when sources reported that operations were halted at the field, which typically produces about 460 kb/d. Iran is seeking more international partners for its oil and gas sector, promoting “golden investment opportunities,” oil minister Mohsen Paknejad said during talks with Belarus. He noted that Tehran has already secured contracts with “friendly nations” following recent high-level cooperation agreements between the two countries. Under Western sanctions, Iran is increasingly relying on China and Russia, with China taking most of its oil exports. Ukraine is preparing to present a revised peace plan to the White House, refusing to make territorial concessions to Russia after President Volodymyr Zelensky said he has “no right” to surrender land under Ukrainian or international law. The proposal aims to offer alternatives to the US after recent negotiations between American and Ukrainian officials failed to yield an acceptable deal. Zelensky reiterated Kyiv’s position during meetings with European and NATO leaders, who worry that a deal involving major territorial concessions could leave Ukraine vulnerable to future aggression. Finally, at the time of writing, the front-month Feb/Mar’26 and 6-month Feb/Aug’26 spreads are at $0.32/bbl and $0.78/bbl, respectively.
