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US oil price rises

New York: The US oil price gained on Tuesday amid thin holiday trading.

US crude bounced up as the US government lifted a 40-year-old ban on export of oil last Friday, Xinhua reported.

Analysts believed that lifting the ban will not lead to significant US export shipments for months or even years, but could give crude producers the increased flexibility they desired.

Thanks to the US shale oil revolution, American oil production has almost doubled in the past six years.

By the week ended on December 11, the US crude production added 12,000 to 9.176 million barrels a day, according to the US Energy Information Agency (EIA)’s weekly report.

Brent oil price was dragged down by the global supply glut. On December 4, the Organisation of the Petroleum Exporting Countries (OPEC) decided to keep crude production pumping at current level in the already over supplied market.

The West Texas Intermediate for February delivery moved up 33 cent to settle at $36.14 a barrel on the New York Mercantile Exchange.

Brent crude for February delivery decreased 24 cents to close at $36.11 a barrel on the London ICE Futures Exchange.