Weely Bitumen Report: Jump in Crude Oil Price and its Positive Effects on Bitumen

According to the latest reports, finally, Israel and Hamas reached a ceasefire agreement in Gaza. In his social media, Donald Trump pointed out the agreements to release Israeli captives. The negotiations for the Gaza ceasefire which were under progress in Doha, mediated by Qatar and the U.S., finally concluded on January 15, before Trump entered the White House. It seems that all the involved parties attempted to abandon the war before Trump’s inauguration.

In the meantime, there is no sign of agreement between Russia and Ukraine, hence, only one of Trump’s promises will probably come true.

In the energy world, the U.S. Energy Information Administration (EIA) forecasted that crude oil prices will bear pressures in 2025 and 2026 due to oversupply.

Reuters, citing the U.S. Energy Information Administration, reported on Tuesday, January 14, in its latest short-term energy outlook that oil prices will be under pressure over the next two years as global supply surpasses demand.

The estimations of EIA show that crude oil production in the U.S. will reach an unprecedented amount of 13 million and 550 thousand barrels per day in 2025, reflecting an increase of 30 thousand barrels compared to previous estimates, reflecting a rise of 30 thousand barrels compared to previous estimates.

For the first time, this organization announced that it is expected that the average price of WTI

will reach 70$ and 62$ per barrel in 2025 and 2026, respectively.

During the last week, because of new international sanctions against Russia, Brent Crude oil prices reached their highest level within the last 4 months and exceeded $80.

The analysts of XM investment firm believe that, given the new sanctions on Moscow and buyers’ efforts to find alternative shipments, storage levels may rise. Additionally, considering the release of consumer index data, prices may decline slightly after the report is published.

On January 16, Brent crude oil reached $82. Singapore’s 180CST closed at $478.

Bitumen prices in Singapore and South Korea were closed at $415 and $405, respectively.

In Bahrain, bitumen prices are still fixed at $395. The range of bitumen prices in Europe was observed at $410-460.

In India, bitumen prices fell by about $3-4 in mid. January. After five consecutive increases, this decrease will not diminish the rise in demand from India.

Considering the air pollution, cold wave, and shutdowns of many centers, the competition for vacuum bottom purchase is still going on and a record of about 16% competition was observed.

It seems that this week the price will remain within the range of the previous week and will not have serious fluctuations.

To check the latest bitumen prices of different destinations, please visit the Infinity Galaxy website: https://infinitygalaxy.org/bitumen-price-today/

This article was prepared by Razieh Gilani, the export manager of Infinity Galaxy.