Oil prices fell on Tuesday, with anticipation of the nuclear talks between the United States and Iran and with concern about its possibility to supply oil to Europe.
According to tanker trackers, Iran’s crude oil exports are at least 1 million barrels per day lower than their level in 2018 when former US President Donald Trump withdrew from the nuclear deal.
Oil is down more than $40 from its peak after the Russian invasion of Ukraine, which briefly raised the price of Brent crude to $139 a barrel.
Brent crude futures, the standard for delivery in October, decreased by 0.4% to record $96.31 a barrel at the settlement after it fluctuated between $94.90 and $98.40.
The price of US NYMEX crude for September delivery also fell 0.3% to $90.50 a barrel.
U.S. Energy Information Administration (EIA) cut its forecast for gasoline demand this year, with prices continuing to rise at gas stations compared to the same period a year ago.
In its report on short-term prospects, the US government agency expected average crude oil production to reach 11.86 million bpd this year and 12.70 million barrels in 2023, compared to previous estimates of 11.91 and 12.77 million bpd, respectively.
On the other hand, investors are awaiting developments in the supply of crude, after the European Union presented on Monday evening a final text to revive the 2015 Iran nuclear deal, which could increase global oil supplies.
According to Russian pipeline operator Transneft, Russian crude flows through Ukraine to Hungary, Slovakia and the Czech Republic were halted last week, after sanctions prevented the payment of transit fees.