The Mar’26 Brent futures contract has risen this morning, from $60.85/bbl at 07:00 GMT to $61.39/bbl at 10:15 GMT (time of writing). In the news, Ukrainian drones have reportedly hit Russia’s Syzran oil refinery (capacity 170kb/d) overnight, damaging the plant’s primary oil processing unit for the Samara region. The refinery is part of the Samara refinery group of Rosneft and is a major supplier of diesel to Russia’s domestic market. Related, Russian forces have struck a Ukrainian heating plant in the city of Kherson; according to state oil and gas firm Naftogaz, there has been “significant damage” to the facility. These attacks come despite US President Trump claiming progress on overnight Russia-Ukraine peace talks, though “thorny issues” remain. Elsewhere, Saudi Arabia is expected to reduce the February price of its flagship Arab Light crude for Asian buyers for the third consecutive month, due to ample supply. According to a Reuters survey, the selling price is likely to fall 10-30c m/m. In other news, Libya’s Waha Oil Company announced that it has started operating two additional gas wells at its Farigh field. The new fields have a reported daily production rate of 14mcf and 12mcf, respectively. Finally, at the time of writing, the front-month (Mar/Apr’26) and 6-month (Mar/Sep’26) spreads are at $0.33/bbl and $0.58/bbl, respectively.
