Azerbaijani oil falls to $56

Azeri LT CIF crude oil, exported from Azerbaijan to the world markets, decreased by $0.61 (-1.08%), settling at $56.10 per barrel, Report informs.

The lowest price for Azeri Light was recorded on Apr. 21, 2020 ($15.81), and the all-time high of $149.66 was fixed in July 2008.

Oil prices were steady on Jan. 29 as the drawdown in US oil inventories is set to relieve the supply glut, supported by Saudi Arabia's impending oil output cut of 1 million barrels per day (BPD) from February onwards, Anadolu Agency reports.

International benchmark Brent crude was trading at $55.11 per barrel for a 0.02% rise after closing Jan. 28 at $55.10 a barrel.

American benchmark West Texas Intermediate (WTI) was at $52.13 per barrel at the same time for a 0.40% decrease after it ended the previous session at $52.34 a barrel.

Saudi Arabia, the de-facto leader of the Organization of Petroleum Exporting Countries (OPEC) and the primary driver of OPEC+ production cuts, is due to voluntarily reduce its production in February and March by 1 million BPD.

After Saudi Arabia's voluntary reduction, the group's production cut will now reach 8.125 million BPD in February and 8.05 million BPD in March, meaning that OPEC+ will reduce its output in February by 925,000 BPD and 850,000 BPD in March relative to output rates in January.