Oil falls 0.7% as G7 boosts supply

• Brent crude fell 0.7% to $101.59 a barrel, while WTI dropped 1.2% to $90.05 as additional supplies eased immediate market concerns.
• G7 countries agreed to release 100 million barrels of diesel and crude from emergency reserves as Middle East exports recovered.
• Oil remained supported above recent levels by continued attacks and shipping risks around the Gulf and uncertainty over future OPEC+ production capacity.

Brent crude fell 0.7% to $101.59 a barrel on Monday while West Texas Intermediate dropped 1.2% to $90.05 as rising Middle East exports and emergency reserve releases increased available supply.

The decline followed a G7 agreement to release 100 million barrels of diesel and crude from emergency reserves over several months while avoiding new energy export restrictions.

“The G7 decision to tap strategic reserves is taking some of the immediate supply anxiety out of the price,” said KCM Trade Chief Analyst Tim Waterer.

Middle East crude exports exceeded pre-war levels on several days in late September, with average flows around October 1 reaching about 18.5 million barrels per day versus roughly 18 million before the conflict.

Brent was down 72 cents at $101.59 while WTI lost $1.05 to $90.05 by 0634 GMT, although continuing Gulf shipping and infrastructure risks limited the decline.

OPEC+ also kept November production targets unchanged while a capacity assessment used to help determine members’ 2027 output quotas was delayed until around mid-November because regional disruptions complicated the review.

Oil-market logistics remain strained despite recovering crude volumes, with higher tanker and insurance costs and attacks around major shipping routes continuing to increase the cost and complexity of moving Middle Eastern supply.