Managers warn tensions in Middle East could lead to elevated oil prices

Following drone attacks on Saudi oil fields

Markets were blindsided earlier this month by a shock attack on oil supplies in Saudi Arabia, wiping out six million barrels per day (bpd) or 5% to 6% of the global oil supply and prompting the price of Brent Crude to soar 20%, with one commentator warning the oil price could breach triple digits by early 2020.

Drone attacks, allegedly by Houthi rebels, on state oil company Abqaiq's refinery and a plant in the Khurais field caused the suspension of 5.7 million barrels of crude oil production per day - thought to be the largest sudden stoppage in modern history, driving the price of Brent Crude to a high of $70.88, up 20% at the start of trading on 9 September, before it fell back to close trading at $69 a barrel, up 14.6%.  The spike marked the steepest crude market price surge since 1988. The peak in oil prices hit in 2008 when Brent Crude reached $147 per barrel. Tyler Rosenlicht, head of ...