Global crude oil prices declined after signs emerged that operations had resumed at Russia’s key Black Sea port, Novorossiysk. The port had halted activity last week due to damage caused by a Ukrainian strike, but the situation appears to be stabilising. This has reduced immediate concerns about supply disruptions in the global market.
Brent crude futures dropped by 58 cents, or 0.9%, to USD 63.81 per barrel.
US West Texas Intermediate (WTI) crude fell by 59 cents, or 1.0%, to USD 59.50 per barrel.
Two tankers were seen stationed at Novorossiysk on Sunday, indicating that operations at the terminals have restarted. Reports suggest that crude loading has resumed, helping calm prices that had risen due to fears of prolonged supply interruptions.
Oil had gained a slight weekly increase earlier as geopolitical risks influenced market behaviour.
The attack on the Russian port and the recent seizure of a tanker near the Strait of Hormuz by Iran added a risk premium to prices. These developments created temporary upward pressure as traders anticipated possible supply shortages.
Despite these concerns, the market continues to face a significant surplus. OPEC+ members and producers outside the group have increased output, preventing prices from rising sharply. The higher production levels have added to global stocks and kept the market well supplied.
Refinery margins have strengthened globally. This rise is driven by tighter supplies of diesel and gasoline. The shortages stem from repeated strikes on Russia’s energy infrastructure, disruptions at major refining facilities in Asia and Africa, and long-term shutdowns in Europe and the United States.
With less refined fuel available in key markets, refiners are benefiting from improved margins despite uncertainties in crude prices.
In another development, Serbia signalled interest in taking control of its only oil refinery operator, NIS AD. The government is willing to offer a premium to secure ownership. The move aims to shield the company from US sanctions linked to its Russian ownership. The current owners are in discussions with potential investors from Asia and Europe who may consider acquiring the stake.
Read more: Dividends & Bonus Issue This Week (November 17–21, 2025): Ashok Leyland, Asian Paints, IRCTC & More.
The resumption of activity at Novorossiysk has eased immediate concerns in the oil market, bringing prices down after a week of tension. While geopolitical risks continue to influence sentiment, rising global production and adequate supply are keeping prices in check. At the same time, refined fuel shortages are lifting refinery margins worldwide, showing how different segments of the energy market are moving in contrasting directions.
Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.
Investments in the securities market are subject to market risks. Read all the related documents carefully before investing.
Published on: Nov 17, 2025, 8:58 AM IST
We're Live on WhatsApp! Join our channel for market insights & updates
Get the link to download the App
EN