Crude Oil Prices Fall on Higher Gulf Supply and Hopes for US-Iran Talks | September 23, 2026

Crude oil prices edged lower on Wednesday, September 23, 2026, as higher Gulf supply and hopes of diplomatic talks between the United States and Iran reduced some of the pressure on crude markets. 

Brent crude futures fell 7 cents, or 0.07%, to $99.18 a barrel as of 0119 GMT. West Texas Intermediate futures declined 35 cents, or 0.39%, to $90.17 a barrel. Brent had settled below $100 on Tuesday for the first time since September 8. 

Saudi Arabia Restores Key Oil Pipeline 

Saudi Arabia restarted operations on its East-West Pipeline to the Red Sea on Tuesday, according to sources familiar with the matter. The pipeline had been shut on September 11, 2026, after drone attacks, which Saudi Arabia blamed on an Iraqi militia, disrupted crude loadings at Yanbu port. 

The pipeline has become an important alternative route for Saudi crude after the conflict disrupted oil flows through the Strait of Hormuz. Riyadh has been using it to redirect around 4 million barrels per day to Yanbu, equivalent to about 4% of global oil supply. 

Iraq Plans Higher Oil Exports 

Iraq is also increasing crude exports. Oil Minister Basim Mohammed said the country is currently exporting more than 3 million barrels per day and expects shipments through Turkey to rise above 600,000 barrels per day. 

Shiptracking data from Vortexa and Kpler showed Iraqi crude exports in August 2026 at 2.3 million and 2.17 million barrels per day, respectively. Both figures were higher than July 2026 levels but remained below pre-war levels recorded in February. 

US-Iran Talks Add to Market Hopes 

Hopes for a diplomatic solution to the conflict have also weighed on oil prices. US President Donald Trump said his envoys Steve Witkoff and Jared Kushner had held productive discussions with Iranian mediators in New York. 

Trump also warned of severe military action against Iran, leaving markets to assess the conflicting signals surrounding the potential talks. 

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US Crude Inventories Rise 

US crude inventories increased by 1.8 million barrels in the week ended September 18, according to industry data. Analysts polled by Reuters had expected inventories to decline. Official weekly inventory figures from the US Energy Information Administration are due later on Wednesday. 

Conclusion 

Oil prices remain under pressure as additional Gulf supply, higher Iraqi exports and hopes for US-Iran talks offset concerns about disruption in the Middle East. Traders are also awaiting the latest US inventory data for further indications of market demand and supply. 

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