The price of crude oil, yesterday surged towards $85 per barrel, the highest so far this year as a result of output shortfalls in Iran, currently being sanctioned by the United States.
The price of Brent rose to $84.17 per barrel from $82.90 while the price of Organisation of Petroleum Exporting Countries, OPEC basket of 15 crudes rose to $81.48 from $80.88per barrel.
OPEC stated: "The price of OPEC basket of fifteen crudes stood at $81.48 a barrel on Friday, compared with $80.88 the previous day, according to OPEC Secretariat calculations.
Nigeria's Bonny Light crude is among the OPEC Reference Basket of Crudes (ORB) which includes 14 others as follows: Saharan Blend (Algeria), Girassol (Angola), Djeno (Congo), Oriente (Ecuador), Zafiro (Equatorial Guinea), Rabi Light (Gabon), Iran Heavy (Islamic Republic of Iran), Basra Light (Iraq), Kuwait Export (Kuwait), Es Sider (Libya), Qatar Marine (Qatar), Arab Light (Saudi Arabia), Murban (UAE) and Merey (Venezuela).
Meanwhile, Reuters indicated in its latest survey, obtained by Vanguard that, the 15-member organisation pumped 32.85 million barrels per day, (bpd) in September, up 90,000 bpd from August's revised level and the highest this year. It stated that the 12 OPEC members bound by a supply-limiting agreement actually cut output by 70,000 bpd because of declines in Iran and Venezuela, boosting compliance with supply targets to 128 percent from a revised 122 percent in August, the survey found.
Oil prices have extended a rally this year on expectations the sanctions on Iran will test OPEC's ability to replace the shortfall, despite the group agreeing in June to pump more after pressure from U.S. President Donald Trump.