Oil prices declined on Wednesday driven by easing supply concerns following remarks by US President Donald Trump on negotiations with Iran.
International benchmark Brent crude traded at $96.52 per barrel at 9.32 a.m. local time (0632 GMT), down around 3.7% from the previous close of $100.23
US benchmark West Texas Intermediate (WTI) decreased 3.3% to $89.29 per barrel, compared with $92.35 in the previous session.
Trump said the Iranians had sent what he described as a "gift" related to oil and natural gas, adding, "They (Iran) have agreed that they will never possess nuclear weapons."
Stating that active negotiations were ongoing with Iranian officials, Trump refrained from disclosing specific counterparts. However, he noted that US Vice President JD Vance, Secretary of State Marco Rubio, Special Envoy Steve Witkoff and his son-in-law Jared Kushner were involved in the process.
Trump reiterated that negotiations are based on Iran's commitment not to acquire nuclear weapons, adding that Tehran has accepted this condition, and claimed Iran is eager to reach a deal with Washington.
Iranian officials, however, rejected the remarks. IRGC spokesperson Col. Ebrahim Zolfaghari said Tehran's position remains unchanged and ruled out any agreement.
Iranian Foreign Minister Abbas Araghchi also said the Strait of Hormuz remains open to all vessels except those of countries in conflict with Iran.
- Inventory data supports downward pressure
Data indicating a rise in US crude oil inventories also supported the downward movement in prices.
The American Petroleum Institute reported that US crude stocks increased by 2.3 million barrels last week, contrary to market expectations of a 1.3 million-barrel decline.
Official inventory data from the US Energy Information Administration is expected to be released later in the day.
In addition, the Kuwait Petroleum Corporation announced renewed production cuts due to disruptions targeting transit through the Strait of Hormuz, stating that a return to full production capacity would take up to four months once the conflict ends.
Kuwait had previously announced on March 10 that it reduced daily production from 3 million barrels to 500,000 barrels.
By Humeyra Ayaz
Anadolu Agency
energy@aa.com.tr
