By OGJ editors
HOUSTON, Feb. 7 -- Energy markets generally shrugged off international tension over Venezuela and Iran Feb. 6 as futures prices for crude oil fell in New York and Europe.
In the lingering dispute between Venezuela and the US, Venezuelan President Hugo Chavez threatened the sale of Petroleos de Venezuela SA's Citgo refineries in the US, saying PDVSA could sell its crude oil elsewhere. The Citgo refineries are configured for Venezuela's heavy, sour crude.
The threat came after the US on Feb. 3 expelled a Venezuelan diplomat in retaliation for Venezuela's Feb. 2 expulsion from Caracas of a naval attache on suspicion of spying.
Iran sustained international worry about its nuclear research program by telling the International Atomic Energy Association to remove surveillance equipment and seals from its facilities. Its move, widely expected, came 2 days after the IAEA took concerns about the nuclear program to the United Nations Security Council.
US energy markets, however, acted more concerned about unseasonably warm weather in most of the country and prospects for a strong weekly inventory build.
Energy prices
The futures price for March delivery of light, sweet crude on the New York Mercantile Exchange closed Feb. 6 at $65.11/bbl, down 26¢ from its level of the previous trading day. The spot price of West Texas Intermediate crude at Cushing, Okla., fell 25¢ to $65.13/bbl.
The NYMEX March contract for gasoline fell 3.75¢ to $1.64/gal. The heating oil futures price slipped 1.88¢ to $1.76/gal.
In London, the March International Petroleum Exchange contract for North Sea Brent crude slipped by 6¢ to $63.33/bbl. The London gas oil contract settled at $537.75/tonne, down 50¢.
The Organization of Petroleum Exporting Countries' composite price for 11 benchmark crudes gained 88¢ Feb. 6 to $59.34/bbl.
The NYMEX natural gas contract fell 61.8¢ to $8/MMbtu Feb. 6.
