Oil prices drop in latest market shocker

gasThe Oil market has registered a fall in Crude prices reportedly arising from  oversupply, causing shock especially in the latest and prospective African Oil producers.

Crude has registered a fall of a bout 65% according to market readers causing panic among dealers especially at a time when multinationals and other suppliers are employing measures to revamp prices following the grand fall of price per barrel in June 2014.

According to reuters, oil and gas analysts link the over supply to the Saudi Arabia Led Organisation for Petroleum Exporting countries (OPEC) as they seek to counter the cut throat competition with Western Europe based multinational dealers.

“The oil market is generally oversupplied with high Saudi exports and OPEC is unlikely to cut production,” Tamas Varga, oil analyst at London brokerage PVM Oil Associates told reuters news agency.

Saudi Arabia’s crude exports hit their highest in almost a decade in March, official data showed on Monday, as the top oil exporter increased output to record levels.

The OPEC heavyweight shipped 7.898 million barrels per day (bpd) of crude in March, up from 7.350 million bpd in February, Joint Organisations Data Initiative (JODI) data showed.

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