Oil prices jumped on global markets Sunday night after a wave of weekend drone attacks instantly erased half of Saudi Arabia’s oil production. Brent crude on Sunday traded at $70.98 per barrel on oil futures markets, an 18 percent surge from Friday’s close of $60.15, before falling back to about a 12 percent increase. Saudi commentators claim that there are adequate reserves to cover the shortfall and that it is not a long term issue. However, speculation over prices and supply are inevitable.
Petrol prices in Australia may be set to rise to around $2.00 per liter. in the wake of this current situation. The Australian Government gave assurances that it is not an emergency situation as the oil supply to Australia will continue and claims that Australian Reserves are adequate for this situation.
However, Opposition Leader Anthony Albenese has claimed that the government has no proper emergency plan and is not mature enough as a government to implement a proper crisis strategy under such circumstances. He cites the fact that the LNP has repeatedly rejected the Labor party’s warnings, proposed plans and recommendations in relation to such matters.
