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Brent crude drops 1% on talk of emergency oil release

BY DAVID BIRD

NEW YORK -- North Sea Brent crude oil futures fell 1% late Friday amid renewed talk about the prospects for a release from strategic consumer stockpiles amid stubborn high prices.

The Petroleum Economist, a monthly industry journal, on its website, quoted "several sources" who said a release could come as soon as September in response to reduced supplies from Iran. The report said an oil release could be as much as or more than the 60-million-barrel release last year after Libya's supplies were cut by civil war.

The report quoted one source as saying the International Energy Agency, which has opposed the plan, now supports it, but has asked the U.S. not to make a unilateral release.

ICE Brent crude prices have risen 11.4% over the past month, outpacing gains in the U.S. benchmark, which has gained 9.2% from a month ago to the highest levels since early May. ICE Brent for October recently was down 1.2%, or $1.41, at $113.60 a barrel, while Nymex crude was 9 cents lower at $96.18 a barrel.

Dow Jones Newswires

08/24/2012

 

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