Oman crude drops to $72.99 as global oil prices slide

Muscat: The GME Oman marker price for the August 2026 Oman Crude Oil Futures Contract fell to $72.99 per barrel on June 16, recording a decline of $3.94, as global oil prices slipped to fresh three-month lows amid easing supply concerns.

The latest price marks a sharp retreat from the recent high seen in Oman crude. The official price of Oman crude for May delivery had surged by $13.84 to reach $166.96 per barrel, as regional tensions and concerns over supply disruption pushed prices sharply higher.

Compared with that recent high, the latest GME marker price is lower by nearly $94 per barrel, reflecting a major shift in market sentiment.

The decline came as international crude prices weakened on Tuesday, with markets weighing the possibility of renewed supply flows through the Strait of Hormuz, softer physical demand and uncertainty over a preliminary deal aimed at ending the Iran conflict.

Brent crude futures fell by $1.44, or 1.7 per cent, to $81.73 a barrel, while US West Texas Intermediate declined by $1.55, or 1.9 per cent, to $79.20 a barrel. Both benchmarks touched their lowest levels since March 10.

Oil prices had already fallen nearly five per cent on Monday after US President Donald Trump said a memorandum of understanding had been signed to end the US-Israeli war with Iran, although full details have not been released.

The Strait of Hormuz remains a key factor for Gulf energy markets, as the waterway normally carries about one-fifth of global oil supplies. Analysts expect any resumption of flows through the strait to add further downward pressure on prices, especially at a time when physical demand indicators have weakened.

Goldman Sachs lowered its fourth-quarter Brent forecast to $80 a barrel from $90, assuming Gulf exports return to pre-war levels by the end of July. Morgan Stanley analysts also pointed to signs of softening physical oil markets in recent weeks.