WTI eases to $85 as Iraq-Turkey oil pipeline flow to resume soon

The Iraq-Turkey oil pipeline is reportedly said to restart soon, Bloomberg reported, citing a Turkish official.

The official said the pipeline flow will resume in about an hour, adding that Turkey is investigating whether the blast in the south of the country, near the Syrian border, was caused by sabotage.

The key pipeline, carrying oil supplies from Iraq to Turkey was knocked down on Tuesday after an explosion hit in the province of Kahramanmaras, at kilometer 511 on the route to Ceyhan.

The pipeline moved more than 450,000 barrels a day last year, per Bloomberg.

Market reaction

WTI extends its retreat from seven-year highs of $86.31 on the pipeline restarting news, currently trading at $85.28, almost unchanged on the day.