Mumbai: Drone attacks at the world's largest oil processing facility of Aramco in Saudi Arabia and the recent optimism in US-China trade relations could boost oil prices, analysts have said.
The drone attacks claimed by Yemen's Houthi rebels set alight two major oil facilities run by the state-owned company Aramco in Saudi Arabia on Saturday, the Kingdom's Interior Ministry said.
Owing to subdued demand and trade tension, Brent Crude declined for the fourth consecutive session on Friday.
Brent crude oil prices closed on Friday, slightly higher than the $60 barrel.
"News of attack on a major oil producer as well as the easing of trade tension will certainly boost the oil prices," Anuj Gupta of Angel Broking told IANS.
However, experts noted that the global growth concerns could cap the gains in the oil prices.
The Saudi Press Agency, citing a statement by the Ministry, said that the drones caused the fire at the refinery in the city of Abqaiq in the Kingdom's oil-rich Eastern Province, as well as the blaze at the Khurais oil field, around 150 km from Riyadh.