Oil Holds Near $89 WTI as Inventories, Benin Offset Iran Risks

Oil prices edged higher Friday as Middle East supply risk and signs of surplus pulled in opposite directions. WTI crude was at $89.06, up $0.32, or 0.36%, according to live price data. Brent crude was $96.26, up $0.44, or 0.46%. Natural gas was $3.24, down 10 cents.

For Williston Basin producers, the Bakken differential was minus $3.42 versus WTI. That means Bakken crude was priced below the U.S. benchmark by $3.42 per barrel in the latest data, a spread that directly affects realized revenue for North Dakota operators and royalty owners.

Rigzone reported that crude fluctuated as Iran tensions persisted, with Brent settling near $96 as Middle East supply risks offset signs of an oil surplus. The tension between geopolitical risk and inventory data framed the day’s modest gains.

Pressure on prices came from U.S. inventory data. According to Rigzone, citing the EIA’s latest weekly petroleum status report, commercial crude oil stocks not including the Strategic Petroleum Reserve rose almost 5 million barrels week on week. The report showed stocks at 414.417 million barrels on Nov. 6. Higher crude inventories typically signal that supply is outpacing near-term demand, a backdrop that can restrain WTI and, by extension, Bakken pricing.

New supply signals also weighed on the market. Rigzone reported that Benin shipped its first crude cargo in decades from a revived oil field, rejoining the ranks of West Africa’s oil-exporting states. The story does not provide a cargo volume or destination, but the headline itself points to another incremental source of crude entering global trade, adding to the supply picture that traders are watching alongside Iran-related risk.

For Bakken operators, the day’s price action was mixed but supportive at the top end. WTI’s move above $89 keeps oil revenue relatively firm compared with natural gas, which fell to $3.24. That matters in North Dakota, where many wells produce associated gas and operators must capture, process or manage gas volumes alongside crude. A softer gas price can tighten margins on gas handling, while strong crude helps offset production costs and lease operating expenses.

The Bakken differential remains a practical issue. At minus $3.42, producers are not receiving the WTI headline price for their barrels. The spread reflects the market’s pricing of crude sold in the Williston Basin relative to the benchmark, and royalty owners should expect their gross revenue calculations to follow the posted or realized price net of that differential, subject to lease terms.

Overall, the market is trading between two forces: risk premiums tied to Iran tensions and a more bearish inventory and supply outlook. Rigzone’s reporting on Benin and the EIA inventory build showed the latter was enough to limit gains, while Middle East risk kept Brent near $96. For North Dakota producers, the result is a modestly higher oil benchmark, a slightly lower gas benchmark and a Bakken differential that continues to shape realized prices.