The price of Brent crude gained $12 in early trading on Monday to hit $71.95 per barrel after an attack on oil facilities in Saudi Arabia.
Yemen’s Houthi rebels had claimed responsibility for attacks on Saudi Aramco oil facilities in Abqaiq where the world’s biggest crude-processing facility is located and the kingdom’s second-biggest oil field in Khurais saying 10 drones were deployed for the attack.
The attack cut five percent of global oil supply and it is estimated that Saudi lost 5.7 million barrels of its 9.8 million barrels daily production according to the August data provided by the Organisation of Petroleum Exporting Countries (OPEC).
Brent crude futures, the international benchmark of crude oil, recorded its biggest gain since it was launched in seconds when trading opened on Monday.
The price of West Texas Intermediate crude, which is traded by the United States of America, was also higher by 9.5%, hitting $60.06 per barrel.
In a series of tweets on Sunday night, Donald Trump, president of the US, said he has ordered the release of the country’s oil reserves to keep the markets well-supplied.
According to the International Energy Agency (IEA), the loss suffered is higher than that suffered by Iran during the Islamic Revolution in 1979.
It is also higher than the August 1990 drop in Kuwaiti and Iraqi oil output when Saddam Hussein invaded the Middle East country.