Oil prices fell slightly on Friday as markets parsed reports that the U.S. was close to gaining access to Venezuela’s oil reserves, while focus was also on U.S.-Iran wrangling over the Strait of Hormuz.

Reports also said Venezuela was considering an exit from the Organization of Petroleum Exporting Countries, amid growing ties with Washington.

Brent oil futures fell 0.3% to $89.45 a barrel by 20:41 ET (00:41 GMT), while West Texas Intermediate crude futures fell 0.2% to $83.39 a barrel.

Both contracts were set to lose between 4% and 5.5% this week, despite a strong rebound on Thursday.

U.S. near deal to access Venezuela’s oil reserves; Caracas mulls OPEC exit
The Donald Trump administration is close to securing long-term access to a portion of Venezuela’s vast crude reserves, Reuters reported on Thursday.

The deal is expected to be signed soon, and will allow the U.S. government to secure a group of Venezuelan oilfields to be developed by American companies, Reuters reported.

Oil markets have been on edge over any potential increases in supply stemming from U.S. control of Venezuela’s oil assets, after Washington ousted leader Nicolas Maduro and took control of the country’s oil industry.

But analysts have also warned that any actual supply increase will take time, given the large amount of development required in Venezuela’s oil infrastructure.

A separate report said Venezuela is considering plans to leave OPEC amid growing ties with the United States. The move would mark the second major exit for the producer group after the United Arab Emirates said it would leave OPEC.

Oil heads for weekly losses amid mixed U.S.-Iran signals
Brent and WTI futures were trading lower for the week, pressured chiefly by earlier reports of Iran and Oman agreeing to allow some traffic through the Strait of Hormuz.

Iran on Thursday said it was preparing a list of conditions for reopening the waterway. The prospect of a reopening in Hormuz had weighed on crude, given that the channel supplied about a fifth of the world’s oil prior to the U.S.-Iran war.

But crude trimmed some of its weekly losses on Thursday after the Wall Street Journal reported that Trump had no interest in returning to a June peace deal with Iran.

Tehran has repeatedly called on the U.S. to honor the terms of their June peace deal before any more negotiation. The deal lapsed earlier in August.

Source: Oilprice.com

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