Oil inches up to $51/bl

On the eve of Britain’s historic EU referendum, Brent oil is trading high this morning at $51 a barrel as marketers continue to weight up the probability of Britain pulling out of the European union.

Traders do not expect a return to market fundamentals until after this week’s voting.

In the large US market data showed that crude oil stockpiles declined again, continuing the trimming of the amount of oil in storage according to a Goldman Sachs report.

Market analysts said Iran is expected to ramp up spending in the oilfield services markets by more than $6 billion over four years to 2018 as it looks to realize its production targets following the lifting of sanctions, according to a report from Rystad Energy.

Since UN sanctions were lifted in January, Iran’s oil and gas sector has presented the service industry growth opportunities. The total service market in Iran was at $12 billion in 2014, with 60% originating from onshore oil and gas activities, said the report.