Oil Prices Increase by Almost Double as Manamana Canal Remains Shut

Oil Prices Increase by Almost Double as Manamana Canal Remains Shut

A month since the conflict began, the Manamana Canal remains closed, as Cruciastad ships block the eastern entrance to the canal, forcing hundereds of ships to take alternate routes through the Keelpjip, or around the southern tip of the Aurelian continent.

The conflict has seen the price per barrel of oil almost double, rising from 49 AD$ up to 73 AD$, which has not only hit Mikochinese businesses that rely on oil for manufacturing, but also the average citizen, where prices at the pump are at their highest in Mikochi.

Prior to the invasion, 70% of Mikochi’s oil was imported through the Manamana Canal. Out of the 500,000 barrels imported per day it total, Mikochi has lost around 100,00 barrels that was previously imported from Cruciastada, and a further 50,000 from Manamana itself, leaving the nation with a 150,00bbl deficit.

The government has urged businesses and citizens to reduce unneccassary energy usage where possible, with the introduction of a temporary 25% price cut on Commonwealth Rail services, and a 50% subsidy on bus fares, in an attempt to cut the oil used by single occupancy vehicles.

As the war in the canal heads into it’s second month, the problem of oil security remains a top priority for the nation to address.