Crude oil price rose to over $71 per barrel on Friday, due to supply worries in Nigeria, tension in Iran and speculations that US companies may have to increase production to meet demand for gas with a series of refinery halts.
Benchmark London crude today climbed 38 cents to $71.10 per barrel. US light sweet crude rose 44 cents to $64.62, after slipping $1.59 in the previous session.
Workers at Nigeria's Port Harcourt refinery declared an indefinite strike over welfare issues on Thursday and unions said oil output would be targeted, if demands were not addressed soon. The strike, which is linked to the privatisation of the country's largest oil refinery, is expected to hit domestic fuel supplies initially.
Violence in Nigeria, world's eighth-largest oil exporter, has led to shutdowns there, and led to fall in about a quarter of production since Feb 2006.
Tensions between Iran and the West over Tehran's nuclear plans also supported oil prices. Iran, which has repeatedly ignored the West's calls to stop its uranium enrichment programme, may retaliate by cutting oil supplies, if the United Nations imposed wider sanctions.
In the US, there are worries of a shortfall in oil supply at the beginning of the peak summer driving season.
Benchmark London crude today climbed 38 cents to $71.10 per barrel. US light sweet crude rose 44 cents to $64.62, after slipping $1.59 in the previous session.
Workers at Nigeria's Port Harcourt refinery declared an indefinite strike over welfare issues on Thursday and unions said oil output would be targeted, if demands were not addressed soon. The strike, which is linked to the privatisation of the country's largest oil refinery, is expected to hit domestic fuel supplies initially.
Violence in Nigeria, world's eighth-largest oil exporter, has led to shutdowns there, and led to fall in about a quarter of production since Feb 2006.
Tensions between Iran and the West over Tehran's nuclear plans also supported oil prices. Iran, which has repeatedly ignored the West's calls to stop its uranium enrichment programme, may retaliate by cutting oil supplies, if the United Nations imposed wider sanctions.
In the US, there are worries of a shortfall in oil supply at the beginning of the peak summer driving season.
