Oil Prices Rise Over Supply Concerns

Political instability in Nigeria has caused oil prices to dip today following yesterday's trading record of US$100 a barrel.

Supply concerns over Africa's largest oil producer were prompted after an attack on civilians and policemen at Port Harcourt, a crucial supply hub.

The violence did not impact oil flow but has reignited fears of further militant attacks which have reduced Nigeria's crude output by roughly 20 percent since 2006, writes Associated Press.

Several Mexican oil export ports which were closed due to rough weather also added to the rise in prices.

Prices fell today as US light crude for February delivery slipped 41 cents to US$99.21 a barrel.

Oil prices climbed 57 percent in 2007 and analysts are predicting further market volatility this year.

By staff writer