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Oil prices increased today after reports of Libyan autonomy groups vowing to sell oil from seized ports, sparking fresh supply worries.

According to Reuters, Brent crude increased by 32 cents to $107.67 a barrel, while US crude gained 47 cents to $94.14 a barrel.

Crude prices started rising after Libyan rebels invited foreign firms to buy oil from seized ports and protect arriving tankers, challenging Tripoli’s promise to use force to stop them.

The announcement from rebel groups came just hours after Libya’s defence ministry said it would destroy any tankers loading oil from eastern ports in the Cyrenaica region which are under control of the armed protesters.

The prices also increased after American Petroleum Institute data revealed a 7.3-million-barrel drop in crude stocks, and builds in fuel inventories of more than 5 million barrels.

Investors are now waiting for the US Energy Information Administration data, which is expected later in the day.


Image: Libyan rebels invite foreign firms to buy oil from seized ports. Photo courtesy of Victor Habbick at FreeDigitalPhotos.net.

Nri energy