SINGAPORE – On Tuesday, Oil prices climbed up in Asia Tuesday on rising concerns about lawlessness in crude-producer Libya as a top military unit joined a renegade general’s bid to quash Islamists and edged the nation closer to civil war.
The US benchmark, West Texas Intermediate (WTI) for legal transfer in June, rose two cents to $102.63 in mid-morning trade, while Brent North Sea crude for July rose eight cents to $109.45.
The Libyan interim government, for now, has called on the country’s parliament to “get a time out” amid widening lawlessness in the North African country, which is a member of the OPEC oil cartel.
Since the toppling of Dictator Moamer Kadhafi in 2011, successive Libyan governments have fought to impose order as heavily armed former rebel brigades carve out their own fiefdoms.
The political crisis in the country adds up just weeks later on the resumption of oil exports following a nine-month blockade of sea terminals by rebels.
Lennox said dealers are also expecting the release late Wednesday of the latest US stockpiles report for clues about demand in the world’s top crude consumer.
“Investors will be keen to find out if there is any follow-through with the boost in crude and gasoline reserves, which could be a signal of weak demand”.