Oil prices rise

LONDON. — Oil prices rose yesterday on supply disruption in Canada, falling US crude stocks, uncertainty over Libyan exports and U S demands that importers stop buying Iranian crude from November.

Brent crude LCOc1 was up 65 cents a barrel at $76,96 by 1155 GMT. U S light crude CLc1 was 65 cents higher at $71,18.

“Fundamentals still remain favorable for oil prices to rise over the next six months,” said BNP Paribas senior oil strategist Harry Tchilinguirian. “We would not be surprised if Brent were to trade once again above $80 a barrel.”

A supply outage at Syncrude in Canada has locked in 350 000 barrels per day (bpd) of crude, with repairs expected to last at least through July.

The fall in Canadian exports has helped drain supplies of heavy crude across North America and contributed to a major draw in U S crude oil inventories, analysts say.

The American Petroleum Institute reported a much-higher-than-expected 9,2 million barrel fall in U S crude inventories in the week to June 22 to 421,4 million barrels.

Analysts polled by Reuters had estimated on average that crude stocks would fall 2,6 million barrels last week.

Also keeping markets on edge was the risk of a disruption to supplies from Africa and the Middle East.

In Libya, a power struggle between the internationally recognised government and rebels has left it unclear who will handle the country’s oil exports.

The future of Iranian crude exports is also unclear. — Reuters.