UPDATE 5-Brent crude near 28-month high, eyes on Egypt

                                
 * U.S., France, Turkey call for speedy transition in Egypt
                                
 * Market worries over regime change in Mideast, North Africa
                                
 * Technicals-US crude set for $94 this week [ID:nL3E7D200U]
                                
 * Coming Up: U.S. EIA weekly inventory report at 1530 GMT
 
 (Updates prices)
                                
 By Christopher Johnson
                                
 LONDON, Feb 2 (Reuters) - Oil steadied on Wednesday with
Brent crude futures near a 28-month high on concerns unrest in
Egypt would trigger regime change across the Middle East and
North Africa, source of more than a third of the world's oil.
                                
 Egyptian President Hosni Mubarak has said he will surrender
power in September, angering protesters who want an immediate
end to his 30-year rule. [ID:nLDE71100I]
                                
 ICE Brent for March <LCOc1> was flat at $101.74 a barrel by
1230 GMT, after touching $102.08 on Tuesday, the highest price
for a front-month contract since September 2008. U.S. crude
<CLc1> slipped 20 cents to $90.57.
                                
 "We suspect that the yet unresolved political standoff in
Egypt will likely keep oil prices fairly well bid, at least for
the balance of the week," said Edward Meir, senior commodities
analyst at brokers MF Global.
                                
 Credit Suisse analysts agreed, saying price risks would
remain "skewed to the upside" as long as geopolitical tensions
in Egypt remained unresolved: "We expect oil prices to ease once
tensions fade due to ample global inventories."
                                
    
<^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^
                                
 For package of graphics on unrest in the Middle East and
North Africa, including a map of the Suez Canal, click:
                                
 http://r.reuters.com/nym77r
                                
 Reuters Breakingviews column: [ID:nLDE7101WW]
                                
 ^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^>
                                
 
                                
 Although the unrest in Egypt has so far had no effect on
transit through the Suez Canal or the Suez-Mediterranean (SUMED)
oil pipeline, shipping sources said there were major disruptions
in Egypt's Alexandria and Damietta ports due to staff shortages
and an absence of customs officials. [ID:nLDE7101NE]
                                
 Egypt controls the canal and the pipeline, which together
moved over 2 million barrels per day (bpd) of crude and oil
products in 2009.
                                
 At the back of many investors' minds is an unspoken worry
that unrest in North Africa could fuel similar protests in
bigger oil producers such as Libya or even Saudi Arabia,
stirring fears of a temporary disruption to oil supplies.
                                
 
                                
 U.S. INVENTORIES
                                
 U.S. crude oil stocks rose a greater-than-expected 3.8
million barrels last week, the U.S. oil industry data said on
Tuesday, while inventories at Cushing, Oklahoma, climbed 667,000
barrels. [API/S]
                                
 Brent's premium to U.S. crude futures jumped to about $11 a
barrel from $8.50 after the American Petroleum Institute on
Tuesday reported an increase in crude stockpiles at the Cushing
delivery point for the U.S. futures benchmark.
                                
  Government data on inventories and demand from the Energy
Information Administration follow on Wednesday at 1530 GMT.
                                
 A Reuters survey of analysts forecast crude stocks to be up
2.7 million barrels, with distillate stocks slipping 700,000
barrels and gasoline inventories rising 1.9 million barrels.
[ID:nN01110224]
 (Additional reporting by Alejandro Barbajosa in Singapore;
editing by William Hardy)