(Adds details, background)
PERTH, April 28 (Reuters) - Oil struck a record high at
$119.93 a barrel on Monday, extending the previous session's
rally, as a strike closed a major British oil pipeline and as
fresh violence in Nigeria reignited supply fears.
Simmering geopolitical tensions between the United States
and Iran also helped boost oil prices.
U.S. light crude for June delivery <CLc1> rose 81 cents to
$119.33 by 2249 GMT, after striking a lifetime high of $119.93
a barrel at the start of Globex electronic trade.
U.S. oil settled $2.46 higher at $118.52 a barrel on
Friday.
London Brent crude <LCOc1> rose 66 cents to $117.
"Supply side concerns underpinned the oil price," David
Moore, a commodity strategist at the Commonwealth Bank of
Australia, said in a note to clients.
"Oil supplies from Nigeria have been disrupted by militant
attacks and a strike by some oil workers. A strike at the
Grangemouth refinery in Scotland has caused significant
disruption to supplies from the North Sea," he said.
A pipeline carrying nearly half of Britain's oil was closed
on Sunday as a strike over pensions began at the neighbouring
Grangemouth refinery in Scotland, operator BP <BP.L> said.
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The refinery, owned by international chemical company
Ineos, produces a tenth of Britain's petrol and diesel but also
supplies vital steam to BP's Kinneil plant that starts to
process the crude oil coming ashore from 70 North Sea fields.
In Nigeria, unidentified gunmen killed five policemen and
seized several weapons in a raid on a police station in the
oil-rich southern Nigerian state of Rivers on Sunday, a police
spokeswoman said.
The attack comes just two days after a strike and attacks
by rebels forced Nigeria's two largest oil firms, Exxon Mobil
<XOM.N> and Royal Dutch Shell <RDSa.L>, to shut in some
production.
A step up in tensions between U.S. and the world's
fourth-largest crude exporter Iran also contributed to oil's
gain.
A cargo ship hired by the U.S. military fired warning shots
at boats suspected to be Iranian, the U.S. Navy said on Friday,
underscoring tension in the Gulf as the Pentagon sharpened its
warnings to Tehran. []
Iran denied there had been any confrontation between its
forces and a U.S. ship, Iranian media reported. []
Iran also said on Sunday a "disastrous situation" facing
the United States in Iraq and Afghanistan, coupled with
Washington's domestic issues, made any U.S. attack on the
Islamic Republic unlikely. []
Tensions between Washington and the OPEC nation last year
helped send oil to record highs. Crude prices have surged more
than five-fold since 2002 as supplies struggle to keep pace
with rising demand in emerging economies, such as China.
To read the previous day's closing report click on
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To read the previous technical report click on
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Diary of upcoming energy news and events
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Oil prices as of 2248 GMT
Contract Mnth Price Change Day ago pct MA-20*
NYMEX Contracts
US Crude JUN8 $119.33 +0.81 +$2.46 +2.12% $111.40
Heat Oil MAY8 332.00 +1.72 +4.45 +1.37% 317.25
RBOB MAY8 306.55 +1.18 +3.51 +1.16% 285.63
Natgas MAY8 $11.047 +0.084 +$0.173 +1.60% $10.174
ICE Contracts
Brent JUN8 $117.00 +0.66 +$2.00 +1.75% $109.41
Gasoil MAY8 $1089.00 +3.25 +$9.50 +0.88% $1017.60
Note: U.S. heating oil and RBOB gasoline contracts listed in
cents per gallon.
* = 20-day moving average for continuation month.
(Reporting by Fayen Wong)
