* Opposition, security forces clash in Tehran - website
* Saudi Arabia denies sending tanks to Bahrain
* Coming up: API oil data at 4:30 p.m. EST (2130 GMT)
(Recasts, updates prices and market activity, changes
byline and moves dateline from previous LONDON)
By Robert Gibbons
NEW YORK, March 1 (Reuters) - Brent crude oil prices pushed
back above $114 a barrel on Tuesday as the potential supply
disruptions and unrest in the Middle East and North Africa kept
investors on edge.
Clashes between opposition supporters and Iran's security
forces in Tehran reported by an opposition website added to
investor concerns about the security of oil supplies in the
region. []
A report in an Egyptian newspaper that the Saudi Arabia had
sent tanks to Bahrain to try to quell protests there roiled
markets earlier, prompting a Saudi Arabian defense ministry
official to deny the report. []
With Muammar Gaddafi remaining defiant against opposition,
the United States said Libya faced the danger of civil war if
Gaddafi refuses to quit. []
Brent crude futures for April <LCOc1> rose $1.75 to $113.55
a barrel at 11:20 a.m. EST (1620 GMT), after earlier reaching
$114.35 intraday. U.S. crude <CLc1> rose $1.30 to $98.27 a
barrel.
Brent's premium to its U.S. counterpart <CL-LCO1=R>
stretched above $15 a barrel, but remained below last week's
record $16.91. Brent's price rise has been stronger because
Europe is more vulnerable to supply disruptions from Libya and
the region.
"We're now at the point where a $1-$2 move is just a normal
fluctuation," said Peter Beutel, president at Cameron Hanover
in New Canaan, Connecticut.
"At this point, we're rife with rumors and when any emerge
from the 'Petroleum Gulf' we're going to see a jump. If there's
some truth in it the move will be $5-$6 rather than $1-$2."
In Oman, a small oil producer in the region, the army fired
in the air, wounding one person, as it moved to disperse
protesters near the northern port of Sohar. []
Libya's National Oil Corporation chairman, Shokri Ghanem,
said its oil installations were undamaged, although output was
halved because of departures by oil workers. []
<^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^
Middle East unrest graphics http://r.reuters.com/nym77r
Who is in control in Libya http://r.reuters.com/jem28r
Map of control in Libya http://r.reuters.com/fug38r
Countries most reliant on oil http://r.reuters.com/dux28r
Calculator: Oil price impact on GDP
http://r.reuters.com/jux28r
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OIL SPIKES COULD HIT GROWTH
U.S. stocks traded lower as the jump in oil prices renewed
fears of hampered economic activity, offsetting a positive
reading on manufacturing. []
The dollar hit its lowest in three and a half months versus
a currency basket ahead of Federal Reserve Chairman Ben
Bernanke's appearance before Congress. []
Bernanke said the recent surge in oil prices is unlikely to
have a big impact on the U.S. economy, but could lead to weaker
growth and higher inflation if sustained.
Oil investors awaited the latest U.S. weekly oil inventory
data from industry group American Petroleum Institute due at
4:30 p.m. EST (1630 GMT) on Tuesday.
Economists polled by Reuters expect an increase in
stockpiles on higher imports. []
(Additional reporting by Gene Ramos and David Sheppard in New
York, Zaida Espana in London and Florence Tan in Singapore;
Editing by Marguerita Choy)
