May 11, 2002	Saturday	Safar 27, 1423

LONDON, May 10: The price of oil crept higher here on Friday on nervousness over the prospect of fresh Israeli military incursions in the Palestinian territories.

Brent North Sea crude for June delivery climbed to $26.48 a barrel from $25.94 on Thursday evening.

In New York, the light sweet crude June contract rallied 54 cents a barrel to $28.18 in early trade.

Traders said the main focus remained tensions in the Middle East after Tuesday’s suicide bombing near Tel Aviv, with the market bracing for possible Israeli reprisals in the Gaza Strip.

“There seems some hostility over there again so they’re planning some kind of ground attacks and that’s why oil’s looking strong and that’s why we’re above $26 on the June Brent,” said GNI trader Mike Parr.

The Middle East conflict was expected to take a prominent place on the agenda of a ministerial meeting from Saturday of the Organization of Arab Petroleum Exporting Countries (OAPEC).

Experts also expected the Arab ministers to discuss the future of Arab oil, global oil supply for the second half of the year.—AFP