LONDON, May 20: World oil prices rebounded on Friday, after slipping lower the previous day on higher US crude stocks, amidst a continuing strike at French energy giant Total and speculation of an Opec production cut. New York’s main contract, light sweet crude for delivery in June, jumped 40 cents to $47.32 per barrel in electronic deals on Friday.
It slumped to three-month low point the previous day as US crude inventories hit a six-year high point. New York futures fell Thursday to $46.80 — the lowest point since February 14 — and ended at $46.92 the lowest close since February 9.
In London on Friday, the price of Brent North Sea crude oil for delivery in July gained 43 cents to $48.31 per barrel.
Bullish momentum for products came from news that four Total refineries in Europe, with joint crude processing capacity of almost a million barrels per day (bpd) were being progressively shut down due to a strike, analysts at the Sucden brokerage firm said.
Total said it was making efforts to ensure that there were no supply problems after five days of strikes at its refineries in France. The French government said Thursday there was no short-term risk of a petrol (gasoline) shortage at service stations in France, dismissing union claims, amid union strikes at Total refineries.—AFP
