LONDON, Dec 20: World oil prices rose on Tuesday, reversing three days of losses, as traders anticipated falling US crude stockpiles on the eve of the weekly US energy report, analysts said.

Markets, meanwhile, were awaiting further news regarding a pipeline attack in major oil producer Nigeria.

New York’s main contract, light sweet crude for delivery in January, added 31 cents to $57.65 per barrel in pit deals. The contract expires at the close of trade.

In London, the price of

Brent North Sea crude for February delivery won 21 cents to $56.32 per barrel in electronic trading.

Oil prices had dropped by about $4 since last Thursday through Monday’s close.

“Light crude futures bounced slightly higher on Tuesday, recovering from a heavy fall in the last few days on warmer than usual weather forecasts,” analysts at the Sucden brokerage said.

Prices were supported by predictions of falling energy stockpiles in Wednesday’s inventories report from the US Department of Energy, they added.

Crude stocks were predicted to fall by 1.3 million barrels during the week to December 16.

Distillates, which include heating oil and diesel, should have dipped by 800,000 barrels, according to London analysts.

Market expectations were however for a rise of some 1.0 million barrels of gasoline, or petrol.

Elsewhere, Anglo-Dutch oil giant Royal Dutch Shell in Nigeria announced on Tuesday that unknown persons had attacked its pipeline near oil city Port Harcourt, resulting in a major spill and fire.

This has affected production of 170,000 barrels per day (bpd) of crude oil, a company statement said.

Oil prices wilted in recent days following long-range forecasts by the US National Weather Service, which predicted above-average temperatures in most of the United States from January to March.—AFP