November 28, 2006	Tuesday	Ziqa'ad 6, 1427

LONDON, Nov 27: World crude prices rose on Monday after oil kingpin Saudi Arabia suggested that Opec might need to cut output further at its next meeting in December, analysts said.

Traders also reacted to news that Iraq’s main northern oil distribution centre was in flames after being struck by two mortar shells.

New York’s main contract, light sweet crude for delivery in January, won 62 cents to $59.86 per barrel in pit trading.

In London, Brent North Sea crude for January delivery gained eight cents to $60.11 per barrel in electronic trading.

“Prices have continued to move up... finding support in comments by the Saudi oil minister over the weekend, warning that Opec would cut production again at its December meeting, should the recent production cuts fail to balance the market,” Barclays Capital analyst Kevin Norrish said.

The Opec on Oct 20 approved a reduction in the group's output of 1.2m barrels a day to stem a fall in crude prices.—AFP