LONDON: Brent crude futures rose above $108 a barrel yesterday as fighting between Ukraine’s army and a pro-Russian rebels intensified, stoking fears of energy supply disruptions from the region.
The West has threatened more sanctions against Russia, which it believes is helping separatist groups in Ukraine. So far, US and EU measures have not affected natural gas or oil flows.
Fears are also growing over potential Russian measures. Russia’s energy minister said natural gas exporter Gazprom would reduce supplies to Ukraine in June if no prepayment is received this month.
June Brent crude rose 61 cents to $108.37 a barrel by 1352 GMT after settling on Thursday at its lowest close since April 11. US crude was at $99.53 a barrel, up 11 cents.
Oil got another boost from a surprise surge in US job growth, which increasedas investor confidence in the economic health of the world’s largest oil consumer. Brent rallied by around 15-20 cents a barrel right after the data was released.
Agencies
