Sam Fletcher
Senior Writer
HOUSTON, Feb. 22 -- Energy prices continued to escalate Feb. 21 in the wake of rebel attacks on oil facilities in Nigeria, Africa's biggest producer.
Royal Dutch Shell PLC has shut in Nigerian production totaling 455,000 b/d following an attack on an export terminal and the kidnapping of nine foreign oil workers (OGJ Online, Feb. 21, 2006). The company confirmed an attack Feb. 21 on the Trans-Forcados oil pipeline in the western Niger Delta. However, that pipeline was already shut down because of earlier attacks. As a precaution, Shell shut in its EA oil field, which produces 115,000 b/d.
Energy prices
The March contract for benchmark US light, sweet crudes jumped by $1.22 to $61.10/bbl on the New York Mercantile Exchange as trading resumed Feb. 21 after the long US Presidents Day holiday weekend. The April contract rose by $1.45 to $62.74/bbl. Heating oil for March delivery edged up by 0.9¢ to $1.67/gal on NYMEX. Gasoline for the same month lost 2.69¢ to $1.48/bbl.
The March natural gas contract gained 54.9¢ to $7.91/MMbtu on NYMEX as it followed the rising oil market.
In London, the April IPE contract for North Sea Brent crude inched up by 6¢ to $61.60/bbl in electronic trading. Gas oil for March lost $9.75 to $532.25/tonne.
The average price for the Organization of Petroleum Exporting Countries' basket of 11 benchmark crudes increased by 61¢ to $56.07/bbl on Feb. 21.
The weekly report of US inventories of crude and petroleum products normally issued at midweek by the Energy Information Service was delayed this week because of the holiday.
Contact Sam Fletcher at [email protected].