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Oil prices increase by 2%

The Libyan oil price has increased by 2 percent amid military escalation in Tripoli, Reuters reported Monday.

International benchmark Brent futures has surged to 76 cents to settle at $71.10 per barrel, hitting the five-month highs of oil prices since the OPEC cut its oil supplies and the U.S. imposed sanctions on Iran and Venezuela.

“The violence in Libya is captivating the market. Given the intense efforts of Saudi Arabia and other countries to restrict output, there is a sense that losing the Libyan oil, again, has the makings of a supply crunch,” John Kilduff, a partner at Again Capital LLC in New York told Reuters.

Amid fears over the conflict’s impact on oil, the Group of Seven has called on disputing parties, General Commander of Libyan National Army (LNA) Khalifa Haftar and Head of Tripoli-based Government of the National Accord (GNA) Faiez Sarraj, in Libya not to exploit oil installations for political gains.

During their annual summit on April 5-6 in Dinard, France, the seven countries stressed that Libyans should benefit from the revenues of oil installations.

The LNA has already controlled some oil fields in the south during its military operation to “rid the region from terrorists and armed groups.”

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