Crude prices edged up on Monday, building on recent gains with Brent holding above $50 after Nigerian militants claimed fresh attacks on the country’s oil infrastructure.
On Sunday a Nigerian rebel group claimed five attacks on the country’s oil and gas infrastructure, threatening to scupper efforts to boost production.
The Niger Delta Avengers have been bombing pipelines in a bid to win the delta region a bigger share of crude revenue and political autonomy. The attacks have hit output from African largest oil producer.
“Supply disruptions in Nigeria are now becoming an ongoing issue,” Hong Sung Ki, a Seoul-based commodities analyst at Samsung Future, told Bloomberg News.
“Things look better one day and worse the next day, similar to what we are seeing in Libya.”
Brent for September settlement gained as much as 40 cents to $50.75 a barrel on the London-based ICE Futures Europe exchange and traded at $50.61 at 7:55 a.m. London time.
The contract advanced 64 cents to $50.35 a barrel on Friday. The global benchmark crude traded at a 69-cent premium to WTI.