il jumped more than $2 on Friday after reports of an explosion and shooting at the huge Abqaiq oil facility in Saudi Arabia, which triggered worries about supply from the world's top crude producer.
The Dubai-based Al Arabiya television station quoted witnesses as saying there was shooting in the area while a Saudi security source said the government had prevented suicide bombing attacks at Abqaiq.
"Security forces foiled an attempted suicide at the Abqaiq (facility) using at least two cars," the official said.
Most Saudi oil is exported from the Gulf via Abqaiq, the world's largest crude processing plant, which handles about two thirds of the country's output.
U.S crude prices hit a high of $62.60 a barrel, up $2.06. They later eased back to $62.23 at 1400 GMT.
London Brent was up $1.55 at $62.09 a barrel.
"It's not clear what damage there is, but Abqaiq is the world's most important oil facility," said Gary Ross, CEO at PIRA Energy consultancy in New York.
"This just emphasizes fears over global oil supply security when we're already facing major ongoing risks in Nigeria, Iran and Iraq."
The Dubai-based Al Arabiya television station quoted witnesses as saying there was shooting in the area while a Saudi security source said the government had prevented suicide bombing attacks at Abqaiq.
"Security forces foiled an attempted suicide at the Abqaiq (facility) using at least two cars," the official said.
Most Saudi oil is exported from the Gulf via Abqaiq, the world's largest crude processing plant, which handles about two thirds of the country's output.
U.S crude prices hit a high of $62.60 a barrel, up $2.06. They later eased back to $62.23 at 1400 GMT.
London Brent was up $1.55 at $62.09 a barrel.
"It's not clear what damage there is, but Abqaiq is the world's most important oil facility," said Gary Ross, CEO at PIRA Energy consultancy in New York.
"This just emphasizes fears over global oil supply security when we're already facing major ongoing risks in Nigeria, Iran and Iraq."
Comments
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Media accuracy please
24.02.2006 17:09
Reality Check
Check 'reality check'
25.02.2006 16:49
That's worth a post. I remember you war-mongers tried to call them 'homicide-bombers' for a few months but that never took off either did it ? Neither will your new term. Never mind, most ad campaigns fail, they are done defensively. Which PR agency do you work for anyway ? If you are draining away government money on rubbish like this then you should be praised. You might be forced to work for The Man but you doing such a bad job is admirable.
There is a lot of pipeline in Arabia, and a lot of people who are prepared to die attacking it. It is effectively indefensible. If I was you I'd take the money you get from the goverment for your weak PR and invest in a horse because your Porche will soon require propulsion.
Danny