World oil prices fall as Libya production increases

World oil prices fall as Libya production increases

World oil prices fell on Monday (Tuesday morning GMT ) for the fifth consecutive session , as Libya production increases and skepticism the recent report showed U.S. oil supplies tightening .

The benchmark U.S. light sweet crude or West Texas Intermediate ( WTI ) for February delivery declined 53 cents to close at $ 93.43 per barrel on the New York Mercantile Exchange . U.S. oil prices have retreated since closed at 100.32 dollars per barrel on December 27 , AFP reported .

European benchmark , Brent North Sea crude for February delivery fell 16 cents to 106.73 dollars per barrel in London trade .

The decline came as Libya began to increase its oil production in Libya after the government last week to convince the residents of the city to end the blockade Ubari Al - Sharara oil field that has been going on for five months .

Production of Al - Sharara oil field reached 207,000 barrels per day on Monday , compared with 60,000 barrels on Saturday ( 4/1 ) , a Libyan oil official told AFP .

But a blockade of Libyan oil exports from a number of terminals continues.

Bob Yawger , director of energy at Mizuho , said the latest news on Libya has created the perception that the production will " slowly increasing " .

Traders are also skeptical of U.S. oil inventory report recently that showed a large decrease in the reserves last weeks of the year . They are convinced that the decline was derived from the reduction of assets for tax purposes rather than Distiller original rise in oil demand .