With news of an attack on Nigerian Shell Pipeline, Oil recovers back up to $70.
From Mark Shenk, Bloomberg:
June 25 (Bloomberg) -- Crude oil climbed above $70 and gasoline rose the most in a month after militants attacked a Royal Dutch Shell Plc pipeline supplying an export terminal in Nigeria, Africa’s largest producer.
The Movement for the Emancipation of the Niger Delta, or MEND, said it attacked a pipeline supplying Shell’s Bonny terminal. Exxon Mobil Corp. began shutting a unit yesterday at the Baytown, Texas, refinery, the government said. Valero Energy Corp. and Marathon Oil Corp. said their Texas City, Texas, refineries experienced power disruptions yesterday.
“The buyers are back in control of the market,” said Tom Bentz, a senior energy analyst at BNP Paribas Commodity Futures Inc. in New York. “The Nigerian attacks triggered the move higher. There’ve been a couple refinery issues, such as the power outage at Valero’s Texas City plant, that have also been supportive.”
