Oil prices climbed on Friday from supply concerns following protests due to high fuel prices in Kazakhstan and supply outages in Libya.
International benchmark Brent crude was trading at $82.77 per barrel at 0702 GMT with a 0.95% rise after closing the previous session at $81.99 a barrel.
American benchmark West Texas Intermediate (WTI) traded at $80.19 per barrel at the same time for a 0.92% gain after it ended the previous session at $79.46 a barrel.
In the previous trading session, Brent recorded its highest level at $82.83 a barrel since Nov. 24 when a record high was set at $83 a barrel.
'Unrest in Kazakhstan is the current main contributor to bullish sentiment and whilst details are sketchy in regard to supply disruption it seems that the 1.6 million bbl per day pipeline is flowing freely,' said Matt Stanley, director of the commodity brokerage firm, Star Fuels.
On Wednesday, Kazakh President Kassym-Jomart Tokayev approved the resignation of the government following protests that began in western Kazakhstan on Jan. 2 over an increase in the price of liquefied petroleum gas (LPG) and later spread to other areas of the country before going nationwide.
The Collective Security Treaty Organization (CSTO), a Russia-led military alliance, sent peacekeeping troops on Thursday to Kazakhstan.
A state of emergency was declared in the commercial capital Almaty and the oil-rich Mangystau region to ensure public safety.
Political instabilities in Libya and related supply outages also contributed to rising oil prices.
'Libyan oil output is already a realized bullish supply-side risk that has been developing since mid-December when it became clear that the 24 December elections would be delayed and the country’s political trajectory left in limbo,' Rystad Energy’s Senior Oil Markets Analyst, Louise Dickson, said.
Oil output has plummeted to 729,000 barrels per day (bpd) due to upstream shutdowns and unexpected pipeline maintenance, according to Libya's National Oil Company.
Dickson said should the political standoff between the Libyan National Army and the UN-backed Government of National Accord continue, she expects an increase in outages, whether due to operators shutting in production to force political outcomes, or if protestors are organized to shut down operations as key ports, as was the case in January 2020./aa
