Oil prices fall back from highs

29 April 2008

Oil prices decreased slightly from their record highs on Tuesday, bringing prices to around $118 (£59.60) per barrel.

After reaching the record of $119.93 on Monday as a two-day strike hit the Grangemouth refinery in Scotland, US light crude for June delivery fell 77 cents at $117.83. Meanwhile, London Brent crude fell 62 cents to $116.12.

"The refinery was expected to reopen on Tuesday and it has with no new surprises, so there is some profit-taking going on," Mark Pervan, a senior commodities analyst at the Australian & New Zealand Bank, told Reuters.

In recent days, both the strike at the refinery and supply disruptions in Nigeria have affected oil prices.

Exxon Mobil said that it has shut off its output from the African country due to a five-day strike, while a pipeline attack on April 24th closed a further 250,000 bpd of Royal Dutch Shell production.

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