Three oil companies halt output in Libya

PanARMENIAN.Net - U.S. crude oil futures climbed to 2-1/2-year highs on Feb 23 on fears that output disruptions in Libya may spread to other Middle East oil producers and hurt global economic growth, helping push Asian stocks lower.

Three oil companies have halted output in Libya, which pumps 1.6 million barrels per day, or nearly 2 percent of global supply.

U.S. crude rose as high as $96.08 a barrel, its strongest level since October 2008. By 0600 GMT, the contract had trimmed gains to trade at $95.50, up 8 cents on the day.

Brent crude rose 77 cents to $106.55 a barrel. On Feb 21, Brent hit a 2-1/2-year high of $108.70.

Higher energy prices could impede economic growth and hurt corporate profits even as they fuel inflationary pressures, complicating policymaking for governments and central banks.

Gold, a traditional safe haven in times of trouble, was little changed around $1,398 an ounce, after a six-session rally, but the trend is still expected to be upwards, Reuters reported.