Expert: it can take months before oil starts to flow again from Libya

PanARMENIAN.Net - Brent crude rose above $109 on Tuesday, August 23, as fighting in Libya continued and in anticipation of a fall in U.S. crude stockpiles.

Remnants of forces still loyal to Libyan leader Muammar Gaddafi fought rebels in Tripoli on Tuesday, extending a conflict that looked close to conclusion on Monday after rebels swept into Tripoli in tandem with an uprising within the city.

Continued fighting surprised some in the market, after Brent fell on Monday on hopes for a quick resolution and a speedy restart in exports from the OPEC member.

Brent crude rose 49 cents to $108.85 a barrel as of 0422 GMT, while U.S. October crude was up 65 cents to $85.08 a barrel.

"It could take months before oil can start to flow again from Libya," said John Vautrain, a director at energy consulting firm Purvin & Gurtz. "I think there was a lot of euphoria on Monday. But the whole country is not completely pacified yet and we don't have an organized government. A lot is lacking," he said, Reuters reported.

A son of Muammar Gaddafi - who rebels said they had captured - appeared with cheering supporters in Tripoli, giving a boost to forces loyal to the veteran leader. The whereabouts of his father remained a mystery.