Oil futures ended above $104 a barrel Friday and registered a weekly gain of nearly 7% , as investors consider that turmoil in Libya could disrupt global supplies.
News reports indicated the Libyan opposition had rejected a mediation proposal by Venezuelan President Hugo Chavez.
Analysts predict that the ongoing unrest and the possibility of escalating violence will maintain the increase in oil futures for the time being. Even if the Libya situation stabilizes soon, there is always a chance of upheaval somewhere else. Oman, Bahrain, Iran and Saudi Arabia are all potential flash points and could spring back on the scene at practically any time.
News reports Friday, citing the television network Al Jazeera, said that an oil facility at Zueitina, south of Benghazi, was damaged and on fire.
