Claims of Eastern Ukraine's votes for independence triggers oil price hike

13-May-14

Pro-Russian rebels in the Donetsk province of Eastern Ukraine claimed a total of 89% of voters cast ballots in favour of self rule, in a disputed referendum. This has raised fears of a civil war that could disrupt supply, triggering an oil price hike, as per AFP. New York's main contract, West Texas Intermediate (WTI) inched up past US$100 for June delivery, while Brent North Sea crude for June spiked to US$108.2 per barrel. Results are awaited from Lugansk, the other province holding a similar referendum. The vote for independence there was expected to be similar to Donetsk's, or even exceed it. The two regions are home to 7 mln people, out of Ukraine's total population of 46 mln. Concerns abound in the West that these disputed votes could hasten the break-up of the former Soviet Republic and lead to a civil war on Europe's eastern edge, disrupting supplies and sending energy prices rocketing.