Oil prices slip as OPEC mulls production boost as war-torn Libya's output remained disrupted

10-Mar-11

Libyan government forces attacked rebels on western and eastern fronts, intensifying their offensive to crush the revolt against Muammar Gaddafi.Oil prices slipped on Tuesday on news that OPEC was considering a production boost as war-torn Libya's output remained disrupted and the region's unrest fueled concerns about more supplies being cut off. Saudi Arabia has offered to help make up for Libya's shut output, estimated at about 1 mln bpd of its normal 1.6 mln bpd. Brent crude for April delivery dropped to US$113 a barrel, while US crude futures for April delivery dipped to US$105. As per API report, US crude stockpiles rose 3.8 mln barrels last week, with gasoline stocks falling 3.7 mln barrels and distillate stock dropping 1.5 mln barrels.