Summary Global oil prices fell after rebels agreed to reopen two blockaded oil-export terminals in Libya.
NEW YORK (AFP) - Global oil prices fell on Monday after rebels agreed to reopen two of the four blockaded oil-export terminals in eastern Libya, suggesting the country s blockaded supplies might come back on the market.
New York s West Texas Intermediate for delivery in May finished at $100.44 a barrel, a decline of 70 cents from Friday s close.
Brent North Sea crude for May dropped 90 cents to settle at $105.82 a barrel in London.
"News from Libya (is) weighing on the prices," said Commerzbank analyst Carsten Fritsch.
"At the weekend, the government there agreed with rebels that the four oil terminals in the east of the country which have been occupied by rebels for eight months now will be opened step by step.
"Two smaller terminals with a combined export capacity of 200,000 barrels per day will open immediately. The two larger ports, with a capacity of 500,000 barrels per day, are to follow suit in four weeks at the latest after further talks."
The announcement of a deal Sunday to reopen the Zueitina and Al-Hariga terminals was made in Zueitina in the presence of government members and rebel chief Ibrahim Jodhran.
The two sides have set a target of two to four weeks for a reopening of the other two terminals under blockade at Ras Lanuf and Al-Sidra. Details of the agreement were kept under wraps.
Tripoli says the blockade of the export terminals since July has cost Libya more than $14 billion in lost oil revenues, slashing exports from 1.5 million to 250,000 barrels per day.
Tan Chee Tat, investment analyst at Phillip Futures in Singapore, said Brent prices are facing downward pressure as the lifting of the blockades in Libya puts more supplies into the market.
"There are more indications that the negotiations are likely to achieve a breakthrough, resulting in further trimming of prices," Tan told AFP.
WTI prices were lower Monday as investors booked profits from gains last week in response to Friday s positive jobs report in the United States, the world s biggest oil-consuming nation.
"WTI gained quite a lot over the weekend, quickly rebounding back to above $100, although at the level of $101, it has led to some booking of profits resulting in the current losses," Tan said.
