Brent crude was up by 35 cents, or 0.5 per cent, at $68.63 a barrel by 1000 GMT. US West Texas Intermediate (WTI) crude rose by 24 cents, or 0.4 per cent, to $65.14. Both benchmarks rose more than 1 per cent last week, their second consecutive weekly gain.
"If the pipelines were to remain out of action for any length of time, this would have far-reaching effects on the oil market not only in the US, but also in Europe," said Commerzbank analyst Carsten Fritsch.
"That said, it is currently assumed that the disruption to the pipelines will be resolved in a matter of days, so the impact should be limited."
The White House was working closely with Colonial to help it to recover. Commerce Secretary Gina Raimondo said the pipeline fix was a top priority for the Biden administration and Washington was working to avoid more severe supply disruptions.
Brent crude has risen 33 per cent this year due to supply cuts by the Organization of the Petroleum Exporting Countries and allies, known as OPEC+, and easing coronavirus movement restrictions in the US and Europe.
While some analysts have said oil demand may never reach pre-pandemic levels, Goldman Sachs said it expected this by the end of the year and predicted Brent would hit $80 and WTI $77 within six months.
(Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)
Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.
We, however, have a request.
As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.
Support quality journalism and subscribe to Business Standard.