Oil rises on Norway fears

Brent Crude Oil Futures have risen on the commodities markets today over fears Norway's oil output may be cut drastically.

Strike action in the Scandinavian country prompted its largest producer of the black stuff to announce it would be halting production.

The Norwegian Oil Industry Association - which represents employers - will prohibit all members of the Indusrtri Energi, SAFE and Lederne labour units that are covered by offshore pay agreements from midnight on July 9th.

This lockout will cease the country's entire offshore production, which totals around two million barrels of oil a day.

Stockpiles around the world are also dwindling, with US supplies decreasing by 2.3 barrels a week, according to a Bloomberg survey, as inventories are reduced due to tankers delivering Gulf of Mexico barrels being delayed by a tropical storm.

At 16:25 BST, Brent Crude Oil Futures were up 1.6 per cent to $101.38 per barrel.