Brent oil trading near $116 on Libya no-fly zone decision

18 March 2011 18 March 2011

BonTrade

Brent oil prices open Friday’s trading session back near $116 a barrel as the UN Security Council made a decision to authorise a no-fly zone over Libya.

Latest Brent Oil Price

In London, Brent crude oil futures for May 2011 delivery was trading at $115.92 a barrel, 07.00 GMT this morning on the ICE Futures Exchange. The Brent contract surged 4.9 percent higher in heavy buying on Thursday to close at $115.31.

UN No-Fly Zone Call – Libya

The UN resolution passed yesterday for a no-fly zone over Libya gives permission to UN members to take “all necessary measures” to protect civilians, including a ban on all flights over Libya.

Anti-Gadhafi protesters in the rebel stronghold of Benghazi greeted the news with cheers, celebratory gunfire and fireworks. Hadi Shalluf, president of the Justice and Democracy Party of Libya, says the opposition would welcome UN peacekeepers in Libya to help enforce the no-fly zone on the ground.

“All the Libyans now, they are very, very happy even as this resolution is coming very, very late. But we are really glad and then happy. Today, just now in Benghazi where the people go outside singing, and then dancing, and are very, very happy about this resolution” he says.

Gadhafi, the Libyan leader warned the rebels in Benghazi Thursday to surrender or face an imminent attack. He said his forces will show no mercy and dismissed the UN resolution and no-fly zone decision as worthless.