Oil prices rallied this evening on positive economic data in the euro zone and Japan, while traders kept an eye on simmering tensions in crude producer Nigeria.
Meanwhile, the International Energy Agency (IEA) said in a report that the world might escape an oil supply crisis for the next five years because a slow recovery from the economic downturn will hold down growth in demand.
This evening, Brent North Sea crude gained $1.78 to $70.70 a barrel, while US crude added $1.87 to $71.03.
Japan's industrial output rose for a third month running, while the European Commission's economic sentiment indicator for the euro zone rose to 73.3 points in June from 70.2 points.
Oil prices have won support in recent weeks from hopes that the battered global economy may have turned the corner - which could herald a recovery in energy demand.
In Africa, Nigerian rebels announced a new raid against a Shell oil facility and said they had killed at least 20 soldiers in a gun battle, a claim denied by the security forces. A Shell spokesman confirmed the raid and said it had caused a loss of production.
In Paris, the IEA slashed its mid-term estimate for world oil demand, which it said may rise by an average 0.6% a year in 2008-2014, down sharply from its forecast of 1.6% growth made last year. The IEA is the energy-monitoring arm of the 30-nation Organisation for Economic Co-operation and Development.
