Oil up as cyberattack forces closure of major fuel pipeline in US

Oil prices rose on Monday as a cyberattack shut down one of the US's crucial and largest fuel pipelines, raising concerns about the fragility of the country's energy infrastructure.

International benchmark Brent crude was trading at $68.88 per barrel at 0635 GMT for a 0.88% increase after closing Friday at $68.28 a barrel.

American benchmark West Texas Intermediate (WTI) was at $65.46 per barrel at the same time for a 0.86% rise after it ended the previous session at $64.90 a barrel.

The Colonial Pipeline, which carries 2.5 million barrels a day of diesel, gasoline and jet fuel, was completely knocked offline by a cyberattack on Friday, and work is still ongoing to restore service.

The US government also issued emergency legislation on Sunday and a total of 18 states have been granted a temporary hours of service waiver to transport gasoline, diesel, jet fuel and other refined petroleum products by road.

The Colonial Pipeline Company said on Sunday that while the main lines remain offline, some smaller lateral lines between terminals and delivery points are now operational.

Oil prices also found support from the easing of COVID-19 restrictions in the US and Europe, as more travel in the upcoming summer season is expected to boost demand.

Spain's state of emergency was lifted on Sunday, putting an end to nightly curfews for the vast majority of Spaniards and allowing travel across the country for the first time in more than six months.

However, the worrisome increase in coronavirus cases in Asian countries, especially in India, continues to curb demand.