Oil Prices Rise as Traders Weigh Pipeline Shutdown Impact

Oil prices moved higher on Tuesday as traders followed updates on a vital U.S. fuel pipeline system.

The West Texas Intermediate for June delivery added 36 cents to settle at 65.28 U.S. dollars a barrel on the New York Mercantile Exchange. Brent crude for July delivery increased 23 cents to close at 68.55 dollars a barrel on the London ICE Futures Exchange.

The Colonial Pipeline Company, operator of a main U.S. fuel pipeline that was forced to shut down due to a cybersecurity attack, said Monday that it was working to restore its operations.

The operator of the pipeline carrying gasoline and diesel fuel to U.S. east and southeast parts said that it aimed to restore operational service by the end of the week and a phased approach has being executed to facilitate a return to service.

The company temporarily halted all pipeline operations after the cybersecurity attack involving ransomware was detected on Friday.