As oil prices climbed to multimonth highs on Tuesday, one strategist warned of the “potential for greater disruption” ahead for crude markets.
“It’s almost like 2011, when (former Libyan dictator Muammar Gaddafi) was toppled. If … Libya comes into play, that’s only going to add more tightness to the market,” John Driscoll, chief strategist at JTD Energy Services, told CNBC’s “Squawk Box.”
Driscoll’s comments came amid a recent violent resurgence in Libya, a key oil producer in the Organization of the Petroleum Exporting Countries (OPEC).
Rebel forces loyal to renegade leader General Khalifa Hifter, who effectively controls the country’s breakaway east, launched a surprise attack against the home of Libya’s UN-recognized government last week. The move risks plunging the country back into civil war.
Reports also surfaced overnight that the airport in Libya’s capital, Tripoli, had been hit by air strikes.
In addition to concerns over the ongoing conflict in Libya, Driscoll cited Venezuela and Iran as other potential sources of risks for the oil markets.
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