Thursday, February 23 2006 14:03 Hrs (IST) - World Time -

Singapore: Oil prices continued lower in Asian trade today(Feb 23,2006) as expectations of a build in US crude and gasoline stockpiles offset concerns about supply disruptions in Nigeria, dealers said.

At 0830 IST, New York's main contract, light sweet crude for delivery in April was down 26 cents to 60.75 dollars a barrel from its close of 61.01 in New York yesterday.

"The big (negative) thing is the inventory report. Everybody is predicting builds in crude and gasoline," said Tony Nunan, Tokyo-based manager for energy risk management with Mitsubishi Corp.

The US Department of Energy publishes its weekly inventory data today, a day later than normal owing to the US Presidents' Day public holiday on Monday.

Analysts expect stockpiles of US crude to have risen 700,000 barrels, with gasoline up 800,000 barrels and distillates, which include heating fuel, down 1.4 million barrels.

The United States is the world's biggest energy consumer and its energy inventories are closely monitored by the market.

The fall in crude prices also came despite renewed jitters over supply disruption in Nigeria, Africa's biggest oil exporter.

Jason Schenker at Wachovia Securities said, "The market might have overpriced the Nigerian disruption potential."

He added that there is 'a well-supplied market, especially on gasoline' that is likely to be confirmed by the US report on oil inventories.