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ESL

Russian Tensions

Prices were backed by concerns over increasing tensions between Russia and the West.

Russia may curb oil shipments to Western Europe in retaliation for the threat of European Union sanctions and NATO's naval actions in the Black Sea, the Daily Telegraph reported, without citing anyone.

Russian oil companies were ordered by the government to cut supplies to Germany and Poland through the Druzhba pipeline, and executives from OAO Lukoil have been put on alert for the weekend, the London-based newspaper reported.

Supplies may be cut as early as Sept. 1, the newspaper said, citing an unidentified business person. The cut would come at the same time as an emergency EU summit in Brussels to discuss sanctions against Russia, the newspaper said.

``A prolonged cut would be a major concern for the market,'' said Sommer of HSH Nordbank.