Crude up in Asia on North Korea concerns Tuesday, 20 December 2011 08:51

SINGAPORE: Crude prices rose in Asian trade Tuesday, driven by lingering geopolitical concerns after the death of North Korean leader Kim Jong-Il, analysts said.

New York's main contract, light sweet crude for delivery in January, gained 61 cents to $94.49 a barrel.

Brent North Sea crude for February delivery was up 63 cents to $104.27 in the afternoon.

Despite regional markets rebounding on Tuesday amid easing concerns over the transfer of power, dealers are still troubled by uncertainties in the in the nuclear-armed state.

"As expected, investors are reacting with caution in the short term, concerned about potential political instability in North Korea," analysts from Barclays Capital said in a commentary.

"The focus is now on the leadership transition and the durability of the new administration," they added.

Kim, 69, died of a heart attack on Saturday, state media announced on Monday, raising new questions about the future of the deeply isolated communist nation.

Pyongyang urged service personnel and citizens to rally behind Kim's youngest son and heir apparent Kim Jong-Un, who is in his late 20s.

Last year, he was made a four-star general and given top ruling party posts despite not previously having any public profile. (AFP)