Oil rises for 3rd day on Gustav concerns

Oil rose for a third day on Wednesday, boosted by the possibility that tropical storm Gustav could become the first major storm since 2005 to threaten Gulf of Mexico oil and gas installations. Crude for October delivery was up 93 cents at $117.20 a barrel by 22:00 pm IST after settling up $1.16 on Tuesday. London Brent crude was up 74 cents at $115.37 a barrel. Oil could head towards last week’s near-three-week high of just above $122 a barrel in the next few days depending on the weather in the Gulf of Mexico, said Masaki Suematsu, analyst at broker Newedge in Tokyo.