Brent crude oil looked poised to end the year flat as supply concerns balanced out weaker demand and kept the commodity trading near $111. Brent traded at $111.32 at 6:42 GMT on Tuesday morning.
The supply outlook for crude oil is threatened by several factors at the moment including unrest in Africa and tense relations between the West and Iran as the two attempt to put into place an agreement on Iran's nuclear program.
In Libya, little progress has been made as tribesman and civil servants continue to shut down the country's largest oilfields in protest. CNBC reported that the nation's Hariga oil port, which was expected to be reopened, showed no signs of restarting on Monday. Libyan oil output has fallen to less than 250,000 barrels per day from a 1.4 million bpd normal output.
Protesters have demanded more political rights as well as a share of the nation's oil revenue. However the Libyan government has been reluctant to negotiate with the opposition for as long as the nation's oilfields are shut down.
Last month, world powers and Iranian officials were able to come to an agreement in order to curb the nation's nuclear programs. However, the deal is far from being a quick fix to a decade long dispute between the West and Iran. Crude prices remain elevated as Western sanctions keep nearly 1 million barrels of Iranian oil from the market per day.
In 2014, investors will be closely watching negotiations between Iran and the West as they attempt to build a bridge in which sanctions on Iran's oil can be removed in exchange for the promise of a more open Iranian nuclear program.