Norway's Equinor has halted output from its Johan Sverdrup oilfield, western Europe's largest, due to an onshore power outage, the company said on Monday.

Oil prices edged up on Tuesday, extending the previous day's rally driven by a halt in production at Norway's Johan Sverdrup oilfield, though investors remained cautious amid fears of an escalation in the Russia-Ukraine war.

Brent front-month January crude oil ( CO1:COM) trades +2.7% to $72.97/bbl at least partially because of the news, as the outage may tighten the North Sea crude market, as physical supply of North Sea crude underpins the Brent futures complex.

Oil prices rose on news on Monday that output at Norway's giant Johan Sverdrup oilfield has been halted, adding to earlier gains stemming from escalation in the Russia-Ukraine war. Brent crude futures were up $1.