Speaking in an interview with Bloomberg Television Thursday, Libya's National Oil Corporation chairman, Shukri Ghanem, said that a threatened freeze of Libyan assets in the United States could affect Libya's oil decisions.

He said a $150 oil price may be "around the corner.

Ghanem said he expected the price of oil to keep rising but not to reach $200 this summer.

Ghanem also cited threats of US sanctions against Iran and US legislation to allow lawsuits against OPEC to pressure the group to release more oil.

"If they want the production capacity of OPEC to increase, they should facilitate foreign investments, not threaten with freezing their assets in the US," he said.

US President George W. Bush said earlier that he would veto the so-called "NOPEC" bill. Oil futures shot up to nearly $139 a barrel Thursday.

Meanwhile, OPEC President Chakib Khelil also told a French television station, France 24, that crude oil prices will likely rise to between $150 and $170 a barrel this summer.

Khelil added that much would depend on the European Central Bank's policy on the euro, as well as whether the West puts more pressure on major oil producer Iran over its contested nuclear program.

Oil futures rose sharply almost immediately after Khelil's comment, along with emerging reports that Libya may cut oil production.

Light, sweet crude for August delivery rose as high as $138.95 a barrel shortly after the New York Mercantile Exchange opened before retreating some to trade up $2.50 at $137.05.

Asked if prices might reach $200 a barrel, Khelil was quoted as saying, "I don't think so."

Khelil said the Organization of the Petroleum Exporting Countries would reevaluate its hands-off attitude to rocketing prices at September's OPEC meeting.

"If there is real demand in the market, OPEC will take the measures necessary to satisfy this demand," he said. Khelil blamed a drop in the value of the dollar as the No. 1 problem contributing to high prices. “You can see it, every time there is a strengthening of the dollar, there's a drop in prices," he said.

Oil futures shot above $140 Thursday after OPEC's president said oil prices could rise well above $150 a barrel this year and Libya said it may cut oil production.

Light, sweet crude for August delivery rose as high as $140.39 in afternoon trading on the New York Mercantile Exchange before retreating slightly to trade up $5.53 at $140.08. Final prices weren't available, but crude appeared headed to a record settlement.