LONDON -- World oil prices added a war premium on Friday on fears of U.S. military retaliation for Tuesday's suicide attacks.

European Benchmark Brent Blend crude oil jumped 80 cents to $29.17 per barrel by 1120 GMT.

"This reflects nervousness about a situation that has Middle East overtones," said Peter Gignoux, of Schroder Salomon Smith Barney in London.

"Call it a war premium or fear premium, there seem to be no rules any more," he added.

Prices rose further on Friday as the Afghan Taliban movement vowed revenge if the United States attacked Afghanistan, adding further to the atmosphere of tension, Reuter reported..

The New York mercantile exchange was closed after the terror attacks on New York and Washington that left thousands feared dead.