UPDATE 3-Brent dips below $111 on signs of rising supply

* U.S. job growth surges, unemployment rate near 6-year low

* Asian stocks, dollar rise on upbeat U.S. jobs data

* Islamic State seizes oil field and towns in Syria's east

(Recasts, updates prices, adds quotes)

LONDON, July 4 (Reuters) - Brent futures dipped below $111 a barrel on Friday on the prospect of revived Libyan exports and more U.S. crude soon finding its way to refiners, but losses were tempered by economic data pointing to an improved demand outlook.

Brent crude fell 22 cents to $110.78 a barrel by 1048 GMT and looked set to lose 2 percent this week.

U.S. oil lost 25 cents to $103.81 a barrel and was set to end the week down 1.7 percent after seven straight days of losses.

"More of the same in the oil markets with another day of losses as concerns over geopolitical supply disruptions continued to abate," analysts at ANZ said in a note. "But the falls were relatively small, suggesting the market is comfortable with prices at current levels."

In the United States the near completion of the Seaway pipeline means an extra 450,000 barrels per day (bpd) of shale oil will soon be sent to U.S. Gulf Coast refiners, further reducing their need of foreign oil, a bearish signal for the market.

The reopening of Libya's eastern Es Sider and Ras Lanuf terminals will add around 500,000 bpd of oil exports to the markets after a deadlock with local leaders that cut exports from the OPEC member to a trickle..

"The market is kind of balanced at the moment with negative and positive news balancing each other. We have geo-political tensions in the Ukraine, Middle East and positive with Enterprise finishing the Seaway loop ... and Libyan port reopenings," Eugen Weinberg, analyst at Commerzbank in Frankfurt said.

The prospect of rising Iranian exports should sanctions ease remained a factor for oil markets with investors watching the talks to end the dispute over Tehran's nuclear program sensitive to signs of progress.

Iran has reduced demands for the size of its future nuclear enrichment program although the West is urging Tehran to compromise further.


On the demand front, U.S. employment growth jumped in June and the jobless rate closed in on a six-year low, pointing to decisive evidence the country was growing briskly heading into the second half of the year.

The positive signs of growth from the United States closely followed data from China that showed factory activity there hit multi-month highs in June, adding to sentiment that demand for oil would remain solid.

World stocks were enjoying the view at an all-time high on Friday, lifted by a strong week of U.S. economic data and promises from the European Central Bank that cheap money will be sloshing around for years.

But investors are still nervous about the unfolding crisis in OPEC's second-largest producer Iraq.

Its autonomous Kurdish region has hit back at Baghdad over independent oil exports, with the Kurdistan Regional Government threatening in a letter to countersue the central government for trying to block its sales.

Militants from the Islamic State group also seized Syria's largest oil field from rival Islamist fighters on Thursday, strengthening its advance across the eastern Deir al-Zor province, an opposition monitoring group said.

However, the change in control of the field should have little impact on global oil markets. Syria is not a significant producer and has not exported any oil since late 2011.

(Additional reporting by Manash Goswami, Editing by William Hardy)