Oil jumped more than $2 today after news of a suicide bomb attack at the huge Abqaiq oil facility in Saudi Arabia, which triggered worries about supply from the world's top crude producer.
Saudi's Oil Minister Ali al-Naimi described the raid as a terrorist attack but said oil exports had been unaffected. He said a limited fire at the site was being brought under control.
Most Saudi oil is exported from the Gulf via Abqaiq which handles about two thirds of the country's output.
U.S crude prices hit a high of $63.00 a barrel, up $2.46. They later eased back to $62.88 at 1920 GMT.
London Brent was up $2.04 at $62.58 a barrel
Oil prices had risen a dollar earlier today as fears of deeper disruptions to Nigerian exports overshadowed the comfort drawn from brimming fuel stockpiles in the United States.
Attacks on Nigeria's oil network have already forced Shell to cut output by 455,000 barrels a day, shutting in a fifth of the country's exports. Militants holding foreign oil workers hostage say they will continue attacks in the next few days.
But oil's upside may be limited by comfortable US reserves. Petrol stocks rose to 225.6 million barrels, the highest level in seven years, according to weekly data. Crude stocks rose 1.1 million barrels to 326.7 million barrels.
