Energy Sector Roundup: Iraq Drives Oil

Oil Sails Past $107 Again

Oil futures shot back above $107 a barrel after insurgents bombed an Iraqi oil pipeline.

Light, sweet crude for May delivery rose $1.68 to settle at $107.58 a barrel on the New York Mercantile Exchange after earlier climbing as high as $108.22.

The bombing of a key Iraqi oil pipeline Thursday morning appeared to slow oil exports from the southern oil city of Basra, despite oil officials' statements to the contrary. Dow Jones Newswires reported that exports from southern Iraqi terminals have been reduced to about 1.2 million barrels a day from a normal rate of 1.56 million barrels a day. Most of Iraq's oil goes to Europe and Asia.

In other Nymex trading, April heating oil futures rose by 10.45 cents to settle at $3.1483 a gallon, while April gasoline futures slid by 2.66 cents to settle at $2.7163 a gallon.

In London, Brent crude gained $1.01 to settle at $105 a barrel on the ICE Futures exchange.

Natural Gas Supplies Ending Heating Season Below Year-Ago Level

The Energy Department's Energy Information Administration said in its weekly report that natural gas inventories in underground storage in the lower 48 states fell by 36 billion cubic feet to nearly 1.28 trillion cubic feet for the week ending March 21.

The draw roughly matched the consensus estimate of analysts.