Oil hits 6-month high on U.S. refinery problems

NEW YORK (Reuters) – Oil prices rose on Tuesday, touching a six-month high over $60 a barrel as a flurry of U.S. refinery problems stoked supply fears leading into peak summer driving season.

U.S. crude settled 62 cents higher at $59.65 a barrel, after earlier reaching $60.48 a barrel, the highest level since November 11. London Brent rose 45 cents to settle at $58.92 a barrel.

The gains came after a fire struck a gasoline-making unit at Flint Hills Resources’ 288,000 barrel-per-day oil refinery in Corpus Christi, Texas.

The oil market closely monitors refinery operations in the spring as suppliers try to boost gasoline inventories ahead of summer vacation season when demand peaks.

Reuters