September 21, 2006	Thursday	Sha'aban 27, 1427

LONDON, Sept 20: World oil prices slid on Wednesday to the lowest points for six months, below $61 per barrel, after official data showed a surge in stockpiles of US distillates ahead of the northern hemisphere winter, traders said.

New York's light sweet crude hit $60.60--the lowest point since March 21. In London, Brent North Sea crude dropped to $60.74 — the lowest point since March 13.

New York's main contract, light sweet crude for delivery in October stood at $60.95 per barrel in pit trading, down 71 cents compared with Tuesday's close.

Brent North Sea crude for November delivery plunged $1.03 to $61.14 per barrel in electronic trading.

Crude oil prices have shed almost 23 per cent in value since striking historic highs above $78 in July and August.

Prices, already falling early on Wednesday, extended their losses after the US Department of Energy (DoE) said that inventories of distillates, used for heating oil and diesel fuel, had surged by 4.1 million barrels to 148.7 million in the week to September 15.

“The distillate build is double expectations... which is extremely bearish” for prices, Societe Generale analyst Deborah White said.

She noted that the market began switching its attention to heating fuel from gasoline, or petrol, about two weeks ago after the end of the US summer driving season.—AFP