LONDON, May 18: The price of Brent crude hit the highest level for more than eight months on Friday, rising above $70 a barrel on concerns over tight supplies before recoiling on profit-taking, traders said.

Brent North Sea crude for July delivery shot up to $70.35, a price last seen on September 1, 2006.

It later stood at $69.64 in electronic deals, down 63 cents on Thursday's close.

New York's main oil futures contract, light sweet crude for delivery in June, rose 36 cents to $65.22 a barrel in floor trading.

Earlier on Friday it reached $65.64, the highest point since April 30.

Crude futures had surged by more than $2 on Thursday as the market focused on problems at US refineries ahead of the high-demand season for motor fuel, and unrest in oil producer Nigeria.

“The market is consolidating after an impressive surge on Thursday on the back of concerns about problems at US refineries and low gasoline stocks for this time of year,” Sucden analyst Michael Davies said in London.

US government data puts gasoline (petrol) inventories are more than 7 per cent below their five-year average for mid-May.

Dealers said the market remained concerned whether US refineries could meet gasoline demand when Americans take to the highways during the holiday driving season which begins in two weeks.—AFP