Crude oil rose last week on Greece hopes

NEW YORK: Oil climbed last week as gasoline jumped to the highest level since August and amid signs Greece is near an agreement with its creditors. Futures rose 1.1% in the week after gasoline surged on speculation that refinery outages and plant closures will cut supplies. Olli Rehn, the European Union's commissioner for economic and monetary affairs, said an agreement is "very close" on private-sector involvement in a Greek debt swap.

"The closing of a number of refineries in the Northeast is making people very supply-conscious during a period with weak gasoline demand," said Peter Beutel, president of trading advisory company Cameronhanover.com in New Canaan, Connecticut. "Expectations that they will put together a Greek deal soon are lifting the entire complex." Oil for March delivery increased $1.10 in the week to settle at $99.56 a barrel on the New York Mercantile Exchange. Prices have climbed 16% in the past year. Futures slipped 14 cents on Saturday.

Brent oil for March settlement gained $1.60, or 1.5%, this week to $111.46 a barrel on the London-based ICE Futures Europe exchange. The futures ended Saturday's session up 67 cents, or 0.6%.

Gasoline futures for February delivery advanced 8.02 cents, or 2.8%, on Saturday to $2.9268 a gallon, the highest settlement since August 31. Prices gained 5.1% this week.

ConocoPhillips (COP) has scheduled a shutdown of a catalytic cracker at the 238,000-barrel-a-day Bayway refinery in New Jersey, the Houston-based company said today in a state regulatory filing. In Illinois, the company's 380,900-barrel-a- day Wood River refinery reported a wet gas compressor tripped offline.

In Texas, Royal Dutch Shell Plc reported a "temporary upset" at its 340,000-barrel-a-day refinery in Deer Park on Saturday.

Two refineries in Pennsylvania have been closed because they weren't profitable, and Hovensa said last week it will shut the 350,000-barrel-a-day St. Croix refinery in the U.S. Virgin Islands by mid-February.

"The refinery closures are sending gasoline higher, which is helping pulling crude higher as well," Beutel said. "The prospect of a Greek deal is the primary driver, though."