LONDON: Oil prices extended gains on Tuesday owing to concerns about tight supplies in the United States, which is the world's biggest consumer of energy.
The price of Brent North Sea crude for October delivery gained nine cents to 71.04 dollars per barrel from Friday's close.
New York's main futures contract, light sweet crude for delivery in October, rose 13 cents to 72.0 dollar per barrel.
"Oil's sill reacting to the weekly stats that we had last week," said Base Commodities trader Tony Machacek.
Last Wednesday, the US department of Energy said that US gasoline, or petrol, reserves had sunk by 5.7 million barrel during the latest week -- larger than market expectations of a drop of 800,000 barrels.
"Although it is late in the gasoline season...the potential for an inventory squeeze is keeping traders worried," analysts at Deutsche Bank said on Tuesday.
US gasoline supplies remain below average levels as refiners have struggled to keep up with demand during the peak American demand season which kicked off in May.
Analysts warned, however, that another severe setback in the wider financial markets could easily wipeout oil's gains as risk aversion would most likely return.
In recent weeks, nervousness in wider financial markets over the weak US housing market led traders to sell their oil investments, considered as risky assets.
