August 8, 2005 2:50 AM, EDT

Oil Sets Another Record, Closing Just Below $64 a Barrel

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rude oil futures continued where they left off last week, reaching a record $63.99 a barrel Monday before falling slightly to a record closing price of $63.94 on the New York Mercantile Exchange, news services reported.

The spikes were in part due to security concerns in Saudi Arabia, the world's largest oil producer, with a terrorist threat against the U.S. Embassy in Riyadh, Bloomberg reported.

Saudi Arabia is the world's largest oil producer, pumping more than 10% of global crude oil.

Monday's prices were the first time crude oil had traded above the $63 mark since the contract began in 1983.

The closing price was $1.63 higher than Friday's then-record $62.31, which was the first time benchmark light sweet crude oil futures had closed above $62. Futures hit a then-record intraday high of $62.50 a barrel last Wednesday.

Exxon Mobil, BP and Valero Energy have all temporarily closed U.S. refineries in the past few weeks, dealing with fires and other problems, Bloomberg reported.

(Click here for previous coverage.)