Oil rises above $71, OPEC sees enough oil

By Janet McBride

LONDON (Reuters) - Oil climbed above $71 a barrel on Thursday, nearing a nine-month high, after OPEC's president reiterated the exporter group was pumping enough crude to satisfy world markets.

OPEC President Mohammed al-Hamli said oil supplies were "sufficient currently" and there was no need for an emergency meeting. Consumers have been urging the 12-member group to produce more oil to lower prices.

London Brent crude LCOc1, currently seen as a better gauge of the global market than U.S. oil, settled up 20 cents at $71.22 a barrel. U.S. crude CLc1 settled up 97 cents at $66.93 a barrel.

"The market is reacting to the OPEC President saying the cartel has no intention of raising output," said Nauman Barakat, senior vice president at Macquarie Futures USA.

Prices rose earlier on headlines from the Middle East saying Turkish troops had entered northern Iraq.

Turkey's foreign ministry and military denied Wednesday's report, but a source said troops had conducted a limited raid across the mountainous border.

Data showing U.S. refiners were struggling to boost summer gasoline production and Cyclone Gonu's disruption of Omani oil and gas exports also kept Brent crude within sight of late May's $71.80 high.

Weekly U.S. inventory data showing a surprise drop in refinery utilization rates last week added to gains, overshadowing an unseasonally large 3.5 million barrel build in gasoline stocks thanks to a surge in imports.