Surging oil production has put the United States on track toward greater energy independence, pushing US reserves to their highest levels in 30 years. But analysts say bottlenecks in the distribution system are keeping oil from reaching markets. US oil stocks reached 395.3 million barrels last week, a level not seen since US authorities began publishing weekly figures in 1982. The Energy Department's monthly figures show it to be the highest since April 1981.

CALGARY - Canadian Natural Resources Ltd. (TSX:CNQ) says an expansion to its Horizon oilsands mine is currently tracking 10 per cent under budget as contractors and service providers compete for work in the Fort McMurray, Alta. region. "The availability of construction contractors and related services has been better than expected," president Steve Laut told analysts on a conference call Friday to discuss the company's first-quarter earnings. "As a result, we continue to see bidders sharpen their pencils."

World oil prices held firm on Friday as investors locked in profits after a strong rally following the European Central Bank's decision to cut interest rates, and at the end of a rollercoaster week that was mostly driven by global economic data, analysts said. The market was also buoyed by hopes of an upbeat US non-farm payrolls report, which is slated for publication later in the day. Brent North Sea crude for delivery in June rose 36 cents to $103.26 a barrel approaching midday in London. New York's main contract, light sweet crude for June gained 18 cents to $94.17.

BANGKOK - The price of crude oil fell slightly Friday, a day after posting its biggest jump since late last year, as traders awaited the release of a closely watched U.S. employment report. Benchmark crude for June delivery was down 26 cents to US$93.73 per barrel at midday Bangkok time in electronic trading on the New York Mercantile Exchange.