Oil has struck an all-time high at more than 81 dollars a barrel.
The price rise is attributed to concerns of a winter suppply squeeze in the US, the world’s biggest consumer of oil.
The tightening of US fuel inventories and investment fund flows into energy have driven the oil price rally.
The recent boost in oil production by OPEC of 500,000 barrels a day has failed to soothe consumer concerns of fuel shortages.
The price of US crude has climbed 33 percent this year.
And oil prices generally have quadrupled since 2002.
Some OPEC members say exporters may have to pump more if oil stays above 80 dollars a barrel for the next two or three weeks.
Some oil market analysts in the US say the price of a barrel of crude could reach as high as 90 dollars.
This skyward climb of oil prices will translate into more pain for motorists, among consumers already feeling the pinch.