Global oil prices shot up to new highs as Iraq's southern oil fields halted pumping to avoid a threatened attack by Shiite Muslim militia.

New York's light sweet crude for delivery in September surged 89 cents to close at 44.84 dollars a barrel in mid-afternoon trading Monday, after briefly flirting near 45 dollars.

The September contract struck an all-time high of 44.98 dollars in the early afternoon in New York as prices roared past the previous record, set Friday, of 44.77 dollars.

Brent North Sea crude oil for September delivery surged 93 cents to an unprecedented close of 41.56 dollars.