NYMEX-Crude down sharply on economic worries

* Refineries, offshore drillers continue recovery efforts

* LOOP restarts offloading tankers after Gustav halt

NEW YORK, Sept 5 (Reuters) - U.S. crude oil futures
extended losses in late morning trading on Friday on economic
worries after government data showed the U.S. economy lost more
jobs than expected in August.

On the New York Mercantile Exchange at 11 a.m. EDT (1500
GMT), October crude CLV8 was down $1.97, or 1.83 percent, at
$105.92 per barrel, trading from $105.13 to $108.10.

Technical resistance was charted at $110, with support at
$105, which is near the week's low of $105.46 hit Monday.

In London, October Brent LCOV8 was down $2.22, or 2.09
percent, at $104.08 a barrel, trading from $103.45 to $106.65.

The U.S. dollar fell against the euro for the first time in
seven sessions on Friday on a U.S. jobless report that showed
the unemployment rate unexpectedly shot up to 6.1 percent in
August, its highest in nearly 5 years. [USD/]

The latest jobs data heightened fears over the U.S. labor
market and the general health of the world's largest economy,
erasing some support for the greenback, which had been stronger
lately on the perception that the U.S. economy would outpace
those of Europe and Asia. [USD/]

"The economy in the U.S. and Europe are turning bad and
people realize that the growth in the economies of China, India
and Brazil will not be enough to offset what looks like a world
economic contraction," said Kyle Cooper, director of research
at IAF Advisors.

Oil companies continued their efforts to restart refineries
and offshore oil fields on Friday in a slow recovery from
Hurricane Gustav. For a complete report, see FACTBOX
[ID: nN05392077]

In the Gulf of Mexico, 95.2 percent U.S. oil production
remained shut. [ID:nEIA001069]

Onshore, 10 refineries, with 9.7 percent of U.S. capacity,
were still shut, while three were reported restarting.

The Louisiana Offshore Oil Port said Friday it restarted
offloading tankers after suspending operations on Aug. 30 due
to Hurricane Gustav. [ID:nN05405999]

Hurricane Ike will likely crash through the Bahamas early
next week and South Florida by mid-week as it advances toward
the Gulf of Mexico, the U.S. National Hurricane Center said in
its 11 a.m. EDT (1500 GMT) report Friday. [WEA]

Tropical Storm Hanna was not expected to be anything more
than a minimal Category 1 hurricane when it reaches the U.S.
East Coast, the NHC said.

NYMEX October RBOB RBV8 was down 7.52 cents, or 2.74
percent, at $2.6652 a gallon, trading from $2.6442 to $2.7430.

Resistance was charted at $2.9160, with support at
$2.7370.

October heating oil HOV8 was down 7.23 cents, or 2.39
percent, at $2.9514 a gallon, trading from $2.9319 to $3.0193.

Resistance lurked at $3.0905, while support was pegged at
$3.0065.

The heating oil crack spread <0#CL-HO=R> dropped to $18.04,
after ending at $19.11 Thursday. The RBOB crack spread
<0#RB-CL=R> fell to $6.02, from Thursday's close at $7.21.
(Reporting by Gene Ramos; Editing by Walter Bagley)