UPDATE 1-US oil stocks up, distillate stocks 33 pct below last yr

* Crude stocks up 1.7 million barrels

* Distillates down 3.2 million barrels

* Gasoline down 0.5 million barrels

* Heating oil futures hit 7-month high

(Adds table, recasts, adds quote, details)

By David Sheppard NEW YORK, Oct 11 (Reuters) - ------ API ------ ------ EIA ----- Stocks Change Change Stocks Change Change 10/05/12 from from 10/05/12 from from pvs wk yr-ago pvs wk yr-ago Crude 364.6 1.6 24.1 366.4 1.7 28.7 Distillate 120.8 -6.2 -31.1 120.9 -3.2 -33.1 Gasoline 200.3 2.5 -10.9 195.4 -0.5 -14.2 Heating oil 27.5 -0.5 -11.7 25.8 -1.6 -13.5 RFG gasoline 0.1 0.0 -0.9 0.1 0.0 -0.1 Kerosene 42.6 -1.2 -4.3 44.1 -0.3 -2.7 Crude runs (bpd) 14.7 -0.2 0.4 14.7 -0.1 0.2

U.S. crude oil stocks rose last week while distillate inventories posted a fourth straight draw to stand more than a third below last year's level, government data showed on Thursday.

U.S. distillate stocks, which include diesel and heating oil, fell by 3.2 million barrels in the week to 120.9 million barrels, the Energy Information Administration reported, far more than analysts' average forecast for a decline of 500,000 barrels.

Total U.S. distillate inventories are now 33 percent below the level of last October as refinery closures and higher exports have cut into domestic supplies.

"The report is fairly bullish, with the steep decline in distillate inventories being highlighted as the winter fuel demand season dawns," said John Kilduff, partner at Again Capital LLC in New York.

Heating oil futures

on the New York Mercantile Exchange hit a seven-month high of $3.2668 a gallon in the immediate aftermath of the report, before easing slightly.

Domestic stocks of crude rose by 1.7 million barrels in the week to Oct. 5, to 366.4 million barrels as imports rose. Analysts polled by Reuters ahead of the data release had forecast a stock gain of 800,000 barrels.

Imports of crude rose by 115,000 barrels per day to almost 8.2 million bpd during the week.

U.S. crude futures

pared gains after the data, trading up 89 cents at $92.14 a barrel at 11:43 a.m. EDT (1543 GMT), off an earlier high of $92.94 a barrel.

U.S. gasoline inventories fell by 534,000 barrels to 195.4 million barrels, against expectations they would be unchanged on the week.

Demand in the world's largest consumer continued to drop, with gasoline use over the four weeks to Oct. 5 down 3.3 percent from year-earlier levels, while distillate demand was off 3.5 percent.

Refinery utilization fell by 1.5 percentage points to 86.7 percent of capacity.

Stocks at Cushing, Oklahoma, delivery point of the U.S. crude oil future, rose by 300,000 barrels to 44.17 million barrels.

(Reporting By David Sheppard; Editing by David Gregorio; and Peter Galloway)

((d.sheppard@thomsonreuters.com)(+1 646 223 6057)(Reuters Messaging: d.sheppard.thomsonreuters.com@reuters.net))