** S&P 500 energy index .SPNY up ~1%, tracking prices of oil O/R

** Brent crude futures LCOc1 up 1.1% at $66.50/barrel, U.S. West Texas Intermediate crude CLc1 rise 1.4% to $63.19/barrel

** Prices rise as the American Petroleum Institute reported a drop in U.S. crude inventories and investors awaited the next steps in talks to end the Ukraine war, with sanctions on Russian crude remaining in place for now

** Energy majors Exxon XOM.N up 1.5% and Chevron CVX.N up marginally

** Exxon, APA corp APA.O , ConocoPhillips COP.N and Coterra Energy CTRA.N up between 0.8% and 1.6%; among top percentage gainers on the energy index

** Oilfield service company SLB SLB.N up marginally

** Refiners Phillips 66 PSX.N and Valero VLO.N up 0.5% each

(Reporting by Katha Kalia in Bengaluru)

((katha.kalia@thomsonreuters.com;))