UPDATE 2-Oil majors curb FTSE losses as crude surges after Saudi attacks

* FTSE 100 down 0.6%, FTSE 250 down 0.7%

* Oil companies surge on jump in crude prices

* Weak China data drags Asia-focussed stocks

* BT rises after CEO buys shares
(Adds news items, analysts' comments, updates to closing
prices)

By Yadarisa Shabong

Sept 16 (Reuters) - Britain's blue-chip index dropped on
Monday as non-oil stocks took a hit from mounting geopolitical
risks and growth concerns after crude prices rose due to the
attacks on Saudi Arabian production facilities.

The FTSE 100 slipped 0.6% overall, but a 4% gain in
BP and 2% in Shell kept a lid on losses.

The FTSE 250 was down 0.7%.

The attacks on Saturday shut about 5% of global supply,
triggering the biggest intra-day percentage gain in Brent crude
since the Gulf War in 1991.

"It looks like investors assess the situation as having
potential to further weigh on a geopolitical landscape already
beset by the slowing global economy, Brexit and trade," City
Index analyst Ken Odeluga said.

Crude prices retreated after U.S. President Donald Trump
approved the use of his country's emergency oil stockpile to
ensure stable supply.

Still, losses were seen across the board in all but the
energy and utilities sectors. The travel and leisure index
that also houses airline stocks dropped 1%.

Asia-facing financial shares and miners also weighed on the
main index, after data showed that China's slowdown deepened in
August with growth in industrial production at its weakest for
17-1/2 years.

The FTSE banking index lost 1.7% and the mining
index slid 1.6%.

Meanwhile, the FTSE oil & gas index jumped 2.8%
on its best day in seven months. Premier Oil and Tullow
Oil gained the most on the index.

"Explorers like Premier Oil, Cairn Energy and Tullow Oil
were even bigger beneficiaries as they stand to gain the most
from supply shortages and disruption to existing channels,"
Markets.com analyst Neil Wilson said.

In news-related moves, telecoms company BT rose 3.4%
to be among the top gainers on the main index after its chief
executive bought shares in the company.

Wealth manager St. James's Place fell 2.7%, with
traders citing a report that said the company would likely axe a
bonus scheme for its partners.

African diamond miner Petra Diamonds slipped 5.8% to
hit an all-time low after it missed annual profit forecasts, as
a Sino-U.S. trade row and protests in Hong Kong dented demand in
big Asian markets.

On the Brexit front, the outcome of Prime Minister Boris
Johnson's Luxembourg visit pushed the pound lower after heated
remarks by Luxembourg's prime minister showed the gap between
the British and European Union positions remained far apart.

At home, Britain's top markets watchdog called for EU action
to avoid Brexit disruption and said overlapping British and
European share trading rules would damage markets "to no good
end".
(Reporting by Yadarisa Shabong in Bengaluru
Editing by Saumyadeb Chakrabarty and Andrew Cawthorne)