Oil prices rose on Friday, extending the previous session’s gains as renewed uncertainty over shipping through the Strait of Hormuz supported the market. Brent crude climbed to $83.34 a barrel, while U.S. West Texas Intermediate traded at $77.81 in early trading.
The gains followed reports that Iran, in coordination with Oman, is considering new transit rules that would restrict vessels deemed hostile and impose heavy fines on violators. The proposals have raised concerns that normal shipping through one of the world’s most important energy chokepoints may not resume soon.
Analysts said the latest developments suggest tensions between Iran and the United States remain unresolved, despite earlier optimism that a diplomatic breakthrough was nearing. A draft bill under review in Iran’s parliament would target U.S., Israeli and other designated vessels, while discussions over transit fees remain divided among Iran, Oman and Washington.
Market observers said the proposed arrangements remain difficult to implement because of U.S. sanctions and insurance restrictions. Although oil benchmarks are still on course for a weekly decline after recent volatility, traders continue to price in geopolitical risks surrounding the future of crude exports through the Strait of Hormuz.