Oil rises as Iran nuclear talks falter, supply disruption fears

Oil futures extended gains in trading on Tuesday as the United States and Europe plan to impose new sanctions against Russia over alleged war crimes committed by Russian forces in Ukraine, heightening concerns about supply disruptions as Iran nuclear talks falter.

Brent crude futures rose 1.20 dollars, equivalent to 1.1%, to reach 108.73 dollars a barrel, while US Brent crude futures rose 1.25 dollars, equivalent to 1.2%, at 104.53 dollars a barrel.

Both contracts briefly rose above $2 a barrel in early Asian sessions after Japan’s Industry Minister Koichi Hagiuda said the International Energy Agency was still working out details for the second round of coordinated oil releases.

Global crude oil futures rose more than 3% on Monday due to the threat of more sanctions against Russia over the killing of civilians in Ukraine and after a pause in Vienna over talks to revive the Iranian nuclear deal, which may put more Iranian barrels on the market, as Iran accused The United States caused a halt to the talks.