Oil prices rose at the start of the week after US President Donald Trump threatened further military action against Iran, heightening fears of supply disruptions.
Brent crude for delivery in June climbed above $111 a barrel, nearly$40 higher than before the outbreak of the conflict. US West Texas Intermediate (WTI) crude also gained.
Trump warned Tehran of severe consequences if it failed to comply with US demands by Tuesday 8 pm (0000 GMT Wednesday). The ultimatum,tied to reopening the Strait of Hormuz, appears to have been extended for a third time, though Washington has intensified its rhetoric.
Trump told the Wall Street Journal that "if they don't do something by Tuesday evening, they won't have any power plants and they won't have any bridges standing."
In a post on his Truth Social platform, Trump said: "Open the Fuckin'Strait, you crazy bastards, or you'll be living in Hell - JUSTWATCH!"
Meanwhile, eight countries forming the core of the OPEC+ group of oil producers said they were deeply concerned about Iranian attacks on energy infrastructure, warning that repairs to damaged facilities would be costly and time-consuming, undermining supply security.
They also highlighted the "critical importance of safeguarding international maritime routes to ensure the uninterrupted flow of energy" - a reference to the Strait of Hormuz, which Iran has effectively blocked in reaction to US-Israeli attacks.
At the same time, the group - including countries heavily exposed to the conflict such as Saudi Arabia, Kuwait, Oman and the United Arab Emirates - said they would modestly increase output. Daily production is set to rise by 206,000 barrels in May, they said.
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