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EMEA Oil Update: Crude Advances as Traders Await US Sanctions, Iran Export Disruptions Deepen

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Crude futures rose in after-hours trading on Friday as traders weighed tougher US economic pressure on Iran and continued risks to regional oil flows.

Brent crude futures climbed by 0.49% to $94.24 per barrel, while Murban oil futures were up 2.06% at $103.15/bbl.

Continued tensions around the Strait of Hormuz and reported attacks on vessels, alongside Ukrainian strikes on Russian refineries and ports, have tightened global diesel markets and pushed refining margins to record levels, Soojin Kim, analyst at MUFG Research, said in a Friday note.

Iran's oil exports have virtually halted following the US naval blockade of its ports, Kim said, citing Iran's central bank governor, while tensions over the Strait of Hormuz remain elevated amid disputed control and further vessel attacks this week.

Refined-product markets remain under severe pressure, with US distillate inventories falling again last week to their lowest seasonal level since 1996, according to Daniel Hynes, senior commodity strategist at ANZ Bank.

Ukrainian attacks on Russian refineries, including the 300,000-barrel-per-day Taneco facility, have further tightened global diesel supplies, Hynes said.

Brent reached its highest level in almost a month as President Donald Trump prepared additional economic measures against Iran, while uncertainty persisted over a near-term reopening of the Strait of Hormuz, Hynes added.

Trump said Wednesday that the US would pursue an unprecedented economic campaign against Iran, and Treasury Secretary Scott Bessent followed Thursday by saying Washington would unveil details of its toughest sanctions package on Monday.

The US Treasury's Office of Foreign Assets Control also imposed sanctions on three individuals linked to Iran's Islamic Revolutionary Guard Corps-Qods Force and Hezbollah on Thursday.

The US plans to detail measures next week that could target countries and institutions doing business with Iran, creating particular uncertainty for China, the largest buyer of Iranian crude, according to Kim.

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