-- Oil prices rose for a fourth consecutive session on Thursday following a breakdown in diplomatic efforts, while tensions have escalated between the US and Iran.
The Brent futures contract gained 0.8% to $102.67 per barrel. West Texas Intermediate futures added 1.2% to $94.07 a barrel.
"Oil trades higher for a fourth consecutive day, with Brent trading around $103, as both Iran and the US attempt to block the Strait of Hormuz, with no clear end in sight to a war that has severely disrupted global supplies of several key commodities," Saxo Bank analysts said.
"Trump said the truce will remain in place indefinitely as Washington awaits a revised peace proposal, but Iran has signaled it does not plan to hold talks soon," they added.
Experts say that the market is now aggressively repricing for a prolonged supply crisis following the seizure of two tankers in the Strait of Hormuz by Iran and a Pentagon estimate suggesting it could take six months to clear mines from the waterway.
The maritime standoff reached a fever pitch Thursday after US forces seized the sanctioned oil tanker Majestic X in the Indian Ocean.
This follows reports of interdiction of three other Iranian-flagged vessels and a Pentagon estimate that clearing mines from the Strait of Hormuz could take up to six months.
In a significant escalation, President Trump issued a direct order via social media for the US Navy to "shoot and kill" any small boats caught planting mines in the waterway.
"There is to be no hesitation," the President stated, adding that the Iranian naval fleet has been largely decimated with 159 ships "at the bottom of the sea."