Oil prices extended gains on Monday as progress in talks between US and Ukrainian leaders on ending the war, alongside escalating tensions in the Middle East, heightened concerns over potential supply disruptions.
International benchmark Brent crude traded at $60.87 per barrel at 9.44 a.m. local time (0644 GMT), up 0.7% from last Friday's close of $60.43.
US benchmark West Texas Intermediate (WTI) was at $57.27 per barrel, rising around 0.7% compared with $56,86 last week.
US President Donald Trump said Sunday that significant progress was made toward ending the Russia-Ukraine war following his meeting with Ukrainian President Volodymyr Zelenskyy.
Zelenskyy said they had "really great discussions on all the topics," noting that 90% of the 20-point peace plan has been agreed upon. He added that US-Ukraine security guarantees are fully agreed, US-Europe-Ukraine security guarantees are nearly finalized, the military dimension is 100% agreed, and a prosperity plan is still being finalized.
At the same time, Saudi Arabia's air operations against Yemen and comments by Iranian President Masoud Pezeshkian have added to concerns over supply security in the Middle East.
Iran is in a state of "comprehensive war" with the US, Israel, and Europe, Pezeshkian said Saturday in an interview published on the official website of Iran's Supreme Leader Ali Khamenei.
"This war is more dangerous, more complex, and more difficult than the war with Iraq" between 1980 and 1988, he added. The Iranian leader accused the US, Israel and some European countries of supporting the collapse of Iran.
Despite these risks, international organizations and market analysts caution that global oil supply may outpace demand in 2026 amid rising non-OPEC output and weaker demand expectations, which is capping further price gains.
By Ebru Sengul Cevrioglu
Anadolu Agency
energy@aa.com.tr