The limited impact of Hurricane Beryl and potential progress in Middle East ceasefire talks are exerting downward pressure on crude oil prices.
The U.K. Labour Party has vowed to increase taxes on fossil fuel producers.
Oil prices were little changed early on Tuesday after a hurricane that hit a key U.S. oil producing hub in Texas caused less damage than expected.
Hurricane Beryl made landfall near Matagorda, Texas as a Category 1 storm. Matagorda is about 150 miles northeast of Corpus Christi, a leading crude oil export facility.
Oil prices face support from potential Tropical Storm Beryl supply disruptions and inventory draws, despite easing geopolitical tensions.
Oil prices were little changed as investors eyed energy supply disruption, with the largest ports in Texas shut before Tropical Storm Beryl likely strengthens into a hurricane and makes landfall on Monday.
Beryl made landfall on Mexico's Yucatán Peninsula on Friday. Shell, Chevron, and Exxon Mobil have evacuated personnel from projects in the Gulf.
The crude oil market continues to see a lot of upward pressure in general, as the week has shown more buying pressure. Furthermore, we are in the midst of summer, which is a massive boost for demand yearly.
The crude oil market has seen buyers coming into the marketplace again on Friday, as the amount of demand for oil is likely to continue to be strong as we are in the midst of summer. Also, we have plenty of things to continue to pressure the markets from a geopolitical standpoint.
Oil market analysts have been forecasting a tighter market in the third quarter as summer fuel demand picks up. UBS is estimating that oil demand will grow by 1.5 million barrels per day this year, above the long-term growth rate of 1.2 million bpd.
Oil futures were flat to slightly lower Friday as U.S. traders returned from the Independence Day holiday, with crude headed for a fourth straight weekly gain though some analysts see upside limited by growing concerns over signs of softening growth.
Oil prices were little changed in Asian trade on Friday but were on track for a fourth straight week of gains and holding near their highest levels since late April on hopes of strong summer fuel demand and some supply concerns.