The Strait of Hormuz, a critical chokepoint for global oil markets, is back in focus for oil traders
Iran has a record amount of oil on the water, equivalent to around 50 days of output, as China has bought less because of sanctions and Tehran seeks to protect its supplies from the risk of U.S. strikes, shipping data intelligence firm Kpler said.
CNBC's Pippa Stevens reports on the impact of civil unrest in Iran on oil.
The crude oil market continues to see a lot of resistance above, causing it to continue to offer short-term selling opportunities for those who can wait. Volatility will continue to be a feature here.
Norway's government said on Monday it will present a policy document to parliament next year on the future of the oil and gas industry, including companies' access to exploration acreage.
Global oil trading houses have emerged as early winners in the race to control Venezuelan crude flows, getting ahead of U.S. energy majors wary of credit and legal risks and securing a potentially lucrative business opportunity in the country with the world's largest crude reserves.
The official market for crude could soon start to feel disturbances as the U.S. and Europe crack down on illicit trading.
President Donald Trump said Sunday that he would "probably be inclined" to keep U.S. oil giant Exxon Mobil out of Venezuela. His comments come shortly after Exxon CEO Darren Woods said the Venezuelan market is "uninvestable" in its current state.
Oil markets are watching the Strait of Hormuz amid fears a potential U.S. response to Iran. A full closure could spike prices between $10 to $20 per barrel.
Oil prices are likely to drift lower this year as a wave of supply creates a market surplus, although geopolitical risks tied to Russia, Venezuela and Iran will continue to drive volatility, Goldman Sachs said in a note on Sunday.
Oil rose in the early Asian session amid Middle East tensions that could lead to supply disruptions.
The seizures of sanctioned vessels have created a new flashpoint between the U.S. and Russia at sea.