Oil prices extend gains as Hormuz tensions escalate

Oil prices maintained their upward trajectory on Wednesday as escalating tensions in the Middle East heightened supply concerns over disrupted shipments through the Strait of Hormuz and exports in the region.

International benchmark Brent crude traded at $83.14 per barrel at 10 a.m. local time (07:00 GMT), up 3.4% from the previous close of $80.37.

WTI increased 3.5% to $76.17 per barrel, compared with $73.58 in the previous session.

After the U.S. and Israel launched attacks on Iran on Feb. 28 despite ongoing negotiations between Tehran and Washington, Brig. Gen. Ebrahim Jabbari, an adviser to the commander-in-chief of Iran's Revolutionary Guards, said late March 2 that vessels would not be allowed to pass through the Strait of Hormuz. He warned that any ships attempting to transit the waterway would be targeted.

Iraq's Oil Ministry also announced on Monday that it had decided to halt oil production at the Rumaila field in Basra following Iran's move to close the Strait of Hormuz.