HOUSTON: Oil prices rose on Thursday after the United States issued new Iran-related sanctions and renewed tensions in the Middle East countered strength in the dollar.

Brent crude futures settled up $1.22, or 1.72 per cent, at $72 a barrel.

The US West Texas Intermediate crude (WTI) contract for April expired on Thursday, and settled up $1.10 or 1.64pc at $68.26.

The more actively traded WTI May contract settled up $1.16, or 1.73pc at $68.07.

The US on Thursday issued Iran-related sanctions, targeting entities including for the first time a Chinese “teapot”, or independent refinery, and vessels that supplied crude oil to such processing plants.

China is the largest importer of Iranian oil. Teapot refiners are private Chinese refineries that are the primary purchasers of Iranian oil.

Iran produces more than 3 million barrels per day of crude oil.

“We were looking for some kind of catalyst to move and that was the ticket that pushed us back towards the high,” said Phil Flynn, senior analyst with Price Futures Group.

Elsewhere, Opec+ issued a new schedule for seven member nations including Russia, Kazakhstan and Iraq to make further oil output cuts to compensate for pumping above agreed levels.

The plan will represent monthly cuts of between 189,000 barrels per day and 435,000 bpd, according to a table on Opec’s web site. The scheduled cuts last until June 2026.

Meanwhile, US crude inventories rose 1.7 million barrels, exceeding expectations for an increase of 512,000 barrels in an earlier Reuters poll.

Published in Dawn, March 21st, 2025