Oil settles higher amid renewed Strait of Hormuz concerns

Global oil prices climbed on Thursday, with Brent crude settling above $82 a barrel, following reports that Iran is considering new restrictions on the passage of vessels through the Strait of Hormuz, Al Jazeera reported.

Brent crude futures rose $3.04, or 3.83 percent, to settle at $82.49 a barrel, while US West Texas Intermediate (WTI) crude gained $2.07, or 2.75 percent, to close at $77.29 a barrel.

The price increase came after Iran’s Fars News Agency, citing a lawmaker, reported that a parliamentary committee is reviewing a preliminary bill that would prohibit US, Israeli and other vessels deemed “hostile” from transiting the Strait of Hormuz.

According to the report, the proposed legislation would impose fines of up to 20 percent of a ship’s cargo value on vessels found violating the restrictions.