Oil extends gains, holds above seven-week high

Brent Oil Futures expiring in November gained 0.3% to $69.63 per barrel

Oil prices extended gains in Asian trade on Friday, holding above a seven-week high and set for a strong weekly gain, as concerns over Russian supply disruptions and a surprise drop in U.S. crude inventories tightened the market outlook.

As of 01:08 GMT, Brent Oil Futures expiring in November gained 0.3% to $69.63 per barrel, while West Texas Intermediate (WTI) crude futures added 0.4% to $65.25 per barrel.

Both benchmarks remained at their highest since early August and were set to climb more than 4% this week.

Gains for the day were limited by concerns over future interest rate cuts by the U.S. central bank, and new tariff announcements from President Donald Trump.

Moscow said this week it would impose partial curbs on diesel exports and extend a gasoline export ban until end-2025, in a bid to safeguard domestic fuel supplies.

Supply risks have been amplified by Ukrainian drone strikes on Russian energy facilities in regions including Bryansk, Samara, and Bashkortostan.

Kyiv has targeted refineries and petrochemical plants, disrupting throughput and raising questions over the reliability of Russian product exports.

Washington and its allies are also weighing new sanctions on Moscow, adding to concerns that Russian crude and diesel exports could drop further.

On the demand side, data this week showed a larger-than-expected drawdown in U.S. crude inventories.

Figures from the American Petroleum Institute (API) estimated a 3.8 million barrel decline in the week to Sept. 19, while official data from the Energy Information Administration (EIA) confirmed a smaller but still notable drop.

The reports signalled tighter near-term balances and provided renewed support for prices.