Oil prices rose for a second straight session on Tuesday as fears of supply disruptions linked to the US-Iran conflict outweighed signs of recovering Middle East oil exports.

Brent crude gained $1.49, or 1.4%, to reach $106.90 a barrel, while US West Texas Intermediate (WTI) rose $1.34, or 1.5%, to around $94 a barrel. Reuters reported slightly different intraday figures of $106.77 for Brent and $93.94 for WTI.

Shipping risks keep oil prices elevated

Analysts said the recovery in Gulf oil exports has not fully eased market concerns. Tim Waterer, chief market analyst at KCM Trade, said some shipments are relying on alternative methods such as ship-to-ship transfers, which can be more expensive and less efficient than normal deliveries.

These higher costs, along with continued uncertainty around regional shipping routes, are helping keep crude oil prices elevated despite improving export flows.

Middle East exports show signs of recovery

Preliminary Kpler data showed crude oil exports from key Middle East producers reached 12.8 million barrels per day in September, the highest level since February. Saudi Arabia and the United Arab Emirates were major contributors to the increase.

Exports through the Strait of Hormuz were also expected to recover to about 7.4 million barrels per day during September. However, regional exports remained about 6 million barrels per day below February levels, showing that the recovery is still incomplete.