US crude futures up $1 to $97.92/bbl

LONDON: US crude oil futures extended gains on Tuesday as fresh sanctions against Iran raised the prospect of political instability in the region, adding a geopolitical risk premium to prices.

The United States, Britain and Canada on Monday announced new sanctions on Iran's energy and financial sectors, ratcheting up pressure on Tehran to stop its nuclear programme.

By 0834 GMT, US crude oil futures were 94 cents firmer at $97.86 a barrel, having climbed to an intra-day high of $97.94 earlier.

Brent crude futures meanwhile were up 77 cents at $107.65 a barrel.