RoydadNaft –  Brent crude futures rose 80 cents, or 0.97%, to $83.29 a barrel. U.S. West Texas Intermediate (WTI) futures gained 64 cents, or 0.83%, to settle at $77.93 a barrel.

Oil extended its gains on Friday amid mounting concerns over the reopening of the Strait of Hormuz. Iran, working with Oman, has proposed banning vessels deemed hostile from the waterway and imposing heavy fines on those that violate the rules.

Brent crude futures were up 80 cents, or 0.97%, at $83.29 a barrel by 0303 GMT. U.S. West Texas Intermediate futures rose 64 cents, or 0.83%, to $77.93.

Oil futures settled more than $3 a barrel higher on Thursday after Iran began reviewing a bill to ban U.S. and Israeli vessels from the Strait of Hormuz. Roughly one-fifth of the world’s oil and liquefied natural gas passed through the strait before the conflict began at the end of February.

Prices had fallen earlier in the week as the prospect of a resolution to the ongoing conflict appeared more likely. Benchmark Brent then broke back above $80 on Thursday after slipping below that level for the first time since July 13. Both benchmarks were still on track for a weekly loss of about 8%.

Analysts said the events of the past week signal that hostilities between Iran and the United States are far from over.

“The proximate trigger is more specific — oil prices are reacting to Iran’s published draft plan for Hormuz transit conditions, which would ban U.S. and Israeli vessels and require other ‘hostile’ countries to pay compensation before passage,” said Lin Ye, vice president of commodities market – oil at consultancy Rystad Energy.

“That’s not the market pricing in a bad deal. It’s pricing in confirmation that whatever emerges will be a managed and conditional corridor, not a restoration of normal flow,” Ye added.

An Iranian lawmaker said a parliamentary committee is reviewing a preliminary bill to ban U.S., Israeli and other vessels deemed hostile from the Strait of Hormuz and to fine violators up to 20% of cargo value, according to the Fars news agency.

Iran is seeking fees of between 5% and 7% of the value of cargoes from ships using the strait, according to a senior Iranian official. Oman is discussing fees of around 3%, while Washington is insisting on no fees at all.

Four industry sources said the proposed arrangement would be difficult to implement because of U.S. sanctions and restrictive insurance clauses governing any payments.

“This week’s signals on a potential Iran-Oman transit deal have driven a roller-coaster ride in market sentiment, but as of now it has left the market in the dark as to what needs to happen for an agreement to be clinched,” said Vandana Hari, founder of oil market analysis provider Vanda Insights.

Meanwhile, Yemen’s Houthis said they carried out missile and drone attacks on “Saudi deployments” in Marib and Hadramout on Thursday.

U.S. President Donald Trump told reporters on Thursday that he believed the war would be over soon.