Meanwhile, the U.S. continues to tout its energy security: File Image/Pixabay.

Oil on Friday extended its gains and hit its highest level in over six months based on traders reacting  to something U.S. president Donald Trump had been telegraphing for weeks now: that Washington may soon resume strikes against Iran.

Trump has repeatedly stated that that his department of war was developing new strike plans that could include using the “Mother of All Bombs”, and on Friday the brash billionaire reiterated to reporters that “we can take the whole country” if desired.

This coincided with the U.S. state department on Friday disclosing that it has taken “concrete action” in cutting off the financial support Yemen’s Houthis receive that has enabled them to conduct a series of attacks on Saudi Arabia interests.

Richard Hunter, analyst at Interactive Investor, said, “Widespread reports that the US is considering renewed military strikes on Iran after the midterm elections rather than pursuing a diplomatic route was enough for the price to pop, after what many had considered would be a brief conflict is now in its eighth month.”

As of mid-session Friday, Brent rose by about 3.5 percent to surpass $117 per barrel, its highest level since April.

By contrast, media noted that the prices of physical crudes from the Middle East softened this week, with oil continuing to flow out of the Persian Gulf in ship-to-ship transfers offshore Oman and producers offering competitive prices to Asian buyers.

Meanwhile, Washington on Friday authorized the release of up to 400,000 barrels from the Strategic Petroleum Reserve, to mitigate a crude supply disruption affecting the Phillips 66 Lake Charles Refinery in Louisiana.

The Department of Energy took the opportunity to give assurance that it will “continue working with industry partners to help ensure stability across the fuel supply chain and stands ready to utilize available authorities, as appropriate, to support the reliable delivery of energy supplies and protect U.S. energy security.”

In a separate development, sources told Bloomberg on Friday that North American Blue Energy Partners (NABEP) will soon activate three rigs in the fields in Venezuela it now operates, doubling the number of active rigs in its projects.

The privately held company, which has partnered with the U.S. administration to boost oil production in Venezuelay, has already raised output by about 20,000 barrels per day (bpd) since August.