Brent crude rose above $80 per barrel on Friday as investors weighed renewed geopolitical risks after the cancellation of planned US-Iran talks and fresh Israeli attacks in Lebanon against improving shipping conditions in the Strait of Hormuz.
The Brent crude futures traded around $80.11 per barrel as of 0700GMT.
Oil prices found support after Switzerland said planned US-Iran talks would not take place as scheduled.
The Swiss Foreign Ministry said the discussion planned at Burgenstock was canceled after the White House announced that US Vice President JD Vance would not depart for Switzerland as logistical details for expected technical talks with Iran remained unresolved.
The cancellation raised concerns over the next phase of diplomacy after the US-Iran interim peace agreement, which ended a prolonged conflict that triggered the largest supply disruption on record.
Separately, Lebanon's National News Agency reported that Israeli bombing and artillery attacks on Nabatieh city and surrounding towns killed at least 24 people and wounded several others early Friday.
Despite renewed risks, investors focused on signs of normalization in energy flows through the Strait of Hormuz.
The US Central Command announced that it had lifted restrictions on traffic to and from Iranian ports and coastal waters, while the Joint Maritime Information Center advised vessels transiting the strait to follow a route closer to Oman's coastline to reduce mine risks.
Tankers carrying previously stranded crude began exiting the waterway on Thursday, while Kuwait said it would begin increasing production.
The improved shipping outlook limited oil's gains, with prices erasing nearly all increases recorded since the Middle East conflict began in late February and remaining on course for a sharp weekly decline.
