Oil prices have increased after Anadarko Petroleum evacuated two oil platforms in the Gulf of Mexico in the event of a hurricane.

US light crude rose $1.31 to trade at $71 a barrel, while Brent crude increased by $1 to reach $79.15, Reuters reported.

Gordon is threatening to hit the Gulf Coast including coastal Mississippi on 4 September.

Since the middle of last month, Brent prices soared by more than 10% due to tightness in global oil markets.

Investors are wary of reduced Iranian exports over impending US sanctions on the OPEC member.

“Prices could reach $80 and higher in the short term.”

JBC Energy research head Michael Dei-Michei was quoted by the news agency as saying: “With ship-tracking data now pointing at a reduction in Iranian exports, renewed strife in Libya, and Venezuelan export availability hobbled by an accident at the key Jose terminal, the list of bullish headlines is getting longer.”

Barclays Bank underscored the change in oil markets since last year when traders’ concerns about rising supply were more palpable.

Barclays said: “US producers are resisting temptation and exercising capital discipline, OPEC and Russia have convinced market participants they are managing the supply of over half of global production, the US is using sanctions more actively, and several key OPEC producers are at risk of being failed states.

“Prices could reach $80 and higher in the short term.”

The bank revised its 2020 forecast for Brent to average $75 a barrel from the previous estimate of $55, while BNP Paribas indicated that Brent is set to average $79 next year.

Washington is stepping up pressure on countries to stop oil imports from Iran from November this year.

Despite the pressure, India and China indicated that they will continue to import Iranian crude.

India said that it will allow state-owned refining companies to use Iranian tankers to purchase oil from Tehran after the sanction-hit OPEC member agreed to arrange and insure tankers.

Similarly, China is shifting most of its Iranian oil imports to vessels owned by National Iranian Tanker Co.