Oil prices rose on Tuesday after the Organization of the Petroleum Exporting Countries and its allies, known as OPEC+, agreed to a modest production increase, a move that fell short of market expectations and reinforced concerns about tighter global supply amid the threat of fresh sanctions on Russia.

Brent crude was up 22 cents, or 0.33 per cent, at $66.24 a barrel as of 0005 GMT, while U.S. West Texas Intermediate gained 24 cents, or 0.39 per cent, to $62.50.

OPEC+, announced on Sunday that eight member countries will raise collective output by 137,000 barrels per day starting in October.

The figure is sharply lower than the group’s earlier monthly hikes of around 555,000 bpd in August and September, and 411,000 bpd in June and July, according to The Economic Times.

“The October move marks the reversal of cuts that were set to remain in place until the end of 2026, following the rapid return of the previous tranche of idled barrels over recent months,” said Daniel Hynes, senior commodity strategist at ANZ, in a client note on Tuesday.

Oil markets were further lifted by speculation of fresh sanctions on Russia after its largest airstrike on Ukraine set ablaze a government building in Kyiv.

President Donald Trump said he was prepared to advance to a second phase of restrictions, as EU officials met United States counterparts in Washington to consider the first coordinated transatlantic measures since his return to office.