Oil prices ticked up Monday morning after tensions re-flared in the Middle East over the weekend. News of Washington’s diplomatic offers to Tehran kept a lid on potentially more expansive price hikes.

Futures on Brent crude rose roughly in the session to hold above $110 per barrel after breaking through a key level when the contracts began trading Sunday evening. US WTI crude picked up 1.1% to trade above $102.

Leading headlines on Monday morning was news that President Trump had offered to waive sanctions on Iranian oil sales in an attempt to get Tehran back to the negotiating table.

The offer was reported by Iranian state-owned Tasnim News Agency, which said such an arrangement would be in place until a final peace agreement could be made. The White House has not confirmed the offer.

Tensions rose in the Gulf region over the weekend after President Trump said the “clock is ticking” for Iran: “they better get moving, fast, or there won’t be anything left of them. TIME IS OF THE ESSENCE!” the president wrote on Truth Social Sunday afternoon.

The president told Axios on Sunday that, “we want to make a deal,” and that he’s waiting for a new proposal from Iranian leaders. Axios reported Monday morning that the White House had received an updated proposal, but the administration considered it inefficient.

The state-owned Iranian news agency Fars reported over the weekend that the US has set five primary conditions for a peace deal, including a transfer of Iran’s enriched uranium to the US and no war reparations paid to the regime. The White House hasn’t confirmed terms besides President Trump’s comments that Iran cannot be allowed to develop nuclear weapons.

Inside the Gulf region, a drone strike on Sunday sparked a fire at a nuclear plant in the UAE, though it was unclear who had launched the attack. Around the same time, Saudi Arabia said it intercepted three drones that had crossed into its airspace from Iraq, which hosts several Iran-linked militia groups.

Over the weekend, an account that claims to represent the Persian Gulf Strait Authority, an agency Iran has set up to handle its attempts to control passage through the Strait of Hormuz, began posting on X. Navigation through the waterway, the account said, is “contingent upon full coordination with these entities, and passage without permission will be considered illegal.”

Traffic through the strait remains far below prewar levels, putting increasing pressure on a global oil market that has drastically drawn down its reserves. The head of the International Energy Agency, Fatih Birol, said Monday that commercial oil inventories had only a few weeks of oil left. While the release of strategic oil reserves had added 2.5 million barrels of oil per day to the market, those reserves are “not endless,” he added.