08:48 AM EDT, 09/16/2025 (MT Newswires) -- Oil edged higher early Tuesday on weakening supply from Russia as Ukrainian attacks on the country's oil infrastructure cut into physical supply while China continues buying to build its strategic reserves.

West Texas Intermediate crude oil for October delivery was last seen up US$0.34 to $63.64 per barrel, while November Brent crude was up $0.25 to $67.69.

Ukraine continued its attacks on Russian oil refineries to cut into the fuel exports that are funding its war effort and limit supply available to the country's military. Its latest strike hit the 355,000 barrel per day Kirishi refinery near St. Petersburg following attacks on the nearby Primorsk terminal that can handle up to one-million bpd of exports.

Still, the supply risks are limited by rising production after OPEC+ completed the return of 2.2-million bpd of production cuts to market on Sept. 1 amid higher Western Hemisphere output, keeping prices rangebound despite warnings from forecasting agencies over rising inventories.

"Brent crude remains range-bound between $65 and $70, caught between Russian disruption risks from Ukrainian attacks and renewed calls from Trump for tougher secondary sanctions on Russian crude buyers, and increased supply from OPEC+," Saxo Bank said.

High demand from China is offering support to oil, as the country continues to build strategic reserves. Despite weak economic data from the country, including lower than expected retail sales and industrial production in August, the country's oil imports continue run above demand.

"Crude oil imports were 11.65mbpd in August and domestic output at 4.3mbpd. With China's refiners processing 14.94mbpd in August, the Crude surplus is now 1mbpd, double that of July's. China's oil demand does not constitute a strength in investment, in industry, in what is bought in shops or house prices. It derives from a willingness to keep ploughing feedstock into its billion plus barrel storage for strategic purposes," PVM Oil Associates noted.