[Source: Reuters]

Oil prices settled up more than 9% on Monday at a one-month high.

This is after news ​that a United States’ naval blockade due to begin on Tuesday will cover Iran’s entire coastline, ports and oil terminals, as well as all vessels regardless ‌of flag, reigniting concerns over energy shipments through the Strait of Hormuz.

Brent crude futures settled up $7.29, or 9.59%, to $83.30, while U.S. West Texas Intermediate crude settled up $6.73, or 9.42%, to $78.14 a barrel.

Brent futures posted their biggest single-day dollar gain since April 2, and highest settlement since June 12. U.S. crude futures, meanwhile, made their largest daily gain since April 29 to settle at their highest since June 15.

The U.S. ​is set to reinstate the naval blockade on July 14 at 2000 GMT, according to the U.S. Navy-led Joint Maritime Information Center.

The blockade had been ​lifted in mid-June.

Earlier in the day, President Donald Trump said the United States was reinstating a naval blockade and would be reimbursed 20% ⁠on all cargo shipped through the Strait of Hormuz, following renewed military exchanges with Iran.

“President Trump’s reinstatement of restrictions on Iranian maritime traffic, alongside retaliatory attacks and sharply reduced ​vessel flows through the strait has intensified concerns over near-term supply availability,” said Gelber & Associates analysts in a note.

Iran’s top joint military command had earlier said it would not allow ​Washington to intervene in the management of the strait and any attempt by the U.S. to transit without its authorization would be confronted.

The UN’s shipping agency against Trump’s proposal, saying it opposes any fees for straits used in international navigation and stressing that there is no legal basis for introducing mandatory tolls on strait transits.

Before the conflict began in late February, the Strait of Hormuz handled about ​one-fifth of global daily oil and liquefied natural gas supplies.