Crude oil posted modest gains as the prospect of large volumes of Russian diesel entering the global market competed against rising supply risks, including another tanker attack in the Strait of Hormuz and a hurricane bearing down on the United States.

Brent crude rose about 0.4%, settling near $105 a barrel, after surging more than 4% on Thursday.

U.S. President Donald Trump said in a social media post that Russian President Vladimir Putin has agreed to immediately supply more than 300,000 tons of diesel to global markets.

Heating oil futures fell as much as 5% in post-settlement trading, leading losses across the energy complex. Trump's remarks cooled what had been overwhelmingly bullish sentiment.

Despite recent increases in crude shipments out of the Middle East, futures prices still posted gains this week as Iran once again attacked tankers, raising the risk for vessels transiting the Strait of Hormuz.

Meanwhile, freight rates have climbed to record highs, as the tanker attacks have pushed up transportation risks in the waterway, while renewed conflict between Saudi Arabia and Iran-backed Houthi rebels in Yemen has added further uncertainty to the market.

"Ship-to-ship transfers now tie up more vessels, and the process can take up to 10 days; other ships are choosing longer routes to avoid higher-risk areas," analysts including Natasha Kaneva at JPMorgan said in a report. "The math is simple: the longer each ship takes to move cargo, the more ships are needed to transport the same amount of crude."

Outside the Middle East, producers in the U.S. Gulf of Mexico have shut in about 72% of crude production as Hurricane Isaias moves toward the U.S. coast. The hurricane is expected to make landfall late Friday or early Saturday.

WTI November futures rose 0.4%, settling at about $91.85 a barrel. Brent December futures rose 0.4%, settling at about $104.72 a barrel.