Oil prices rose on Tuesday, ending four consecutive days of decline, as traders assessed escalating threats to Russian supply ranging from Ukrainian attacks on energy infrastructure to potential diesel export restrictions.

WTI crude gained 1.8%, closing near $63, marking the largest single-day increase since early September. Following a series of Ukrainian drone strikes on Russian refineries, the Russian government is evaluating the possibility of implementing diesel export bans on certain companies.

"If Russian refined products cannot be exported, Russian crude exports could potentially increase in the short term as refining activity decreases," said Rebecca Babin, senior energy trader at CIBC Private Wealth Group. "However, this situation can only persist for a limited time before we see production shutdowns."

WTI's near-month spread - the price difference between its two nearest contracts - closed at approximately the strongest level in two weeks, reflecting concerns about tightening global supply prospects.

Limiting the gains was the potential for Iraq to soon resume exports through the Kurdish region after a two-year disruption due to payment disputes. According to informed sources, this could return approximately 230,000 barrels per day to international markets.

November WTI crude futures rose 1.8% to close at $63.41 per barrel.

November Brent crude increased 1.6% to $67.63 per barrel.