US heating oil futures traded around $4.26 per gallon, retaining most of the previous session's gains as geopolitical risks heightened concerns about supply. Diplomatic efforts between Washington and Tehran remained stalled after the US ruled out restoring the terms of a June agreement and said it was not currently negotiating with Iran. Washington instead imposed new sanctions earlier this week, which Iran condemned as hostile and ineffective. Supply risks also increased around the Black Sea as Russia considers intensifying military pressure on Ukraine after concluding that peace negotiations had reached a dead end. Strikes on Russian refineries have disrupted refining capacity, adding to regional fuel concerns. In the US, EIA (U.S. Energy Information Administration) data showed distillate stockpiles, which include heating oil, declined by 2.2 million barrels last week, exceeding expectations for a 1.6 million-barrel drop and pointing to tight inventories.