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Oil prices rose above $64 a barrel on Tuesday as an extension to output cuts by OPEC and its allies as well as rising tensions in the Middle East outweighed global growth worries.

Benchmark Brent crude climbed 0.9 percent to $64.69 a barrel while U.S. West Texas Intermediate crude futures were up 0.85 percent at $58.14 a barrel.

OPEC and its allies last week agreed to extend oil supply cuts until March 2020 to prevent prices from sliding amid soaring production from the United States.

Iran has reportedly breached a uranium enrichment cap set by a troubled 2015 nuclear deal, a year after Washington pulled out of the landmark accord between world powers and Tehran.

The European Union said, it was extremely concerned by the development and called on Iran to reverse all activities inconsistent with its deal commitments. U.S. President Donald Trump warned Tehran that "Iran better be careful."

Oil prices are also receiving some support from media reports suggesting a drop in U.S. crude inventories.

The American Petroleum Institute will release its weekly report on U.S. crude stockpiles later in the day.