Crude oil prices have surged past $105 per barrel and briefly peaked at $108 after Mojtaba Khamenei was named Iran's new supreme leader following the killing of his father in a US-Israeli air strike.

Data from Trading Economics showed on Sunday that crude benchmarks were climbing sharply as markets reacted to developments in Iran amid rising Middle East tensions and growing uncertainty over the Strait of Hormuz, a key global oil transit route.

The price for a barrel of Brent crude, the international standard, was at $101.19 shortly after trading resumed on the Chicago Mercantile Exchange, up 9.2 percent from its settlement price of $92.69 Friday.

West Texas Intermediate, the light, sweet crude oil produced in the United States, was selling for about $107.06 a barrel. That's 16.2 percent higher than its Friday settlement price of $90.90.

Both could rise or fall as market trading continues.