Crude has surged in 2022, with Brent hitting US$139, its highest since 2008, in early March as Russia’s invasion of Ukraine exacerbated supply concerns
slowing demand growth and rising production from other major oil economies will help weather the effect of sanctions on Russia.
Russia’s new sanctions, which include a total of 30 entities, have increased momentum as the European Union stalls over plans for a Russian oil ban.
The EU’s refusal to pay directly in rubles tests Putin’s threat to cut off the gas supply, and buyers in Europe “would be running a very real risk of their supplies being cut.
Europe is desperate to replace Russian gas, which has driven the U.S. to export as much LNG as it possibly can.
Brent crude futures were up 49 cents, or 0.5%, at US$107.13 a barrel as of 0657 GMT, having fallen to US$105.06 earlier in the session
Western sanctions on Russia after their invasion of Ukraine are expected to see a loss of about three million barrels per day (bpd) of Russian oil in April, according to the IEA
TotalEnergies reaffirms its firmest condemnation of Russia’s military aggression against Ukraine, which has tragic consequences for the Ukrainian population and threatens peace in Europe.
The extreme volatility in oil markets is here to stay, as traders have slashed open interest in oil futures to a seven-year-low.
Schlumberger, Halliburton, and Baker Hughes have not announced their withdrawal from Russia.