Russian Deputy Prime Minister Alexander Novak stated on Monday that oil prices could jump above $300 per barrel if the United States and Europe impose a ban on crude imports from Russia. Novak added in a video statement broadcast on Russian television, "It is clear that the rejection of Russian oil will lead to catastrophic consequences for the global market." "The price surge will be unpredictable. It could reach $300 per barrel, if not more."
Novak further explained, "Russia knows where it will redirect oil if Europe and the United States refuse it. Replacing Russian oil supplies to Europe will take more than a year. Europe is pushing us toward a ban on gas deliveries through the Nord Stream 1 pipeline, but we have not made that decision yet."
Brent crude futures settled on Monday at $123.21 per barrel, up $5.10 or 4.32%. U.S. oil futures settled at $119.40 per barrel, up $3.72 or 3.22%.
In the same context, two sources from OPEC+ stated on Monday that the coalition's policies are not related to rising oil prices, nor does it have any bearing on the possibility of increasing the group’s supplies, which includes Russia and Saudi Arabia. One source said, "The problem is that current market conditions are unrelated to OPEC's policy. It has nothing to do with supply shortages (production)." He added, "We all know the reasons for the current price. OPEC or OPEC+ have nothing to do with the factors driving prices to current levels."
