Ministry of Energy: oil price may rise to $150 in case of embargo

The Ministry of Energy of the Russian Federation allows an increase in the cost of oil to $150 per barrel if a complete ban on the supply of raw materials from Russia is still imposed. At the same time, experts emphasize that in the current conditions it is extremely difficult to engage in forecasting, especially given the behavior of Western countries.

When asked how energy prices will change in the event of an embargo on supplies from the Russian Federation, the agency said: «Our task is not to guess how much oil will cost, but to ensure the functioning of the oil industry.» At the same time, the head of the Ministry of Energy noted that Russia is ready to supply oil and petroleum products to friendly countries at any price, as well as redirect its supplies to alternative markets, for example, to Asia.

Now the price of Brent oil is in the range of $100-105 per barrel. In early March, the price rose to a maximum of $139 per barrel. The cost of North American WTI oil is in the range of $92-103 per barrel.

Last week, the European Union introduced the fifth package of sanctions of anti-Russian restrictions. The new measures imply a ban on coal imports from Russia from August 2022. Oil and gas are not affected.