JPMorgan: Immediate EU Ban On Russian Oil Could Send Prices To $185

Related stories

Why I Renamed IBB’s Govt Built International Conference Centre After Tinubu – Wike

By Kolawole Ojebisi The Minister of the Federal Capital Territory,...

My Soul Has Left PDP, Says Momodu

By Kolawole Ojebisi The publisher of Ovation International, Dele Momodu,...

Let’s Go To Party, By Uzor Maxim Uzoatu

Fellow countrymen and women, let’s take a trip to...

Budget of barbarians, for brigands, by buccaneers

By Ugo Onuoha THE first thing that the legislative and...

Oil Prices Could Sink Below $50 This Year

Crude oil prices could decline below $50 a barrel this...

Oil prices could shoot up to a record $185 per barrel if the European Union acts to impose a full immediate ban on imports of Russian oil, JPMorgan says.

The EU has started tentative discussions on potentially imposing an embargo on Russian oil, but the bloc is still split on a ban on Russian energy imports. The biggest European economy—Germany—continues to resist an immediate oil embargo for now, saying an oil ban would plunge Germany, and Europe, into a deep recession. Germany, Hungary, and Austria, as well as some other EU members, continue to resist an immediate outright ban on Russian oil, although Germany signaled earlier this month that it could end its dependence on Russian oil this year.

If the EU escalates embargoes in the sixth package of sanctions against Russia over its invasion of Ukraine and decides to impose a full immediate embargo on Russian oil, then Brent Crude prices could soar by 65 percent to as much as $185 per barrel, Natasha Kaneva, Head of Global Commodities Strategy at J.P. Morgan, says, as carried by Bloomberg.

A full immediate ban would cut over 4 million barrels per day (bpd) of Russian supply, and China and India wouldn’t be able to absorb all those volumes very soon, Kaneva added.

Still, an immediate EU ban is not JPMorgan’s base-case scenario—the investment bank sees 2.1 million bpd of Russian supply to Europe cut. If the EU imposes a gradual phase-out ban on Russian oil over several months, as it did with the ban on Russian coal imports, adopted in early April but effective only from August, this would not impact oil prices as much, JPMorgan’s Kaneva says.

An EU embargo on Russian oil imports may be in the works, but drafting and preparing for such a ban would likely take “several months,” European officials told AFP last week.

A ban is in the works at the EU level, France’s Finance Minister Bruno Le Maire said today.

“I hope that in the weeks to come we will convince our European partners to stop importing Russian oil,” the minister told Europe 1 radio on Tuesday.

NB: Tsvetana Paraskova wrote this article for Oilprice.com

Tsvetana Paraskova
Tsvetana Paraskova
Hamilton Nwosa is an experienced, and committed communication, business, administrative, data and research specialist . His deep knowledge of the intersection between communication, business, data, and journalism are quite profound. His passion for professional excellence remains the guiding principle of his work, and in the course of his career spanning sectors such as administration, tourism, business management, communication and journalism, Hamilton has won key awards. He is a delightful writer, researcher and data analyst. He loves team-work, problem-solving, organizational management, communication strategy, and enjoys travelling. He can be reached at: hamilton_68@yahoo.com

Subscribe

- Never miss a story with notifications

- Gain full access to our premium content

- Browse free from up to 5 devices at once

[tds_leads input_placeholder="Your email address" btn_horiz_align="content-horiz-center" pp_msg="SSd2ZSUyMHJlYWQlMjBhbmQlMjBhY2NlcHQlMjB0aGUlMjAlM0NhJTIwaHJlZiUzRCUyMiUyMyUyMiUzRVByaXZhY3klMjBQb2xpY3klM0MlMkZhJTNFLg==" pp_checkbox="yes" tdc_css="eyJhbGwiOnsibWFyZ2luLXRvcCI6IjMwIiwibWFyZ2luLWJvdHRvbSI6IjQwIiwiZGlzcGxheSI6IiJ9LCJwb3J0cmFpdCI6eyJtYXJnaW4tdG9wIjoiMTUiLCJtYXJnaW4tYm90dG9tIjoiMjUiLCJkaXNwbGF5IjoiIn0sInBvcnRyYWl0X21heF93aWR0aCI6MTAxOCwicG9ydHJhaXRfbWluX3dpZHRoIjo3NjgsImxhbmRzY2FwZSI6eyJtYXJnaW4tdG9wIjoiMjAiLCJtYXJnaW4tYm90dG9tIjoiMzAiLCJkaXNwbGF5IjoiIn0sImxhbmRzY2FwZV9tYXhfd2lkdGgiOjExNDAsImxhbmRzY2FwZV9taW5fd2lkdGgiOjEwMTksInBob25lIjp7Im1hcmdpbi10b3AiOiIyMCIsImRpc3BsYXkiOiIifSwicGhvbmVfbWF4X3dpZHRoIjo3Njd9" display="column" gap="eyJhbGwiOiIyMCIsInBvcnRyYWl0IjoiMTAiLCJsYW5kc2NhcGUiOiIxNSJ9" f_msg_font_family="downtown-sans-serif-font_global" f_input_font_family="downtown-sans-serif-font_global" f_btn_font_family="downtown-sans-serif-font_global" f_pp_font_family="downtown-serif-font_global" f_pp_font_size="eyJhbGwiOiIxNSIsInBvcnRyYWl0IjoiMTEifQ==" f_btn_font_weight="700" f_btn_font_size="eyJhbGwiOiIxMyIsInBvcnRyYWl0IjoiMTEifQ==" f_btn_font_transform="uppercase" btn_text="Unlock All" btn_bg="#000000" btn_padd="eyJhbGwiOiIxOCIsImxhbmRzY2FwZSI6IjE0IiwicG9ydHJhaXQiOiIxNCJ9" input_padd="eyJhbGwiOiIxNSIsImxhbmRzY2FwZSI6IjEyIiwicG9ydHJhaXQiOiIxMCJ9" pp_check_color_a="#000000" f_pp_font_weight="600" pp_check_square="#000000" msg_composer="" pp_check_color="rgba(0,0,0,0.56)" msg_succ_radius="0" msg_err_radius="0" input_border="1" f_unsub_font_family="downtown-sans-serif-font_global" f_msg_font_size="eyJhbGwiOiIxMyIsInBvcnRyYWl0IjoiMTIifQ==" f_input_font_size="eyJhbGwiOiIxNCIsInBvcnRyYWl0IjoiMTIifQ==" f_input_font_weight="500" f_msg_font_weight="500" f_unsub_font_weight="500"]

Latest stories

NDN
Latest News
Why I Renamed IBB's Govt Built International Conference Centre After Tinubu - WikeMy Soul Has Left PDP, Says MomoduLet’s Go To Party, By Uzor Maxim UzoatuBudget of barbarians, for brigands, by buccaneersOil Prices Could Sink Below $50 This YearExclusive: Nigeria's $5 billion oil-backed loan from Aramco delayed by oil price drop, say sourcesTop APC Chieftain, Jesutega Onokpasa Dies at 49Sallah Break: Tinubu Finally Departs Lagos State For Abuja, Resumes WorkFalana Warns Wike: Your Ignorance of Diplomatic Rules 'll Cause Crisis for Nigeria Over Grant RentTrump’s Administration Reverses Self, Directs Embassies to Process Harvard Students VisasA New Dawn for Rivers StateKenya Plans to Launch Crude Oil Exports in 2026Maryam Abacha Drops Jabs At Gen Abdulsalami, Says Billions Stolen After Abacha’s DeathTinubu: Presidency Replies Peter Obi, Says He Is Blind To RealitiesHow Boko Haram Attacked Ex-COAS Buratai's Convoy, Escapes Death In Borno --- Reveals Ndume
X whatsapp