Global report
UKRAINE
Russia holds up threat of rocketing energy prices
Moscow stoked fears of an energy war by threatening to close a major gas pipeline to Germany after the US pushed its European allies to consider banning imports of Russian oil over its invasion of Ukraine.
In an address on Russian state television on Monday, Russia’s deputy prime minister, Alexander Novak, said: “A rejection of Russian oil would lead to catastrophic consequences for the global market.” He claimed the price of oil could rise to more than $300 a barrel.
Novak cited Germany’s decision last month to halt the certification of Nord Stream 2, saying: “We have every right to take a matching decision and impose an embargo on gas pumping through the Nord Stream 1 gas pipeline.”
Analysts at Bank of America have said prices could reach $200 a barrel if most of Russia’s exports were cut off. Oil prices hit near 14-year highs on Tuesday, with Brent crude futures reaching $125.19 a barrel.
Commodity prices are surging as fears grow that Russian supplies will be further disrupted. Fertiliser prices have
