Crude Oil Prices Rise as EU Agrees to Russian Oil Ban

Crude oil prices rose on Tuesday after the European Union agreed in principle to cut 90 percent of Russia’s oil imports by the end of the year. July Brent futures contract, which expires on Tuesday, rose $2.11, or 1.7 percent, to $123.78 a barrel by 1103 GMT, after earlier rising to $124.10. its highest level since March 9. The August contract rose from $1.57 to $119.17. The August cargo Brent contract premium over a six-month spread hit a nine-week high near $15 a barrel, signaling ongoing supply shortages. US West Texas Intermediate (WTI) crude oil traded at $118.53 a barrel, down to $3.46 in a fourth straight session of gains, up 3% from Friday’s close, hitting its highest level since Jan 9. March. There was no deal on Monday due to a US holiday, Reuters reported. The development came on the heels of the EU agreeing to ban 90 percent of Russia’s oil imports by the end of the year. In early May, the president of the European Commission, Ursula von der Leyen, announced that the countries of the European Union would stop importing Russian oil in the next six months. On Monday, the EU announced it had agreed to ban 90 percent of Russian oil imports by the end of the year as part of sanctions over Russia’s invasion of Ukraine. ALSO READ: Crude oil rose 4% as EU proposes to ban Russian oil “Agreement to prohibit the export of Russian oil to the EU. This immediately covers more than two-thirds of Russia’s oil imports, cutting off a huge source of financing for its war machine,” European Council chief Charles Michel said in a tweet at the end of the first day of a summit. of two-day leaders. . “Maximum pressure on Russia to end the war,” added Michel. Russia is the second largest exporter of crude oil in the world, according to the International Energy Agency (IEA). Any increase in the price presents a bittersweet scenario for Nigeria, which relies mainly on oil for its foreign income and profits, but also has to pay higher subsidies to keep down the price of imported fuel at home. SEE: Governor Yahaya Bello’s roadmap to Hope 2023 Read More Related News Here Let here it in the comment below if you do have an opinion on this; Crude Oil Prices Rise as EU Agrees to Russian Oil Ban