The Russian oil embargo will be disastrous, with prices potentially reaching $300 per barrel, according to the Deputy Prime Minister.

A restriction on Russian oil imports by Western nations, according to Russian Deputy Prime Minister Alexander Novak, "would have disastrous effects for the world market." "The price increase would be unpredictably high. It would cost at least $300 per barrel "Added he. Brent crude touched $139 per barrel for the first time since July 2008 on Monday.

According to Report, a ban on Russian oil imports by Western nations may boost the price of crude oil to $300 a barrel and lead to the closure of the main gas pipeline to Germany, Moscow said on Monday.

"A rejection of Russian oil would have disastrous effects for the world market," Russian Deputy Prime Minister Alexander Novak warned, adding that the price might more than quadruple to above $300 per barrel.

Russia's invasion of Ukraine, the worst attack on a European state since WWII, has resulted in 17 lakh refugees, a slew of new sanctions on Moscow, and fears of a bigger battle in the West that hasn't been imagined in decades.

It would be "difficult" to swiftly replace Russian oil on the European market, according to Novak.

"It will take more than a year, and European customers will pay significantly more," he said.

"European leaders should then tell their residents and customers what is coming and that costs at petrol stations, for electricity, and for heating will increase," he warned.

Talks of a Russian oil embargo, according to Novak, cause "instability" and "serious harm to consumers."

According to Russia's Deputy Prime Minister Alexander Novak, if Western nations prohibit Russian oil, prices will skyrocket to $300 per barrels.

Alexander Novak, Russia's deputy prime minister, has threatened to cut off gas supplies to Europe via Nord Stream 1.

The steps followed Secretary of State Blinken's announcement that the US and Europe were exploring an embargo on Russian oil.

A embargo on Russian oil, according to Novak, would raise the price of the commodity to $300 per barrel.

In the wake of broad Western sanctions over the invasion of Ukraine, Russia warned of $300-a-barrel oil and threatened to shut off gas supplies to Europe.

The letter arrived only one day after US Secretary of State Antony Blinken told NBC that the US and Europe were debating an embargo on Russian oil.

According to a report translation, Russian deputy prime minister Alexander Novak, who also controls energy policy, stated on state television on Monday, "It is perfectly apparent that a rejection of Russian oil would lead to disastrous consequences for the world market." "The price increase would be unpredictably high. It would cost at least $300 per barrel."

Oil futures are presently trading at $120 per barrel, having risen 60% year to date on worries of supply disruption. Russia is the third-largest oil producer in the world. The Netherlands also provides around 40% of Europe's gas needs, and the uncertainty led Dutch gas contracts, the European benchmark, jumping by 80% on Monday.

According to the Financial Times, European Green Deal commissioner Frans Timmermans is proposing decreasing Russian gas imports by two-thirds this year. According to the Financial Times, it plans to do so by increasing renewable energy output and increasing liquefied natural gas imports.

However, European leaders are wary of taking any rapid steps to restrict Russian energy supply, and the Kremlin is well aware of this.

"At the present, Europe's energy supply for heating, transportation, power supply, and industry cannot be ensured any other way," German Chancellor Olaf Scholz said in a statement to DW News on Monday.

It would take Europe more than a year to make up for Russia's shortfall — and at a higher cost, according to Novak.

According to Report, "European leaders need to honestly warn their population and customers what to anticipate." "Go ahead and reject Russian energy supply if you want to. We're prepared for it. We know where the volumes may be redirected."

Since 2021, oil prices have been climbing. Demand has been outpacing output increases as pandemic restrictions have been eased and the global economy has improved, according to a January report from the US Energy Information Administration.

According to the report in November that some options traders were banking on oil reaching $250 or $300 a barrel even before the Ukraine conflict. Traders are already putting their money into options, wagering that oil will surpass $200 per barrel this month, citing statistics from ICE Futures Europe, an Intercontinental Exchange affiliate.

Oil prices might reach $185 a barrel by the end of the year, according to JPMorgan analysts, if Russian oil demand continues affected.

The US said that it and its European allies were considering blocking Russian oil imports in an effort to put pressure on Russian President Vladimir Putin. As a result of the harsh sanctions placed on Russia as a result of its invasion of Ukraine, petroleum prices soared to new highs.

Last month, Germany halted the certification of Nord Stream 2, a gas pipeline from Russia to Germany.

Novak stated, "We have the authority to make a matching decision and put an embargo on gas flowing through the Nord Stream 1 gas pipeline."

According to a Russian news outlet, on Tuesday, Moscow will offer inhabitants of the Ukrainian cities of Sumy and Mariupol the option of relocating elsewhere in Ukraine, setting a deadline for Kyiv to comply in the early hours of the morning.

As Kyiv denied prospective humanitarian routes to Russia and Belarus, sieges and bombings persisted. However, he stated that some progress had been made in terms of coordinating logistics for the evacuation of civilians.

President Joe Biden of the United States had a video conference call with the leaders of France, Germany, and the United Kingdom to enlist their support for the ban. However, people familiar with the situation told report that if necessary, the US is ready to press on without European partners. The continent's energy supply is highly reliant on Russian energy.

According to the report, Russia's economy, financial system, and currency have been under severe strain as a result of the country's stringent sanctions. JPMorgan stated on Monday that the nation will be removed from all of its fixed income indices.