Oil prices held near multi-month highs as tighter U.S. sanctions on Russian oil disrupted global supply chains. Brent crude hovered around $81 per barrel, while West Texas Intermediate (WTI) traded at $77.20.
The U.S. recently targeted Russia's oil industry with aggressive sanctions, including 183 tankers involved in the so-called "shadow fleet" and major exporters such as Gazprom Neft. Analysts estimate these measures could remove 700,000–800,000 barrels per day (bpd) of Russian oil from the market, potentially erasing the expected surplus for 2025.
Asian buyers, including India and China, have scrambled to find alternative suppliers, purchasing crude from the UAE and Oman. The sanctions also triggered higher tanker rates, complicating logistics. Despite the disruptions, experts note that buyers and sellers may still find ways to bypass sanctions.
Goldman Sachs and other analysts forecast Brent prices could reach $85–$90 per barrel if Russian output declines further.
Winter demand and fears of additional sanctions, including a potential U.S. crackdown on Iranian oil, are bolstering the market. However, weaker crude demand from China and rising non-OPEC+ production may temper further price gains.
Amid these developments, six European nations are urging the EU to lower the $60 per barrel price cap on Russian oil to further restrict Moscow’s revenue amid the ongoing Ukraine conflict.