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Impact of the Russia/Ukraine conflict on the global oil and gas

prices

map of ukraine

Russians launched a full-scale invasion of Ukrai- skyrocketed. By March 9, 2022, the average price
ne on February 24, 2022, which shook the world of regular gas in the US has increased 17 percent
to its core. Putin did not back down from his ta- since the Russian invasion. It was up 23 percent
keover of Ukraine despite the threat of drastic from the beginning of the year. A gallon of regu-
economic sanctions by the US and its NATO al- lar fuel went from $4,17 to $4,25 on March 8,
lies. As a result, many world leaders imposed se- 2022, according to statistics completed by the
vere economic sanctions in an effort to deter the AAA motor club. A gallon of regular fuel costs
Russian invasion. These sanctions have been co- $5,57 on average in California, where it’s much
ordinated globally by the European Union, the higher. Global oil prices are expected to continue
US, the UK, Canada, Switzerland, Japan, Australia, to rise. Gas prices may rise to as high as $5 per
and Taiwan. Multiple civilian casualties have al- gallon and oil prices may reach a record level of
ready been reported in this ongoing crisis. Anot- $200 per barrel, according to certain economists.
her economic crisis is threatening the world af- Due to the bans on Russian energy imports an-
ter already being hit by the Covid pandemic and nounced by the United States and Britain, the
the subsequent inflation. Both Russian aggres- price of gas has increased. US President Biden
sion and Western efforts to protect Ukraine have signed an executive order on March 8, 2022, ban-
a devastating effect on the financial markets and ning the import of Russian oil, liquefied natural
commodity prices, including gold, nickel, and gas (LNG), and coal. He also banned new US in-
wheat. Nearly everyone in the US and around the vestment in Russia’s energy sector. The new
world is affected by this crisis. It has profound sanctions have caused another upheaval in the
effects on the energy industry. Fuel prices have oil and gas sector. Oil price hike has also been

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