Oil prices can ‘easily’ hit $150 a barrel amid Russia, Ukraine conflict: Energy expert
Power The Future exec argues price will soar to $200 if sanctions imposed on Russian oil
Energy expert slams Biden's announcement to release 30M petroleum reserve barrels
Power The Future executive director Daniel Turner says the amount only accounts for a day-and-a-half of U.S. oil consumption and argues that the only way to prevent higher prices and to weaken Russian President Vladimir Putin is to produce more.
Power The Future executive director Daniel Turner argued on Wednesday that the price of oil l can "easily" hit $150 a barrel amid the tension overseas and warned that if sanctions are ever imposed on Russian oil, which he admitted is "doubtful," the price will soar to $200 a barrel.
Turner argued that oil surging to that level will be "devastating to our economy."
Turner provided the analysis on "Mornings with Maria" on Wednesday as oil prices continued to rise as Russia's attack on Ukraine rages on.
Oil surged by more than $5 per barrel early Wednesday despite an agreement from the United States and other major governments to release supplies from strategic stockpiles aimed at calming market anxiety.
The 31 members of the International Energy Agency, the club of major oil consumers, agreed Tuesday to release 60 million barrels of crude from stockpiles.
"America will lead that effort, releasing 30 million barrels of oil Strategic Petroleum Reserve. We are prepared to do more united with our allies," President Biden said during the State of the Union address on Tuesday night. "These steps will help blunt gas prices here at home."
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| USO | UNITED STATES OIL FUND - USD ACC | 73.20 | +1.18 | +1.64% |
| BNO | UNITED STATES BRENT OIL FUND - USD ACC | 29.72 | +0.15 | +0.51% |
The announcement to release crude from stockpiles failed to calm concern about disruption in supplies from Russia, the second-biggest exporter behind Saudi Arabia.
Benchmark U.S. crude jumped to $109.79 per barrel in electronic trading on the New York Mercantile Exchange. It rose $7.69 on Tuesday to $103.41.
On Wednesday morning, Brent crude, the price basis for international oils, gained $5.03 to $111.63 per barrel in London. It soared $7 during the previous session to $104.97.
Turner slammed Biden's announcement to release 30 million petroleum reserve barrels on Wednesday, noting that the amount only accounts for a day-and-a-half of U.S. oil consumption.
The energy expert argued that Biden "omitted the fact that he has punished this industry."
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"He omitted the fact that he has stopped permitting in the Gulf of Mexico," Turner said. "He omitted the fact that he has stopped leasing on federal land."
He argued that Biden’s energy policies, inflation and current geopolitical events "have driven up prices dramatically and the American people are suffering and Putin is rich because of it."
Turner added that Biden "just ignored all of those facts, but that’s not going the make the pain go away."
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Biden has come under increasing pressure to walk back resistance to domestic oil production in the wake of Russia's invasion of Ukraine, with Rep. August Pfluger, R-Texas, arguing such a move would help the U.S. "regain our dominance on the world stage."
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Turner argued on Wednesday that the only way to prevent higher prices and to weaken Russian President Vladimir Putin is to produce more oil.
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FOX Business’ Ken Martin and The Associated Press contributed to this report.