Moscow: Russian President Vladimir Putin on Monday warned of possible retaliation against Europe after reports that the European Union is preparing additional restrictions on Russian liquefied natural gas and energy supplies.
Speaking about the proposed measures, Putin said Moscow may consider halting energy exports to the European market if restrictions are imposed.
“EU countries plan to impose additional restrictions on Russian LNG and energy,” Putin said. “I’ve instructed the government to evaluate the possibility of STOPPING energy supplies to the European market, without waiting for the door to be shut in our face.”
Putin said crude oil production linked to the Strait of Hormuz could come to a complete halt as early as next month.
He said the Strait of Hormuz is a key energy shipping route through which about 20% of global seaborne crude oil shipments pass, and that it is an area that could have a major impact on global energy markets.
Putin also cautioned that attempts to destabilise the Middle East could have serious consequences for global energy markets.
“Russia WARNED MANY TIMES that attempts at destabilizing the situation in the Middle East will inevitably threaten the global energy complex,” he said.
According to Putin, the growing instability in energy markets is not limited to regional dynamics and could have wider economic repercussions.
“It affects the entire system of international economic relations,” he added.
He said Moscow will continue to supply energy resources to countries that are “reliable partners”.
“We will continue to supply energy resources to countries that are reliable partners. Russian companies need to take advantage of the current situation,” said Putin.
Brent crude prices surged to around $120 per barrel, intensifying fears of a global energy crisis as the conflict in West Asia disrupts oil markets and threatens major supply routes.
The sharp rise in prices follows escalating attacks on energy infrastructure in the Gulf region. Over the past several days, both Iran and the United States and Israel have targeted key oil facilities, raising concerns about a large scale supply shock to global markets.
Analysts warn that the current turmoil could pose one of the most serious challenges to the global economy since the energy crises of the 1970s.
Amid the growing volatility, Russian President Vladimir Putin said Moscow remains open to renewed energy cooperation with Europe if political barriers are removed.
“If European companies and European buyers suddenly decide to reorient themselves and provide us with long-term, sustainable cooperation, devoid of political pressures, free from political pressures, then go ahead. We’ve never refused,” Putin said.
He added that Russia would be willing to restore energy ties with European countries if there are clear indications of long term commitment.
“We’re ready to work with Europeans, but we need some signals from them that they’re ready and willing to work with us and will ensure this sustainability and stability,” he said.
Putin also warned about the risks to global oil supply if tensions around the Strait of Hormuz continue to escalate.
“Oil production linked to the Strait of Hormuz risks coming to complete halt as early as next month,” he added.
The comments came shortly after Hungarian Prime Minister Viktor Orban called on the European Union to suspend sanctions on Russian oil and gas in order to address the surge in energy prices caused by the Middle East conflict.
The European Union banned maritime imports of Russian crude oil in 2022 as part of its sanctions response following the war in Ukraine.
According to AFP, Russia’s pipeline oil exports to Hungary and Slovakia have effectively stopped since January after damage to the Druzhba oil pipeline running through Ukraine disrupted supplies.
