Oil prices surge more than 2pc as Putin mobilises more troops

Oil jumped more than two per cent on Wednesday after Russian President Vladimir Putin announced a partial military mobilisation, escalating the war in Ukraine and raising concerns of tighter oil and gas supply. Brent crude futures rose $2.28, or 2.5pc, to $92.90 a barrel by 0707 GMT after falling $1.38 the previous day. US West Texas Intermediate crude was at $86.16 a barrel, up $2.22, or 2.6pc. Putin said he had signed a decree on partial mobilisation beginning on Wednesday, saying he was defending Russian territories and that the West wanted to destroy the country. The escalation will lead to increased uncertainty over Russian energy supplies, said Warren Patterson, head of commodities research at ING. “The move could possibly lead to calls for more aggressive action against Russia in terms of sanctions from the west,” he said. Oil soared and touched a multi-year high in March after the Ukraine war broke out. European Union sanctions banning seaborne imports of Russian crude will come into force on Dec 5.