According to Truist analyst, if Russian supplies cannot be replaced, oil prices could rise above $150

Oil's recent drop is only temporary, and prices could rise above $150 per barrel if Russian crude cannot be replaced, according to a Truist analyst.

The European Union is implementing a Russian oil embargo that will be fully implemented later this year, while G7 leaders have discussed imposing a price cap. Some industry experts have warned that such moves could result in the withdrawal of millions of barrels from the market as Russia seeks to retaliate by causing a price spike.

"I think a lot of this, especially for oil, is going to go back to Russia," Neal Dingmann, Truist's managing director of energy research, told Yahoo Finance Live on Tuesday. "And I think you are going to see supply upended, if not at the end of the year, if not before. I think that has the potential to cause oil prices to even spike higher than what we just saw a couple months ago."

West Texas Intermediate prices were $96.25 a barrel on Wednesday, and Brent crude was $99.61, having fallen below $100 in recent weeks after surging above $120 shortly after Russia invaded Ukraine.