The Santos Ltd (ASX: STO) share price has shot up today, reaching its highest point in more than 2 years.
It comes as oil prices continue to surge due to concerns Russia's invasion of Ukraine could cause a supply crunch.
At the time of writing, the Santos share price is $7.90, 2.46% higher than its previous close.
Though, that's lower than its intraday high – and new 52-week record – of $8.11, representing a 5.18% gain.
For context, the S&P/ASX 200 Index (ASX: XJO) is currently up 0.71%.
Today's gain marks the first time the oil and gas producer's stock has cracked the $8 mark since February 2020. Of course, in March 2020, oil prices tanked as the reality of the COVID-19 pandemic took hold of the globe.
More than 2 years later, the Santos share price has once again hit the milestone. Here's what helped it break the ceiling on Thursday.
Image source: Getty Images
Santos share price surges alongside oil price
The Santos share price is well and truly in the green today, as are oil prices.
The black liquid's value surged again overnight, hitting its highest price since 2013.
Brent crude oil futures have peaked at US$118.22 a barrel so far today, a gain of 4.6%, according to data from CNBC.
Meanwhile, West Texas Intermediate futures hit US$114.70 per barrel, representing a 3.7% increase.
It came as the OPEC decided to uphold its decision to steadily increase its supply of oil yesterday, despite concerns of a global shortage.
As The Motley Fool Australia reported earlier today, Russia exports around 10% of the globe's oil. Russia is also responsible for around 20% of the world's gas supply.
Thus, Russia's invasion of Ukraine, and subsequent decisions by international energy giants BP plc (NYSE: BP), Shell PLC (NYSE: SHEL), and Exxon Mobil Corp (NYSE: XOM) to leave the nation, is likely to hamper the energy commodities' availability.
Yesterday, Credit Suisse stated it believes an increase in demand from the conflict could see changes in pricing, asset selldowns, and project developments to the benefit Santos.
Interestingly, the Santos share price is far from today's best performer on the S&P/ASX 200 Energy Index (ASX: XEJ).
That cake has been taken by the Whitehaven Coal Ltd (ASX: WHC) share price. It has gained 9% at the time of writing.
CEO abandons Mineral Resources Limited (ASX: MIN) board
In other news that has the potential to boost the Santos share price, the company's CEO and managing director, Kevin Gallagher has backed away from his seat on the board of Mineral Resources.
Gallagher's appointment was announced in January, much to the annoyance of investor group, Australasian Centre for Corporate Responsibility (ACCR).
At the time, ACCR director of climate and environment, Dan Gocher said, "it's very unusual for the CEOs of ASX-listed companies to maintain non-executive director roles at other companies."
Santos shareholders will be asking why the Santos board approved this appointment and what are Gallagher's intentions.
ACCR director of climate and environment, Dan Gocher
The Santos board's approval of this appointment suggests the board is out of touch and has failed to comprehend investors' expectations of modern CEOs.
Today, Mineral Resources announced Gallagher abandoned his spot on its board after consulting with Santos shareholders.
