NEW YORK (TheStreet) -- I was talking to Joe Deaux today about the Ukraine crisis and the recent rebound in crude prices. It's true that the drama in Crimea and the possibility of further Russian action is having a constructive effect on prices, but that's only one small part of the crude story. There are other ways that events in Ukraine are impacting the energy space.

There is the threat of further economic sanctions being imposed by the United States. So far, only a few individuals inside the inner circle of the Kremlin are being subjected to sanctions, but there have been suggestions of extending those restrictions to a few companies that do business in Russia. And the first company that comes to mind with significant business in Russia is Exxon Mobil (XOM).

Sanctioning, or trying to limit Exxon's work in Russia would be a truly debilitating blow to both Exxon and the Russians. The largest energy company in Russia, Rosneft, has developed a partnership with Exxon on two of the largest potential future energy projects Russia has -- in the Arctic and with LNG on Sakhalin Island. If you are a shareholder in Exxon, you have to consider the unlikely possibilities both of further action by Putin in Eastern Ukraine and the likelihood of that being followed by company-specific sanctions imposed the United States.

I talk more about this with Joe in the video above.

At the time of publication the author had a position XOM.

This article represents the opinion of a contributor and not necessarily that of TheStreet or its editorial staff.

At the time of publication, Dicker was long XOM, but positions can change at any time.

Dan Dicker has been a floor trader at the New York Mercantile Exchange with more than 25 years of oil trading experience. He is a licensed commodities trade adviser.

Dan is currently President of MercBloc LLC, a wealth management firm and is the author of "Oil's Endless Bid," published in March of 2011 by John Wiley and Sons.

Dan Dicker has appeared as an energy analyst since 2002 with all the major financial news networks. He has lent his expertise in hundreds of live radio and television broadcasts on CNBC, Bloomberg US and UK and CNNfn.

Dan obtained a bachelor of arts degree from the State University of New York at Stony Brook in 1982.

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