A potential Ukraine ceasefire and the associated easing in sanctions on Russia are unlikely to substantially increase Russia's oil flows, Goldman Sachs said on Wednesday.

The former banker—with stints at McKinsey & Company, Goldman Sachs and Russia’s sovereign-wealth fund—has long cultivated a role as a Kremlin emissary to President Trump’s team.

Goldman Sachs raised its 12-month price forecast for Europe's STOXX 600 index on Friday, citing the potential benefits of a peace deal between Russia and Ukraine for the region's equities.

Goldman Sachs argues that potential sanctions relief on Russia following a Ukraine peace deal would not significantly increase its oil supply, as production is primarily limited by its OPEC+ quota.

A US-educated former Goldman Sachs banker, with no formal diplomatic role at the time, Dmitriev cut an unexpected figure at the talks next to more conventional members of the Russian delegation such as foreign minister Sergei Lavrov.

The potential easing of Western sanctions on Russia is unlikely to significantly increase Moscow’s oil flows, according to Goldman Sachs.

A US-educated former Goldman Sachs banker, Kirill Dmitriev has cut an unexpected figure at recent talks between the US and Russia in Riyadh.

"We believe that Russia crude oil production is constrained by its OPEC+ 9.0 million barrels per day (mbpd) production target rather than current sanctions, which are affecting the destination but not the volume of oil exports," Goldman Sachs said.

President Cyril Ramaphosa told a Goldman Sachs gathering that it was in South Africa's interest to promote good relations with all countries, including its second-largest trading partner.

Crude oil futures edged higher, largely driven by fears over Kazakhstan's oil flows following a drone attack on a pumping station for a pipeline in Russia carrying crude to the Black Sea.

Goldman Sachs raised its 12-month price forecast for Europe's STOXX 600 index on Friday, citing the potential benefits of a peace deal between Russia and Ukraine for the region's equities. The brokerage raised its forecast to 580 from 540.

Russia's sovereign wealth fund chief Kirill Dmitriev will meet a U.S. delegation in Saudi Arabia on Tuesday to focus on strengthening ties and increased economic cooperation, a source in Riyadh told Reuters.