Russian oil is trading above the price ceiling – Kommersant

The ceiling on oil prices from Russia introduced by Western countries turned out to be ineffective, said Russian Deputy Prime Minister Alexander Novak. According to him, Russian oil is now trading above $60 per barrel.

“Today we see that Brent prices have increased, the discount has decreased, and our products are sold above the ceiling, at market prices,” Mr. Novak said on the sidelines of the Valdai Club (quoted by TASS).

The Deputy Prime Minister is convinced that such measures “only make things worse” and create a precedent that will allow them to be used against other countries in the future. “I hope that now everyone is convinced that this tool that was invented is ineffective, and mainly only end consumers suffer from it,” says Alexander Novak.

In December 2022, the European Union and the G7 countries introduced restrictions on the price of oil from Russia – it cannot be sold above $60 per barrel. From February 5, 2023, a ceiling of $100 and $45 per barrel is also in effect (for products that are traded at a premium and discount to oil, respectively). The Washington Post wrotethat the United States is resisting Ukraine’s requests to lower the price ceiling on Russian oil to $30. According to the Russian Ministry of Finance, the average price of Urals oil in September grew up to $83.08 per barrel

About the situation on the market – in the material “Kommersant” “Russian share in the EU oil and gas market is going to other suppliers”.

Laura Keffer