Western companies buy Russian oil above the price ceiling – Kommersant
[ad_1]
Agency Bloomberg reports that Western companies are buying Russian Urals oil above the G7 price ceiling of $60 per barrel. At the same time, the US authorities claim that the price ceiling still works.
According to the agency, about 40% of the ships exporting oil from Russian ports of the Baltic and Black Seas belong to Western companies, which must comply with a price ceiling of $60 per barrel. Before the threshold was crossed, about half of the ships were owned by Western companies. In addition, a significant proportion of ships are still insured through London.
Western firms have the right to deal with Russian oil, but they had to confirm that the oil was bought below the price ceiling. “It is not clear how individual owners and insurers carry out additional verification of cargo and what are the reasons why they continue to provide their services. However, owners and insurers have long argued that they cannot know the exact price at which the cargo is sold. The price in long-term transactions may differ from short-term market prices, ”Bloomberg quotes the opinion of a source familiar with the situation on the market.
In recent weeks, shipowners and insurers have been trying to figure out if it’s enough for them to just provide a certificate stating that the fuel they carry was purchased at a price below $60. According to Argus, on Friday in Russian ports on the Baltic and Black Seas, it was about $71 per barrel.
By information Ministry of Finance of the Russian Federation, the average price of Urals oil in July was at $64.37 per barrel. This is 1.2 times lower than in July 2022 ($78.41 per barrel), but higher than the price ceiling set by the G7 countries. It was set at $60 per barrel. In January-July, the average price per barrel of Urals was below the price ceiling and amounted to $53.94.
Representatives of the US Treasury declaredthat the measure to limit the price of oil from Russia achieved its goal: it reduced the revenues of the Russian budget without disrupting the supply of energy to the world market. According to the IEA, Russian exports of oil and petroleum products fell to 7.3 million b/d in June, the lowest level since March 2021. Revenues from the export of oil and oil products fell to $11.8 billion.
On the situation on the world oil market in the conditions of the ceiling for oil prices from the Russian Federation – in the material “Kommersant” “Oil flows out of balance”.
[ad_2]
Source link
