WSJ: G7 nations to agree plan to cap Russian oil prices this week

The finance ministers of the G7 countries (Great Britain, Germany, Italy, Canada, France, Japan and the United States) tomorrow, September 2, should agree on a plan to set a ceiling price for Russian oil, reports The Wall Street Journal (WSJ). It is not yet clear what the maximum price will be decided to enter. According to the sources of the publication, the restrictions will also apply to petroleum products – in particular, fuel oil.

The WSJ writes that Western officials are “trying to strike a balance between limiting Russian revenues and maintaining incentives for Russia to sell its oil.” According to the publication, disagreements remain within the G7 over how many countries should agree on a price ceiling for oil from the Russian Federation. The success of the plan depends on the willingness of buyers, particularly those from Africa and Asia, to comply with it. However, officials and analysts “see little chance” to convince China and India to comply with this plan, which have increased purchases of Russian oil.

According to experts, Russia is already selling oil for $20 less than world prices. October futures for Brent oil traded yesterday at $96.65 per barrel. The US Treasury Department believes that oil could rise in price to about $140 per barrel, the WSJ specifies.

G7 countries planned introduce a price ceiling for it by December. US Treasury Secretary Janet Yellen spokethat “significant progress” had been made on this issue, but did not provide details. By data Bloomberg, India is hesitant to support the price limit for oil from the Russian Federation without the consensus of other countries.

In recent months she has tripled increased import of Russian oil products. Russia is also the third month remains China’s largest oil supplier.

Details – in the publication “Kommersant” “Russian oil spilled over China”.

Laura Keffer