Russia to ban oil sales under price cap, Kremlin says
(VOVWORLD) - Moscow will forbid domestic companies from selling Russian oil under any price cap, and is willing to dial down production to compensate for the lost exports.
 Russian Deputy Prime Minister Alexander Novak speaks at an event in Istanbul, Turkey. (Photo: AFP/VNA) |
Russian Deputy Prime Minister Alexander Novak said Sunday on Rossiya-24 that Russia will sell oil and oil products only to countries that will work with it on market conditions, even if Russia has to lower its production.
He added that the price cap would have a negative impact on the global market and would contradict World Trade Organization rules. He said that Russia was “working on mechanisms” to undermine enforcement of the cap, without elaborating.
The comments come one day before an EU embargo on seaborne Russian oil takes effect, and just as EU countries agreed on a price cap of 60 USD per barrel for sales of Russian oil to non-EU countries that EU-based companies, like shippers and insurers, would be allowed to participate in.