The Russian government on Monday barred domestic oil exporters and customs bodies from complying with price caps imposed by Western countries on Russian crude.
The measure was issued to help implement President Vladimir Putin’s December 27 order to freeze supplies of crude oil and oil products to countries complying with the cap for five months, beginning February 1. Went.
G7 economies, European Union and Australia agreed on December 5 to ban the use of Western supplies marine Insurance, finance and brokerage for seaborne Russian oil priced above $60 a barrel as part of Western sanctions on Moscow for its actions in Ukraine.
The new Russian act bans corporates and individuals from including oil price cap mechanisms in their contracts.
They will have to report any attempt to impose an oil price cap to the customs authorities and the Ministry of Energy.
Furthermore, customs bodies have to prevent goods from leaving Russia if they find that such mechanisms have been implemented.
Western allies plan to set two caps on Russian oil products from February 5, one on products that trade at a premium to crude, such as diesel or gas oil, and one on products that replace crude. Trade at a discount, such as fuel oil.
The Russian government’s act also calls on the Ministry of Energy, with the approval of the Ministry of Finance, to work on an approach for monitoring Russian oil export prices by March 1.
The text of this story is published from a wire agency feed without any modification.
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