Ukraine wants lower cap on Russian oil, at US$30-US$40 a barrel
Sign up now: Get ST's newsletters delivered to your inbox
Ukrainian President Volodymyr Zelensky speaks during a joint press conference, following a meeting of top EU politicians in Kyiv, on Nov 26, 2022.
PHOTO: EPA-EFE
KYIV - The price for Russian seaborne oil should be capped at between US$30 and US$40 a barrel, lower than the level that Group of Seven (G-7) nations have proposed, Ukrainian President Volodymyr Zelensky said on Saturday.
European Union governments, seeking to curb Moscow’s ability to fund the Ukraine war without causing an oil supply shock, are split over a G-7 push that the cap be set at US$65 to US$70 per barrel.
It is due to enter into force on Dec 5.
“The limit that is being considered today - about US$60 - I think this is an artificial limit,” said Mr Zelensky, who has consistently pushed allies to impose tougher sanctions of all types against Russia.
“We would like the sanctions to be very effective in this fight, so that the limit is at the level of US$30-US$40, so Russia feels them (the sanctions),” he told a news conference.
The idea of the cap is to prohibit shipping, insurance and re-insurance companies from handling cargoes of Russian crude around the globe, unless it is sold for less than the price set by the G-7 and its allies.
Poland, Estonia and Lithuania are pushing for a much lower cap than US$65-70 a barrel while Greece, Cyprus and Malta want a higher cap. REUTERS
