Putin bans Russian oil exports to countries that implement price cap

President Vladimir Putin on Tuesday delivered Russia’s long-awaited response to a Western price cap, signing a decree that bans the supply of crude oil and oil products from Feb. 1 for five months to nations that abide by the cap.

The Group of Seven major powers, the European Union and Australia agreed this month to a $60-per-barrel price cap on Russian seaborne crude oil effective from Dec. 5 over Moscow’s “special military operation” in Ukraine.

The decree, which includes a clause that allows for Putin to overrule the ban in special cases, stated: “This…comes into force on Feb. 1, 2023, and applies until July 1, 2023.”

Crude oil exports will be banned from Feb. 1, but the date for the oil products ban will be determined by the Russian government and could be after Feb. 1.

The decree also includes a clause that allows for Putin to overrule the ban in special cases.

Source: Reuters

To read the full original article, please access: https://www.reuters.com/business/energy/putin-bans-russian-oil-exports-countries-that-imposed-price-cap-decree-2022-12-27/

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