On 3 December, the Council of the European Union decided to set an oil price cap for crude oil and petroleum oils and oils obtained from bituminous minerals which originate in or are exported from Russia, at $60 per barrel. The level of the cap will become applicable as of 5 December 2022.
The adopted decision on the price cap for Russian oil will “limit price surges driven by extraordinary market conditions” and “ drastically reduce the revenues Russia has earned from oil after it unleashed its illegal war of aggression against Ukraine, ” according to the Council’s press release.
“On 6 October 2022, the Council adopted a decision prohibiting the maritime transport of Russian crude oil (as of 5 December 2022) and petroleum products (as of 5 February 2023) to third countries, and the related provision of technical assistance, brokering services or financing or financial assistance. The Council decision also introduced an exemption from the above-mentioned prohibitions for crude oil or petroleum products which originate in or are exported from Russia, and are purchased at or below a pre-established price cap agreed by the Price Cap Coalition,” the Coucil notes.
It became known that the EU countries agreed on the $60 price cap on 2 December:
EU agrees on Russian oil price cap of $60 per barrel after fraught talks – NYT
The G7 countries and Australia joined the EU decision on the price cap for Russian oil:
G7, Australia join EU in adopting price cap on Russian crude oil
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Tags: EU, price cap, Russian oil
