European Union approved ceiling of prices for Russian oil

Permanent Representatives of the EU members on Tuesday previously agreed on a new package of sanctions against Russia, including the legal framework for the subsequent introduction of the ceiling of prices for Russian oil, reports Politico with reference to sources.

“Permanent Representatives of the EU countries today have reached preliminary agreements on the new package of sanctions against Russia in connection with the situation in Ukraine, including the introduction of restrictions on Russian oil prices,” seven European diplomats told the publication. According to them, “it is expected that the final version of the document will be approved at the level of the Permanent Representatives on Wednesday.”

The newspaper notes that “within the framework of the current package, the legal basis for the introduction of the ceiling of prices will be agreed.”

Since December 5, the EU introduces the embargo to Russian barrels and at the same time intends to prohibit oil transportation to third countries if it is sold at a price above the established limit. What kind of maximum cost of Russian oil will be is not yet known. The US administration insists that this price covers the cost of production, but at the same time would not allow the Kremlin’s “military machine” to finance.

The publication reports that Malta, Greece and Cyprus, whose fleet is involved in the transportation of Russian oil, is concerned about how planned restrictions will be reflected in transportation. Therefore, concessions are provided for these countries, the newspaper writes.

In addition to oil sanctions, the EU intends to expand the “black lists” of individuals. They will include high -ranking ministers and people responsible for conducting “referenda” in Ukraine, Bloomberg sources say. In addition, additional restrictions on the supply of aviators, electronics and chemicals necessary for the Russian military -industrial complex will be introduced.