Russian oil is asked to duck

Sergey Kondratiev, Deputy Head of the Economic Department of the Institute for Energy and Finance, commented to the Kommersant newspaper on Russian oil prices.

Sergey Kondratiev recalls that formally, in accordance with the announced principles of price ceiling correction, its level should be set no higher than 95% of “market prices”, however, the reduction proposed by the EU is less – the ceiling will still remain above Argus prices. According to the expert, one of the key questions is whether buyers from India and China will comply with the price ceiling. There is a possibility that the “price ceiling” may “break down” with a decrease, and buyers will be ready to pay at a higher price, especially if the situation on the oil market improves.