Alexey Belogoriev, Principal Director on Energy Studies of the Institute for Energy and Finance, commented to RIA Novosti on the reasons and consequences for the Sakhalin-1 project of the absence of an exception from the oil price ceiling mechanism, in contrast to the Sakhalin-2 project.
The previous day, the Japanese Economy Minister said that the price restrictions on the import of Russian oil, which the G7 and the European Union are planning to introduce in December, will also apply to the Sakhalin-1 project. At the same time, the US Treasury, in its statements on the price cap mechanism until September 30, 2023, excluded the supply from Sakhalin-2 fields, provided that all of them are imported by Japan.
No exception in the marginal price mechanism for Russian oil and petroleum products for Sakhalin-1 was almost certainly the choice of Japan, which participated in the project through Sodeco, Deputy Head of Energy and Finance Institute. (IEF) Alexei commented on RIA Novosti Belogoriev.
The absence of exceptions for Sakhalin-1 from the mechanism of marginal prices for Russian oil and oil products was almost certainly the choice of Japan, which participated in the project through Sodeco, Alexey Belogoryev commented to RIA Novosti.
At the same time, Belogoryev recalled that Japan itself had sharply reduced its purchases of oil from Russia: in June, as well as in September and October, imports were not carried out at all. In total, according to the results of January-October 2022, it decreased by 40.5%. “Given that the relaxation for Sakhalin-2 is also valid only until September 2023, Japan obviously believes that it will not need deliveries from Sakhalin-1 during this period,” the analyst said.
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