Saudi Arabian Energy Minister Prince Abdulaziz bin Salman said that the West’s ceiling for Russian oil poses a risk to the global energy market. He talked about it in an interview for Energy Intelligence.
“NOPEC law and the price cap are very different things, but their potential impact on the oil market is the same. “Such a policy creates new risks and uncertainty at a time when clarity and stability are most needed.”
According to the minister, such a policy of the West would lead to instability and volatility in the market and adversely affect the oil industry.
The decision to impose a ceiling price on Russian oil, adopted by the European Union countries, G7 countries and Australia, entered into force on December 5, 2022. The ceiling price has been set at $60 per barrel and will be reviewed regularly after January 15. The restrictions will affect a wide range of services related to the transportation of oil by sea. The Kremlin refused to accept the decision of the Western countries. On December 5, the EU embargo on the offshore supply of Russian oil also began to work. Since February 5, imports of Russian petroleum products have been banned, and price limits have been set for them at the level of 100 dollars and 45 dollars per barrel. Russia has retaliated against Western sanctions. As of February 1, 2023, Russia began to ban the supply of Russian oil to countries using ceiling prices.