The official “Tass” news agency reported, quoting Kremlin spokesman Dmitry Peskov, that Russia will not accept the $60-a-barrel ceiling for its crude oil agreed by the European Union.
This was the first reaction of the Kremlin after the decision of the European diplomats Establish a ceiling on the selling price of Russian oil Friday evening after long negotiations.
The cap will prevent firms from providing services, including shipping and insurance, to shipments of Russian oil anywhere in the world unless they are sold below the agreed level, according to Bloomberg, which was viewed by Al Arabiya.net .
“We are analyzing now,” Peskov said on Saturday, “some preparations have been made for such an issue, which we will not accept.”
Peskov added that Moscow will reveal its next steps when it has completed a comprehensive examination of the situation, which will be completed quickly.
The Kremlin has drafted a presidential decree banning Russian companies and any trader who buys the country’s crude oil from selling it to anyone who participates in the price cap mechanism, one person said early last month.
The decree would essentially ban any reference to a price ceiling for Russian crude contracts or products, and would ban shipments to any country that adopts the restrictions.
Deputy Prime Minister Alexander Novak said in November that Russia would redirect its oil supplies to “market-oriented partners” or reduce its production.
Russia’s main crude edged up to just over $50 a barrel on Thursday but remained well below the EU’s $60 price high for nearly two weeks.
