Experts fear EU sanction on Russian oil outputs might be negative for energy markets

(MENAFN) EU nations are preparing to force Sunday a sanction on Russian seaborne oil outputs, in line with an international cost limit to apply more weights on Moscow’s income stream, but sector specialists are worried that the action might be counterproductive and have a reflective effect on European energy markets in comparison with an alike sanction on Russian crude oil in December, as the bloc imports nearly 50 percent of its diesel from Russia.

In line with the restrictions, planed as part of the sixth restrictions package accepted last June, EU and G7 nations are going to stop purchasing Russian refined output including diesel, gas oil, and fuel oil.

A price limit of USD100 a barrel on premium Russian oil output including diesel as well as a USD45 per barrel on reduced products like fuel oil is going to also come into impact the same day.

Western insurance and exporting firms are going to be banned from insuring or transporting cargoes of Russian oil outputs unless they were bought at or under the limits.


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