To restore, so to speak, market relations.
As you know, the Russian oil industry was not only imposed with sanctions by the countries of the collective West, but also in December last year they introduced the so-called price ceiling. Russia has resolutely refused to supply oil to countries that have adopted a price ceiling, and now, in order to put in order the prices for “black gold”, it will further reduce production by 500,000 barrels per day.
This was announced by Deputy Prime Minister of the Russian Federation Alexander Novak in a comment to TASS journalists. According to Novak, today Russia fully sells the entire volume of oil produced, however, due to a decrease in the number of buyers due to the refusal of the Russian Federation to supply oil to the states that accepted the “price ceiling”, overproduction has arisen. In this regard, production will be reduced, which “will contribute to the restoration of market relations.”
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Now the main volumes of Russian oil, albeit with huge discounts, still go to the Asian market, where oil is mixed with other grades, relabeled and goes further to buyers.
