Russian oil prices hit an anti-record as Urals fell to $34.52 per barrel
Russian oil prices continue to decline rapidly and have updated their anti-record, with the price of a barrel dropping to $$34.52. This was reported by the analytical agency Argus.
Details
This level is approximately twice as low, than at the beginning of this year. The drop comes amid sanctions pressure, logistical constraints and forced discounts to maintain export flows.
According to Argus, discounts on Urals crude oil achieved:
$23-25 per barrel - in the port of Novorossiysk;
about $24 per barrel - in the Baltic ports.
Context.
Urals crude is sold at a significant discount due to Russia's limited access to traditional markets, difficulties with transportation and insurance, and competition in Asian destinations. This directly affects the federal budget revenues of the Russian Federation, which is heavily dependent on energy exports.
Analysts note that maintaining prices at this level significantly limits the Kremlin's financial capabilities to finance the war and social spending.
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