Negotiations between EU nations on Russian oil price cap got stuck

Diplomats from the European Union failed to reach a consensus on a Russian oil price cap.

According to inside sources, the European Commission proposed $65 per barrel as the maximum price. The Baltic States and Poland were in push of harsher Russia sanctions, considering this level too ‘‘generous.’’ Countries with major shipping industries, such as Greece and others, rejected the price cap below $70. Previously, on Wednesday, the EU set the upper end of the range of $70.

On Thursday, EU ambassadors will meet again for further discussions. EU countries still can’t approve the price per barrel by unanimity. The USA first came up with the idea of setting a price cap, although the countries have not announced their decision yet. The EU Energy Ministers' meeting is also scheduled for 24 November, where they will tackle the issue of how to curb surging natural-gas prices.

Oil prices saw a decline on Wednesday on the Bloomberg agency report about the potential price range. Russian oil is currently selling at a discount, and if the price range is in line with current prices, this will not influence Russia's revenue much.