The EU wants to quickly introduce a price “ceiling” for Rosneft due to mobilization in russian federation

The member states of the European Union aim to conclude an agreement within a few weeks that will establish a price ceiling for russian oil.

The reason for the acceleration was the announcement of partial mobilization in russia, the Bloomberg agency reports with reference to its own sources. As the publication writes, despite the new efforts of the European Commission and EU member states, this plan has many obstacles, and it is not a fact that it will be possible to achieve a positive result.

“The member states of the European Union aim to conclude a political agreement within a few weeks that would impose an upper price limit on russian oil. According to experts, this effort gained momentum after Vladimir Putin announced a “partial mobilization”. And it will probably become part of the new package of sanctions proposed by the European Commission,” the agency writes.

It is noted that representatives of the member states will meet with the commission to discuss new sanctions in the coming days. Sanctions, in addition to price ceilings, could include new restrictions on individuals and sectors, such as technology and luxury goods.

According to the sources, representatives of national governments in Brussels will seek to reach a preliminary agreement on the price ceiling before an informal meeting of EU leaders in Prague on October 6.

EU countries that have received concessions on oil coming through their pipelines will want to make sure they remain intact, while sea-importing countries may try to link the price cap to a seaborne embargo. According to the source, countries such as Greece, Cyprus and Malta may try to protect their industries from these measures.