Report: Oil Price Cap Takes Small Slice of Russia’s Revenue

An oil tanker is moored at the Sheskharis complex, part of Chernomortransneft JSC, a subsidiary of Transneft PJSC, the largest facilities for oil and petroleum products in southern Russia, in Novorossiysk, Russia, on Oct. 11, 2022. AP Photo

FRANKFURT, Germany—A price cap and European Union embargo on most Russian oil have cut into Moscow’s revenue from fossil fuels, but the Kremlin is still earning substantial cash to fund its action in Ukraine because the $60-per-barrel cap was “too lenient,” researchers said Wednesday.

The combination of the cap by the Group of Seven major democracies and the EU ban are costing Russia an estimated 160 million euros ($171.9 million) per day, the Helsinki-based Centre for Research on Energy and Clean Air said in a study of the first weeks of the sanctions, which took effect Dec. 5.