(Bloomberg) -- Russia’s flagship Urals crude has dropped back below the $60-a-barrel price cap imposed by the Group of Seven nations and its allies to punish Moscow for its war in Ukraine.
Following a recent slump in global prices, Urals at the Baltic port of Primorsk and Black Sea port of Novorossiysk were valued on Tuesday at $57.44 and $57.79, respectively, according to data from Argus Media.
That marked a second straight day below the threshold, the first back-to-back daily occurrence since January. G-7 authorities use prices from the key data provider to assess the cap.
As part of efforts to curb the Kremlin’s income, the G-7 and its allies have been implementing a sanctions policy that limits access to maritime services if crude prices in Russia are above $60. Several companies and ships have been sanctioned by the US, UK and European Union since the policy came into effect.
Russia’s oil revenues had already fallen to a seven-month low as crude prices slid. Moscow has previously said it plans to make extra crude production cuts to compensate for overproduction as part of its agreement with the Organization of Petroleum Exporting Countries and its allies. Those reductions should come in October and November.
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