The Group of Seven rich nations and Australia have agreed to set a fixed price when they finalize a price cap on Russian oil later this month, rather than adopting a floating rate, sources said on Thursday.

US officials and G7 countries have been in intense negotiations in recent weeks over the unprecedented plan to put a price cap on sea-borne oil shipments, which is scheduled to take effect on Dec. 5, to ensure EU and US sanctions aimed at limiting Moscow's ability to fund its invasion of Ukraine do not throttle the global oil market.

“The Coalition has agreed the price cap will be a fixed price that will be reviewed regularly rather than a discount to an index,” said a coalition source, who was not authorized to speak publicly. “This will increase market stability and simplify compliance to minimize the burden on market participants.”

The initial price itself has not been set, but should be in the coming weeks, multiple sources said. Coalition partners agreed to regularly review the fixed price and revise it as needed, the source said, without disclosing further details.

Pegging the price as a discount to some index would have resulted in too much volatility and potential price swings, the source added.

The coalition worried that a floating price pegged below the Brent international benchmark might enable Russian President Vladimir Putin to game the mechanism by reducing supply, a second source with knowledge of the discussions said.

Putin could benefit from a floating price system because the price of his country's oil would also rise if Brent spiked due to a cut in oil from Russia, one of the world's largest petroleum producers. The downside of the agreed fixed price system is that it will require more meetings of the coalition and bureaucracy to review it regularly, the source said.

Also Read:&nbsp;<a href="https://www.wionews.com/world/russia-hints-retreat-in-southern-ukraine-but-kyiv-thinks-its-a-trap-531050">Russia hints at retreat in southern Ukraine, but Kyiv thinks it's a trap</a>

US Treasury Secretary Janet Yellen and other G7 officials argue the price cap, set to begin on Dec. 5 on crude and Feb. 5 on oil products, will squeeze funding to Russia without cutting supply to consumers. Russia has said it will refuse to ship oil to countries that set price caps.

Shipping services are eager to see more details about the G7 plan which is due to take effect in a month.

A steady price cap could enable insurers to more confidently roll over contracts and initiate new ones without fear that the price could be adjusted by the countries buying Russian oil, which could have potentially exposed insurers to sanctions.

No immediate comment was available from the treasury or the embassies of coalition members, which include the G7 rich nations, the European Union and Australia.

Separately, The Wall Street Journal reported on Friday that the United States and its allies had agreed on further details on which sales of Russian oil will face the price cap.

Each load of seaborne Russian oil will only be subject to the price cap when first sold to a buyer on land, the countries determined. Reuters could not immediately verify the report which cited people familiar with the matter. 
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The Group of Seven rich nations and Australia have agreed to set a fixed price when they finalize a price cap on Russian oil later this month, rather than adopting a floating rate, sources said on Thursday.

The Group of Seven rich nations and Australia have agreed to set a fixed price when they finalize a price cap on Russian oil later this month, rather than adopting a floating rate, sources said on Thursday. US officials and G7 countries have been in intense negotiations in recent weeks over the unprecedented plan to put a price cap on sea-borne oil shipments, which is scheduled to take effect on Dec. 5, to ensure EU and US sanctions aimed at limiting Moscow's ability to fund its invasion of Ukraine do not throttle the global oil market. “The Coalition has agreed the price cap will be a fixed price that will be reviewed regularly rather than a discount to an index,” said a coalition source, who was not authorized to speak publicly. “This will increase market stability and simplify compliance to minimize the burden on market participants.” The initial price itself has not been set, but should be in the coming weeks, multiple sources said. Coalition partners agreed to regularly review the fixed price and revise it as needed, the source said, without disclosing further details. Pegging the price as a discount to some index would have resulted in too much volatility and potential price swings, the source added. The coalition worried that a floating price pegged below the Brent international benchmark might enable Russian President Vladimir Putin to game the mechanism by reducing supply, a second source with knowledge of the discussions said. Putin could benefit from a floating price system because the price of his country's oil would also rise if Brent spiked due to a cut in oil from Russia, one of the world's largest petroleum producers. The downside of the agreed fixed price system is that it will require more meetings of the coalition and bureaucracy to review it regularly, the source said. Also Read: Russia hints at retreat in southern Ukraine, but Kyiv thinks it's a trap US Treasury Secretary Janet Yellen and other G7 officials argue the price cap, set to begin on Dec. 5 on crude and Feb. 5 on oil products, will squeeze funding to Russia without cutting supply to consumers. Russia has said it will refuse to ship oil to countries that set price caps. Shipping services are eager to see more details about the G7 plan which is due to take effect in a month. A steady price cap could enable insurers to more confidently roll over contracts and initiate new ones without fear that the price could be adjusted by the countries buying Russian oil, which could have potentially exposed insurers to sanctions. No immediate comment was available from the treasury or the embassies of coalition members, which include the G7 rich nations, the European Union and Australia. Separately, The Wall Street Journal reported on Friday that the United States and its allies had agreed on further details on which sales of Russian oil will face the price cap. Each load of seaborne Russian oil will only be subject to the price cap when first sold to a buyer on land, the countries determined. Reuters could not immediately verify the report which cited people familiar with the matter.

G7 coalition agrees to set a fixed rate for proposed price cap on Russian oil

US President Joe Biden hit out at oil firms for posting bumper profits this year amid the Ukraine war, calling on them to increase production to help bring down gas prices at the pump or pay a windfall tax.

US President Joe Biden compares oil firms to war profiteers, threatens windfall tax

Saudi Arabia has slammed POTUS once again. This time it has accused Joe Biden of trying to manipulate markets by releasing fuel reserves. Molly Gambhir brings you a detailed report.

Gravitas: Saudi Arabia slams Biden for releasing fuel reserves

In an escalation of US, Saudi dispute over petroleum reserve, Saudi Arabia's energy Minister blasted the release of emergency oil stocks as an attempt to manipulate markets by the US.

Oil spat: Saudi Arabia blasts US. Is OPEC aligning with Russia?

After announcing&nbsp;the release of&nbsp;15 million barrels of oil from the US strategic petroleum, president Joe Biden has urged oil firms to share their enormous profits with customers.&nbsp;

Biden further claimed that the global rise in oil prices has been caused by the Russian invasion of Ukraine and declared that his government is making efforts to keep the gas prices in control. The president said that the gas prices decreased each day, last week.&nbsp;

<a href="https://www.wionews.com/world/biden-to-release-15m-barrels-from-us-oil-reserves-after-opec-output-cut-526603">Also read |&nbsp;US to release 15 million barrels from strategic oil reserves after OPEC+ output cut</a>

Biden in his speech said, "That’s progress, but they’re not falling fast enough. Gas prices are felt in almost every family in this country. That’s why I’ve been doing everything in my power to reduce gas prices."&nbsp;

The president further requested assistance from oil refineries. Biden requested six biggest US oil firms recorded profits of nearly $70 billion for Q2.&nbsp;

"My message to all companies is this: you’re sitting on record profits. And we’re giving you more certainty. You can act now to increase oil production. You should not be using your profits to buy back stock or for dividends – not while the war is raging," he said.&nbsp;

This news comes after the OPEC+ countries, which produce oil, announced they would reduce output, the White House officials reported.

According to the Energy Information Administration, the 15 million barrel release will not be sufficient to meet US oil consumption for each day.&nbsp;

<a href="https://www.wionews.com/world/just-stop-oil-protesters-scale-queen-elizabeth-ii-bridge-in-london-526331">Also read |&nbsp;Just Stop Oil protesters scale Queen Elizabeth II Bridge in London</a>

The oil sector wants the government to authorise the construction of pipelines to expand access to federal lands for drilling and remove recent tax hikes.&nbsp;

In response to this, the administration claims that the oil industry is sitting on hundreds of unused federal leases and assets.

As the midterm elections are on their way, the Biden administration&nbsp;is working to control gas prices.&nbsp;

(With inputs from agencies)

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After announcing the release of 15 million barrels of oil from the US strategic petroleum, president Joe Biden has urged oil firms to share their enormous profits with customers.

After announcing the release of 15 million barrels of oil from the US strategic petroleum, president Joe Biden has urged oil firms to share their enormous profits with customers. Biden further claimed that the global rise in oil prices has been caused by the Russian invasion of Ukraine and declared that his government is making efforts to keep the gas prices in control. The president said that the gas prices decreased each day, last week. Also read | US to release 15 million barrels from strategic oil reserves after OPEC+ output cut Biden in his speech said, "That’s progress, but they’re not falling fast enough. Gas prices are felt in almost every family in this country. That’s why I’ve been doing everything in my power to reduce gas prices." The president further requested assistance from oil refineries. Biden requested six biggest US oil firms recorded profits of nearly $70 billion for Q2. "My message to all companies is this: you’re sitting on record profits. And we’re giving you more certainty. You can act now to increase oil production. You should not be using your profits to buy back stock or for dividends – not while the war is raging," he said. This news comes after the OPEC+ countries, which produce oil, announced they would reduce output, the White House officials reported. According to the Energy Information Administration, the 15 million barrel release will not be sufficient to meet US oil consumption for each day. Also read | Just Stop Oil protesters scale Queen Elizabeth II Bridge in London The oil sector wants the government to authorise the construction of pipelines to expand access to federal lands for drilling and remove recent tax hikes. In response to this, the administration claims that the oil industry is sitting on hundreds of unused federal leases and assets. As the midterm elections are on their way, the Biden administration is working to control gas prices. (With inputs from agencies) WATCH WION LIVE HERE

US President Joe Biden requests oil firms to increase production, share profits with consumers

Saudi Arabia on Thursday (October 13) rejected accusations that decision taken by OPEC (Organisation of Oil Producing Countries) and its allies to cut oil production was aimed against the United States. The kingdom said that such accusations were baseless. The decision to cut output was taken despite US pressure to increase it. US is trying to isolate Russia whose main exports are energy products. Cutting oil production may send prices surging which in turn would help Russia fill. at least in theory, its coffers to fund its war efforts in Ukraine.

The decision to cut production by two million barrels a day from November infuriated the White House, with President Joe Biden promising "consequences" for OPEC's top producer Saudi Arabia.

"Saudi Arabia has viewed the statements... which have described the decision as the kingdom taking sides in international conflicts and that it was politically motivated against the United States," the Saudi foreign ministry said in a statement.

Watch | Ukraine PM: Ukraine receives additional emergency aid from IMF

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Saudi Arabia would "like to express its total rejection of these statements that are not based on facts and which are based on portraying the OPEC+ decision out of its economic context," it added.

The kingdom insisted that decisions by OPEC+ were taken with only economic considerations in mind.

"The government of the kingdom clarified through its continuous consultation with the US administration that all economic analyses indicate that postponing the OPEC+ decision for a month... would have had negative economic consequences," the ministry said.

"Resolving economic challenges requires the establishment of a non-politicised constructive dialogue and to wisely and rationally consider what serves the interests of all countries."

Also Read | <a href="https://www.wionews.com/world/vladimir-putin-offers-to-redirect-nord-stream-gas-flows-through-hub-in-turkiye-525126">Vladimir Putin offers to redirect Nord Stream gas flows through 'hub' in Türkiye</a>

In the immediate aftermath of the output cut, US had alleged that OPEC+ was siding with Russia. Saudi Arabia denied this and said that on Ukraine war, the kingdom has maintained a "principled position" in support of international law.

(With inputs from agencies)

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Saudi Arabia on Thursday (October 13) rejected accusations that decision taken by OPEC (Organisation of Oil Producing Countries) and its allies to cut oil production was aimed against the United States.

Saudi Arabia on Thursday (October 13) rejected accusations that decision taken by OPEC (Organisation of Oil Producing Countries) and its allies to cut oil production was aimed against the United States. The kingdom said that such accusations were baseless. The decision to cut output was taken despite US pressure to increase it. US is trying to isolate Russia whose main exports are energy products. Cutting oil production may send prices surging which in turn would help Russia fill. at least in theory, its coffers to fund its war efforts in Ukraine. The decision to cut production by two million barrels a day from November infuriated the White House, with President Joe Biden promising "consequences" for OPEC's top producer Saudi Arabia. "Saudi Arabia has viewed the statements... which have described the decision as the kingdom taking sides in international conflicts and that it was politically motivated against the United States," the Saudi foreign ministry said in a statement. Watch | Ukraine PM: Ukraine receives additional emergency aid from IMF × Saudi Arabia would "like to express its total rejection of these statements that are not based on facts and which are based on portraying the OPEC+ decision out of its economic context," it added. The kingdom insisted that decisions by OPEC+ were taken with only economic considerations in mind. "The government of the kingdom clarified through its continuous consultation with the US administration that all economic analyses indicate that postponing the OPEC+ decision for a month... would have had negative economic consequences," the ministry said. "Resolving economic challenges requires the establishment of a non-politicised constructive dialogue and to wisely and rationally consider what serves the interests of all countries." Also Read | Vladimir Putin offers to redirect Nord Stream gas flows through 'hub' in Türkiye In the immediate aftermath of the output cut, US had alleged that OPEC+ was siding with Russia. Saudi Arabia denied this and said that on Ukraine war, the kingdom has maintained a "principled position" in support of international law. (With inputs from agencies) You can now write for wionews.com and be a part of the community. Share your stories and opinions with us here. WATCH WION LIVE HERE ×

OPEC decision of output cut not aimed against US, says Saudi Arabia

Oil slid more than 2% on Tuesday, extending losses of nearly 2% in the previous session, as recession fears and a flare-up in COVID-19 cases in China raised concern over global demand.&nbsp;

World Bank President David Malpass and International Monetary Fund Managing Director Kristalina Georgieva warned on Monday of a growing risk of global recession and said that inflation remains a continuing problem.

Also read |&nbsp;<a href="https://www.wionews.com/world/live-russian-strikes-kill-14-in-ukraine-over-84-missiles-were-launched-524252" hreflang="en">Ukraine war LIVE | Russian strikes on Ukraine could amount to war crimes: UN</a>

Brent crude fell $2.30, or 2.4%, to $93.89 a barrel by 1006 GMT. U.S. West Texas Intermediate crude dropped $2.12, or 2.3%, to $89.01.&nbsp;

"There is growing pessimism in the markets now," said Craig Erlam of brokerage OANDA.&nbsp;

Oil has dropped sharply on economic fears after surging earlier in 2022, when Brent came close to its record high of $147 as Russia's invasion of Ukraine added to supply concerns.&nbsp;

"Warnings after warnings are being issued when it comes to global economic growth," said Avatrade analyst Naeem Aslam.&nbsp;

Also read |&nbsp;<a href="https://www.wionews.com/world/israel-and-lebanon-reach-historic-agreement-on-maritime-border-dispute-524371">Israel and Lebanon reach 'historic agreement' on maritime border: Reports</a>

Those worries aside, fears of a further hit to demand in China also weighed. Authorities have stepped up coronavirus testing in Shanghai and other large cities as COVID-19 infections rise again.&nbsp;read more&nbsp;

Oil also came under pressure from a strong dollar, which hit multi-year highs on worries about increases to interest rates and escalation of the Ukraine war.&nbsp;

A strong dollar makes oil more expensive for buyers with other currencies and tends to weigh on risk appetite.&nbsp;

Losses were limited, however, by a tight market and last week's decision by the Organization of the Petroleum Exporting Countries (OPEC) and allies including Russia, together known as OPEC+, to lower their output target by 2 million barrels per day.&nbsp;

"An undersupply is even looming next year because the production cut is supposed to apply until the end of 2023, according to the OPEC+ decision," a Commerzbank report said.&nbsp;

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Oil slid more than 2% on Tuesday, extending losses of nearly 2% in the previous session, as recession fears and a flare-up in COVID-19 cases in China raised concern over global demand.

Oil slid more than 2% on Tuesday, extending losses of nearly 2% in the previous session, as recession fears and a flare-up in COVID-19 cases in China raised concern over global demand. World Bank President David Malpass and International Monetary Fund Managing Director Kristalina Georgieva warned on Monday of a growing risk of global recession and said that inflation remains a continuing problem. Also read | Ukraine war LIVE | Russian strikes on Ukraine could amount to war crimes: UN Brent crude fell $2.30, or 2.4%, to $93.89 a barrel by 1006 GMT. U.S. West Texas Intermediate crude dropped $2.12, or 2.3%, to $89.01. "There is growing pessimism in the markets now," said Craig Erlam of brokerage OANDA. Oil has dropped sharply on economic fears after surging earlier in 2022, when Brent came close to its record high of $147 as Russia's invasion of Ukraine added to supply concerns. "Warnings after warnings are being issued when it comes to global economic growth," said Avatrade analyst Naeem Aslam. Also read | Israel and Lebanon reach 'historic agreement' on maritime border: Reports Those worries aside, fears of a further hit to demand in China also weighed. Authorities have stepped up coronavirus testing in Shanghai and other large cities as COVID-19 infections rise again. read more Oil also came under pressure from a strong dollar, which hit multi-year highs on worries about increases to interest rates and escalation of the Ukraine war. A strong dollar makes oil more expensive for buyers with other currencies and tends to weigh on risk appetite. Losses were limited, however, by a tight market and last week's decision by the Organization of the Petroleum Exporting Countries (OPEC) and allies including Russia, together known as OPEC+, to lower their output target by 2 million barrels per day. "An undersupply is even looming next year because the production cut is supposed to apply until the end of 2023, according to the OPEC+ decision," a Commerzbank report said.

Oil prices fall more than two per cent on recession and China COVID-19 fears

The OPEC+ group agreed to cut production, by 2 million barrels per day, the biggest slash in production since the beginning of the COVID-19 pandemic in 2020.

World Business Watch: OPEC+ will cut production by 2 million barrels a day

World Business Watch: OPEC+ to cut oil production by 2 million barrels per day to shore up prices

Organisation of Petroleum Exporting Countries (OPEC+) on Wednesday (October 5) agreed to big cuts to oil production. These are deepest cuts in production since 2020 COVID pandemic. The decision was taken at a meeting in Vienna and despite pressure from the US and other to increase production.

The cut in oil production may cause oil prices to rise. The prices have dropped to about USD 90 from USD 120 three months ago.

The United States had pushed OPEC not to proceed with the cuts, arguing that fundamentals don't support them, a source familiar with the matter said as quoted by Reuters.

The agency said that it was unclear whether cuts would include additional reductions by member countries such as Saudi Arabia.

OPEC+ fell about 3.6 million barrels per day short of its output target in August.

"Higher oil prices, if driven by sizeable production cuts, would likely irritate the Biden Administration ahead of U.S. mid-term elections," Citi analysts said in a note.

"There could be further political reactions from the U.S., including additional releases of strategic stocks, along with some wildcards including further fostering of a NOPEC bill," Citi said, referring to a US antitrust bill against OPEC.

JPMorgan also said it expected Washington to put in place countermeasures by releasing more oil stocks.

US is 'disappointed'

US President Joe Biden said that the US was 'disappointed' with OPEC+ decision to cut production. The White House said that the decision will hurt the world economy.

"The president is disappointed by the shortsighted decision by OPEC+," National Security Advisor Jake Sullivan and top economic advisor Brian Deese said in a statement.

The supply cut will hit countries "already reeling" from high prices while "the global economy is dealing with the continued negative impact" of Russia's attack on Ukraine, the statement said.

OIL PRICES RISE

Saudi Arabia and other members of OPEC+ - which groups the Organization of the Petroleum Exporting Countries and other producers including Russia - have said they seek to prevent volatility rather than to target a particular oil price.

Also Read | <a href="https://www.wionews.com/business-economy/five-signs-why-global-economy-is-headed-for-recession-522569">Five signs why global economy is headed for recession</a>

Benchmark Brent crude rose towards $93 per barrel on Wednesday, after climbing on Tuesday.

The West has accused Russia of weaponising energy, creating a crisis in Europe that could trigger gas and power rationing this winter.

(With inputs from agencies)

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Organisation of Petroleum Exporting Countries (OPEC+) on Wednesday (October 5) agreed to big cuts to oil production. These are deepest cuts in production since 2020 COVID pandemic.

Organisation of Petroleum Exporting Countries (OPEC+) on Wednesday (October 5) agreed to big cuts to oil production. These are deepest cuts in production since 2020 COVID pandemic. The decision was taken at a meeting in Vienna and despite pressure from the US and other to increase production. The cut in oil production may cause oil prices to rise. The prices have dropped to about USD 90 from USD 120 three months ago. The United States had pushed OPEC not to proceed with the cuts, arguing that fundamentals don't support them, a source familiar with the matter said as quoted by Reuters. The agency said that it was unclear whether cuts would include additional reductions by member countries such as Saudi Arabia. OPEC+ fell about 3.6 million barrels per day short of its output target in August. "Higher oil prices, if driven by sizeable production cuts, would likely irritate the Biden Administration ahead of U.S. mid-term elections," Citi analysts said in a note. "There could be further political reactions from the U.S., including additional releases of strategic stocks, along with some wildcards including further fostering of a NOPEC bill," Citi said, referring to a US antitrust bill against OPEC. JPMorgan also said it expected Washington to put in place countermeasures by releasing more oil stocks. US is 'disappointed' US President Joe Biden said that the US was 'disappointed' with OPEC+ decision to cut production. The White House said that the decision will hurt the world economy. "The president is disappointed by the shortsighted decision by OPEC+," National Security Advisor Jake Sullivan and top economic advisor Brian Deese said in a statement. The supply cut will hit countries "already reeling" from high prices while "the global economy is dealing with the continued negative impact" of Russia's attack on Ukraine, the statement said. OIL PRICES RISE Saudi Arabia and other members of OPEC+ - which groups the Organization of the Petroleum Exporting Countries and other producers including Russia - have said they seek to prevent volatility rather than to target a particular oil price. Also Read | Five signs why global economy is headed for recession Benchmark Brent crude rose towards $93 per barrel on Wednesday, after climbing on Tuesday. The West has accused Russia of weaponising energy, creating a crisis in Europe that could trigger gas and power rationing this winter. (With inputs from agencies) You can now write for wionews.com and be a part of the community. Share your stories and opinions with us here. WATCH WION LIVE HERE ×

OPEC+ decides to reduce oil production despite US pressure

Oil prices have jumped after reports said that OPEC+ is considering a cut to output this week. Meanwhile, Asian shares trade mix today as the holiday-heavy week gets underway.

World Business Watch: Oil prices climb, Asian shares mixed as holiday-heavy week gets underway

India looks all set to diversify its oil import sources amid the ongoing global energy crisis fueled by the Russian invasion of Ukraine. India looks to buy oil from Guyana, Canada, Gabon, Brazil & Colombia.

Why India seeks to diversify its oil import sources?

On war with Ukraine, Russian president Vladimir Putin said that Russia has not lost anything in the war and the West can not isolate Russia. He added, we will not hesitate to look towards other markets.

'Russia has not lost anything in the war,' says Vladimir Putin on war with Ukraine

Russian President Vladimir Putin on Wednesday (September 7) said that Russia will stop oil and gas supply to countries that introduce price caps. Western countries are considering to put a price cap on Russian energy products in order to cut its revenue stream. Putin told the Eastern Economic Forum that such a move "would be an absolutely stupid decision".

"We will not supply anything at all if it is contrary to our interests, in this case economic (interests)," he said. "No gas, no oil, no coal, no fuel oil, nothing."

G7 industrialised powers on Friday vowed to move urgently towards implementing a price cap on Russian oil imports, in a bid to cut off a major source of funding for Moscow's military action in Ukraine.

Putin said Russia would respect its contractual obligations and hoped other countries would do the same.

"Those who are trying to impose something on us are in no position today to dictate their will," Putin said.&nbsp;

"They should come to their senses."

Quoting a Russian fairy tale "Freeze, freeze, the wolf tail", Putin said that Russia would supply nothing outside of existing contracts.

Also Read | <a href="https://www.wionews.com/world/turkiye-president-erdogan-calls-western-policies-towards-russia-provocative-513790">Turkiye President Erdogan calls Western policies towards Russia 'provocative'</a>

Russian squeeze on natural gas supply to Europe has begun showing its effect. Energy prices in Europe have gone up and governments are facing public anger.

"They have several solutions. Either subsidising high prices, which is bad because it won't change consumer behaviour... or reduce consumption," he said.

"From an economic point of view, it is correct. From a social point of view it is dangerous, it can lead to an explosion. It is better to adhere to contractual obligations, to civilised rules," Putin said.

(With inputs from agencies)

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Russian President Vladimir Putin on Wednesday (September 7) said that Russia will stop oil and gas supply to countries that introduce price caps. Western countries are considering to put a price cap on Russian energy products in order to cut its revenue stream.

Russian President Vladimir Putin on Wednesday (September 7) said that Russia will stop oil and gas supply to countries that introduce price caps. Western countries are considering to put a price cap on Russian energy products in order to cut its revenue stream. Putin told the Eastern Economic Forum that such a move "would be an absolutely stupid decision". "We will not supply anything at all if it is contrary to our interests, in this case economic (interests)," he said. "No gas, no oil, no coal, no fuel oil, nothing." G7 industrialised powers on Friday vowed to move urgently towards implementing a price cap on Russian oil imports, in a bid to cut off a major source of funding for Moscow's military action in Ukraine. Putin said Russia would respect its contractual obligations and hoped other countries would do the same. "Those who are trying to impose something on us are in no position today to dictate their will," Putin said. "They should come to their senses." Quoting a Russian fairy tale "Freeze, freeze, the wolf tail", Putin said that Russia would supply nothing outside of existing contracts. Also Read | Turkiye President Erdogan calls Western policies towards Russia 'provocative' Russian squeeze on natural gas supply to Europe has begun showing its effect. Energy prices in Europe have gone up and governments are facing public anger. "They have several solutions. Either subsidising high prices, which is bad because it won't change consumer behaviour... or reduce consumption," he said. "From an economic point of view, it is correct. From a social point of view it is dangerous, it can lead to an explosion. It is better to adhere to contractual obligations, to civilised rules," Putin said. (With inputs from agencies) You can now write for wionews.com and be a part of the community. Share your stories and opinions with us here. WATCH WION LIVE HERE ×

Putin threatens 'no gas, no oil' to countries introducing price caps on Russian oil

The OPEC Plus has decided to start cutting oil production in October by 100,000 barrels. Western sanctions on countries like Iran and Venezuela could squeeze oil supplies further. Palki Sharma tells you more.

Gravitas: Why your oil bills could spike again

Oil prices rose about 3% on Monday, as OPEC+ members agreed to a small production cut of 100,000 barrels per day to bolster prices.

Oil up nearly 3% as OPEC+ agrees to small oil output cut

Europe is facing an energy crisis and fears mounting that the continent could actually be looking at a pretty tough winter ahead as Gazprom has extended shutdown of gas flow through Nord stream 1. This move comes after G7 nations agreed to impose price cap on Russian oil.

Russia shuts gas supplies indefinitely; Sweden PM warns of 'war winter'

Gazprom has missed September 3 deadline to restart gas supplies and said oil leak is behind the supply delay. G7 countries have come to an agreement over a price cap on Russian oil.

Gazprom misses September 3 deadline to restart gas supplies

Russia has delayed reopening of major gas pipeline in blow to gas-starved Europe. Meanwhile, Russia has blamed Western sanctions for the delay. Can Europe cope without Russian oil & gas?

Russia cuts off gas exports to Europe; blames westerns sanctions for delay

The G7 countries have agreed to impose a price cap on Russian oil even as Russia has delayed opening a pipeline, which is a major source of oil to Germany. As per reports, there is no new deadline for pipeline restart.

Russia fails to resume gas supplies; G7 agrees on price cap for Russian oil

China has gained a major foothold in oil-rich Iraq, shaking up Western domination in fields from energy to construction, even as some warn that infrastructure projects could leave Baghdad in debt. Ghadi Francis tells you more on The West Asia Post.

The West Asia Post | China cements influence in Iraq through oil & infrastructure

Almost 60% of China's oil imports are transported by sea. They must pass via three strategic choke points controlled by the US navy before reaching China. If war breaks out, can the US cut off China's oil supply? Palki Sharma tells you.

Gravitas: Can the US cut off China's oil supply during war?

Ukraine has called out India over Russian oil and Ukraine's foreign minister said 'India is buying blood-tainted oil'. Meanwhile India's foreign minister has defended the move to buy Russian oil.

Ukraine's foreign minister says 'India buying blood-tainted oil'

India's Oil and Natural Gas Corp (ONGC) on Wednesday signed a deal with global oil major ExxonMobil Corp for deepwater exploration in India's eastern and western coasts.&nbsp;

The signing of the Heads of Agreement (HoA) ends ONGC's long-drawn search for a&nbsp;global oil major to partner with in an attempt&nbsp;to quickly monetise its reserves.

India's 53 per cent basin area is offshore. However, it requires sophisticated machinery and manpower to extract the oil from such difficult terrains. ONGC is a giant in the industry but still lags in technological prowess, which Exxon is expected to bring onto the table, under the new partnership.&nbsp;

According to the stock exchange filing, ONGC and&nbsp;ExxonMobil will put their attention on the deepwater reserves in India's&nbsp;East and West coasts.

"The collaboration areas focus on the Krishna Godavari and Cauvery Basins in the eastern offshore and the Kutch-Mumbai region in the western offshore. There has been a scientific exchange of exploration data in the last few years, which has led to this partnership," read the statement.&nbsp;

Read more:&nbsp;<a href="https://www.wionews.com/south-asia/indian-oil-corp-unit-to-open-50-fuel-stations-in-sri-lanka-to-battle-crisis-504839">Indian Oil Corp unit to open 50 fuel stations in Sri Lanka to battle crisis</a>

Meanwhile, ExxonMobil India in its statement said,&nbsp;“It’s an exciting opportunity to collaborate with ONGC. Great things happen when the right people collaborate." It added that 25 per cent of the ExxonMobil brain power is currently engaged in evaluating Indian deepwater. "ExxonMobil is geared up to take this collaboration to the next level.”

It is pertinent to note that India is the world's third-largest importer and consumer of oil. More than 85 per cent of the country's oil demands are met by other countries, which puts a tremendous strain on the exchequer.

However, ever since the Russia-Ukraine war broke out, India has been purchasing cheaper oil from Russia, much to the chagrin of the western world.

Read more:&nbsp;<a href="https://www.wionews.com/india-news/why-oil-is-expensive-in-india-and-what-the-government-could-do-365515">Why oil is expensive in India, and what the government could do</a>

(With inputs from agencies) 
 
WATCH WION LIVE HERE:&nbsp;

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India's Oil and Natural Gas Corp (ONGC) on Wednesday signed a deal with global oil major ExxonMobil Corp for deepwater exploration in India's eastern and western coasts.

India's Oil and Natural Gas Corp (ONGC) on Wednesday signed a deal with global oil major ExxonMobil Corp for deepwater exploration in India's eastern and western coasts. The signing of the Heads of Agreement (HoA) ends ONGC's long-drawn search for a global oil major to partner with in an attempt to quickly monetise its reserves. India's 53 per cent basin area is offshore. However, it requires sophisticated machinery and manpower to extract the oil from such difficult terrains. ONGC is a giant in the industry but still lags in technological prowess, which Exxon is expected to bring onto the table, under the new partnership. According to the stock exchange filing, ONGC and ExxonMobil will put their attention on the deepwater reserves in India's East and West coasts. "The collaboration areas focus on the Krishna Godavari and Cauvery Basins in the eastern offshore and the Kutch-Mumbai region in the western offshore. There has been a scientific exchange of exploration data in the last few years, which has led to this partnership," read the statement. Read more: Indian Oil Corp unit to open 50 fuel stations in Sri Lanka to battle crisis Meanwhile, ExxonMobil India in its statement said, “It’s an exciting opportunity to collaborate with ONGC. Great things happen when the right people collaborate." It added that 25 per cent of the ExxonMobil brain power is currently engaged in evaluating Indian deepwater. "ExxonMobil is geared up to take this collaboration to the next level.” It is pertinent to note that India is the world's third-largest importer and consumer of oil. More than 85 per cent of the country's oil demands are met by other countries, which puts a tremendous strain on the exchequer. However, ever since the Russia-Ukraine war broke out, India has been purchasing cheaper oil from Russia, much to the chagrin of the western world. Read more: Why oil is expensive in India, and what the government could do (With inputs from agencies) WATCH WION LIVE HERE:

Indian oil giant ONGC partners up with ExxonMobil for deepwater exploration

British oil firm BP posted its highest quarterly profits in 14 years on Tuesday. How are oil firms reporting bumper profits amid a global cost-of-living crisis? How can governments tame big oil's hunger for profits? Palki Sharma tells you.

Gravitas: British oil firm BP reports highest profit in 14 years

As global economies show worrying signs of rising food prices, soaring gas prices and high inflation rates, oil super majors witness record-breaking profits. How? Well, the Russian invasion of Ukraine is driving these stunning profits for the oil giants.

WION Fineprint: Oil & gas price surge amid Ukraine war

Oil prices edged down on Wednesday, pressured by global central bank efforts to tame inflation and ahead of expected builds in US crude inventories as product demand weakens.

Oil falls on inflation concerns, anticipated stock builds

There is an urgent need to cut greenhouse gas emissions in order to avoid global warming and create a society without fossil fuels. The solution is emission-free electrification 3 scientists received the 2019 Nobel Prize for their work on lithium-ion batteries.

Fossil fuels will have to end. Are batteries the new 'oil'?

Recession fears are clouding the global demand outlook amid the ongoing Russia-Ukraine war. Now, Brent crude slipped below $100 a barrel.

Oil from US reserves sent overseas; Brent crude slips below $100 a barrel

Russia has pocketed $24 billion from selling energy to China and India in just three months following its invasion of Ukraine, showing how higher global prices are limiting efforts by the US and Europe to punish President Vladimir Putin. China spent $18.9 billion on Russian oil, gas and coal in the three months to the end of May, almost double the amount a year earlier, the latest customs data show. Meanwhile, India shelled out $5.1 billion in the same period, more than five times the value, as reported by Bloomberg.

China is the world’s biggest energy importer and has dedicated pipelines for Siberian oil and gas. Even as its energy consumption was curbed over the first half of 2022 -- partly due to Covid lockdowns -- it spent far more on Russian energy due to higher prices and small increases in volumes. Indian refiners have also been snapping up cheap Russian oil, shunned by western companies and countries since sanctions were imposed against Moscow for its invasion of Ukraine on Feb. 24, which Russia calls a "special military operation".

Also Read:&nbsp;<a href="https://www.wionews.com/opinions-blogs/udaipur-terror-attack-how-my-hometown-turned-into-a-curfew-zone-494414">Udaipur terror attack: How my hometown turned into a curfew zone &nbsp;</a>

A lack of new term supply deals with Rosneft may push Indian refiners to turn to the spot market for more expensive oil. It also indicates that Russia has managed to keep exporting its oil despite increasing pressure from Western sanctions to choke Moscow's revenue. Drawn to the discounts offered, three Indian state refiners - Indian Oil Corp, Bharat Petroleum Corp and Hindustan Petroleum - opened negotiations with Rosneft earlier this year for six-month supply deals.

Russia has long-standing trade and strategic relationships with China and India, and along with offering steep price discounts is also accepting payments in local currency to help keep trade flows to the countries strong this year.&nbsp;

(with inputs from agencies)

 
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Russia has pocketed $24 billion from selling energy to China and India in just three months following its invasion of Ukraine, showing how higher global prices are limiting efforts by the US and Europe to punish President Vladimir Putin.

Russia has pocketed $24 billion from selling energy to China and India in just three months following its invasion of Ukraine, showing how higher global prices are limiting efforts by the US and Europe to punish President Vladimir Putin. China spent $18.9 billion on Russian oil, gas and coal in the three months to the end of May, almost double the amount a year earlier, the latest customs data show. Meanwhile, India shelled out $5.1 billion in the same period, more than five times the value, as reported by Bloomberg. China is the world’s biggest energy importer and has dedicated pipelines for Siberian oil and gas. Even as its energy consumption was curbed over the first half of 2022 -- partly due to Covid lockdowns -- it spent far more on Russian energy due to higher prices and small increases in volumes. Indian refiners have also been snapping up cheap Russian oil, shunned by western companies and countries since sanctions were imposed against Moscow for its invasion of Ukraine on Feb. 24, which Russia calls a "special military operation". Also Read: Udaipur terror attack: How my hometown turned into a curfew zone A lack of new term supply deals with Rosneft may push Indian refiners to turn to the spot market for more expensive oil. It also indicates that Russia has managed to keep exporting its oil despite increasing pressure from Western sanctions to choke Moscow's revenue. Drawn to the discounts offered, three Indian state refiners - Indian Oil Corp, Bharat Petroleum Corp and Hindustan Petroleum - opened negotiations with Rosneft earlier this year for six-month supply deals. Russia has long-standing trade and strategic relationships with China and India, and along with offering steep price discounts is also accepting payments in local currency to help keep trade flows to the countries strong this year. (with inputs from agencies) WATCH WION LIVE HERE You can now write for wionews.com and be a part of the community. Share your stories and opinions with us here.

India and China spend $24 billion on cheap Russian energy imports: Report

Norwegian offshore workers began a strike on Tuesday that will reduce oil and gas output. Workers are demanding wage hikes to compensate for rising inflation.

Norwegian oil and gas workers start strike, cutting output

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