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Russia does not plan to supply oil products under price cap rules — Novak

According to Alexander Novak, Russia has taken precautionary measures in recent months in the event of such measures

MOSCOW, February 13. /TASS/. Russia does not intend to provide oil products or oil to nations that have joined the Western countries' initiative to impose price caps, Russian Deputy Prime Minister Alexander Novak said in the article for the Energy Policy magazine.

"In terms of deliveries to countries that support illegal price restrictions, our position is widely known and remains unchanged - such countries will not receive Russian oil," he said.

According to him, Russia has taken precautionary measures in recent months in the event of such measures. The essential response steps were considered during meetings with Russian president Vladimir Putin.

Russian companies are already establishing new supply chains as a result of the decisions made, he said. In particular, a project to improve transportation in the direction of the port of Kozmino was implemented in order to redirect the supply of Russian oil and oil products to friendly countries in 2022.

"As a result, we assured an increase in transportation to the Asia-Pacific countries to 42 mln tons of oil per year. The decline in output reached around 1.2 mln barrels per day at its peak in March-April and we restored production to roughly 10 mln barrels per day by mid-year," Novak noted.

Novak also noted that Russia intends to supply more than 80% of oil exports and 75% of oil products to friendly countries in 2023. "We are still looking for and discovering new markets. This year, more than 80% of oil exports and 75% of oil products are expected to be supplied to friendly countries," he said.

Novak recalled that Western countries gradually rejecting Russian oil "already caused instability on global oil markets, as well as negative economic effects for the countries who imposed the limits. Brent oil reached a high of $125 per barrel and remained above $100 per barrel until the fall of last year."