EU to strengthen information exchange to identify tankers transferring Russian oil ship-to-ship

MOSCOW. Dec 18 (Interfax) - EU countries will strengthen monitoring and exchange of information on tankers to identify those carrying out ship-to-ship transfers of Russian oil, the European Council said in a press release.

EU countries will implement a strengthened information sharing mechanism to identify AIS manipulations while transporting Russian crude oil and petroleum products. Monitoring of vessels will be strengthened to avoid ship-to-ship transfers used to conceal the origin or destination of cargo.

The Council also decided to introduce notification rules for the sale of tankers to any third country to make their sale and export more transparent, in particular in the case of second-hand carriers that could be used to evade the import ban on Russian crude or petroleum products and the price cap.

In a bid to curb Moscow's oil revenues while preserving Russian oil supplies to the global market, G7 nations and EU member states have banned their companies from transporting Russian oil or providing any services associated with its transportation unless the crude is sold at a price below or equal to the level set by their governments, in other words a price cap of $60 per barrel, effective December 5, 2022. Russia in turn has prohibited its companies from selling oil whenever a condition relating to the price cap is set out in their contracts. A similar price cap for oil products took effect on February 5, 2023, equivalent to $100 per barrel for light oil products and $45 per barrel for heavy oil products.

The International Energy Agency has said the average price of Urals has been above the price cap's parameters since the middle of July, but Russian oil has again been trading below $60 in December as oil prices have fallen.