Russia to cut oil output in response to price cap

Russia may cut its oil output by 5-7% in early 2023 in response to price cap by the West, Deputy Prime Minister Alexander Novak said. The cut could well reach levels of 5,00,000-7,00,000 per day. In early December, the European Union, Australia and other G7 nations introduced $60 per barrel price cap. In addition, the EU Energy Ministers have agreed to set price cap of $217/MWh on natural gas.