Tuesday, February 11
Biden’s farewell sanctions have collapsed Russian oil prices.
Monday, February 10, 2025
In the last days of his term, the Biden administration imposed strict sanctions against more than 180 Russian tankers, dozens of oil trading and insurance companies, and two production companies. After this decision, the price of Russian Urals oil fell below $60 per barrel. The discount was $15.7, the largest figure since May 2024.
The 2025 Russian federal budget provides for a price of $69.7 per barrel. Experts note that because of these restrictions, Russia has lost some of its ability to sell oil in the Chinese and Indian markets. The price of oil may drop to $60-62 per barrel by the summer, which would be critically low for Russia.
The KSE Institute predicts Russia’s oil revenues under current sanctions and price restrictions will reach $141B in 2025 and $135B in 2026. However, weak sanctions enforcement could increase revenues to $166B and $164B in 2025 and 2026, respectively.
