Ninth sanctions package include price cap on Russian crude oil

Norway has again amended and updated its restrictions towards Russia. The updated regulation implements, amongst others, the ninth sanctions package published by the EU on 3 December 2022 and largely mirrors the package announced by the EU. This includes, most notably, a price cap on crude oil and petroleum products from Russia which shall apply from 5 December 2022.

The EU, and correspondingly also Norway, has agreed that the purchase, trade, brokering and/or transport of crude oil which originate in Russia, or which have been exported from Russia, only shall be allowed if the purchase price per barrel does not exceed the price laid down in Annex XXVIII. The amount is, as of 9 December 2022, USD 60.

The prohibition also includes the providing of technical assistance, brokering services or financial assistance in transactions related to crude or oil or petroleum products listed in Annex XXV to the Norwegian Sanctions Regulations Ukraine.

The price cap shall be reviewed in mid-January 2023 and every 2nd month thereafter with the aim that the price cap should at least be 5% below the average market price for Russian oil and petroleum products.

The price cap necessitates several amendments to Section 17k of the Norwegian Sanctions Regulations Ukraine. The full text of the amended regulation (in Norwegian) is published here.

If you have any questions about the updated regulation, please do not hesitate to contact us.