Russia Targets Europe With a Commodity Weapon: Kazakh Crude

  • Halting flows through the CPC pipeline won’t hurt Russia
  • Europe could lose as much as a million barrels a day of crude
US, Allies Discuss Capping Russian Oil
Lock
This article is for subscribers only.

Russian President Vladimir Putin has found another weapon to use against European countries supporting Ukraine -- Kazakhstan’s crude -- and it will cost him almost nothing, writes Bloomberg oil strategist Julian Lee.

While a grace period ticks down before European sanctions on Russian oil kick in on Dec. 5 and the G7 group of industrialized countries considers a price cap on Moscow’s crude exports, Putin is getting his retaliation in early. A court in the town of Novorossiysk has orderedBloomberg Terminal the Caspian Pipeline Consortium to halt shipments from its Black Sea export terminal for a month as punishment for violating oil spill regulations.