As Russian Oil Price Cap Approaches, OPEC+ Leaves Output Cuts Intact
…Russia does have other options. Hundreds of tankers have been sold to unknown buyers this year, creating the possibility that the trade could continue under anonymous ownership in friendlier jurisdictions. Russian exporters can also draw on the shadow fleet of tankers that serve the sanctioned Iranian and Venezuelan trades. According to United Against Nuclear Iran (UANI), 31 tankers involved in the Iranian oil trade have switched to handling Russian crude so far this year. Insurance is another matter. Without EU and UK-domiciled P&I cover, Russian cargoes will have to rely on alternative insurers and reinsurers, like Russia's Ingosstrakh Insurance Company and the Russian National Reinsurance Company. Top importers like China and India may also seek to self-insure using domestic risk pools, like the $60 million fund set up by Indian national reinsurer GIC Re.