Japan sets price cap on Russian crude oil, excluding Sakhalin-2

A general view shows the Sakhalin-2 project's liquefaction gas plant in Prigorodnoye, about 70 km (44 miles) south of Yuzhno-Sakhalinsk October 13, 2006. REUTERS/Sergei Karpukhin (RUSSIA)

TOKYO, Dec 5 (Reuters) - Japan implemented a price cap on Russian crude oil from Monday, but crude oil imported from the Sakhalin-2 plant will be excluded, the government said in a statement.

The decision follows an agreement by the Group of Seven nations and Australia on Friday to limit the price of Russian crude oil at $60 per barrel in the latest move to slap sanctions on Moscow over its war in Ukraine. read more

The exclusion of crude oil from the far eastern Russian Sakhalin-2 project, which Japanese energy operators hold stakes in after the exit of Shell (SHEL.L), was decided "in light of Japan's energy security", the government said in the statement.

Further measures on Russian petroleum products, set to begin on Feb. 5, 2023, will be announced at a later date, the statement added.

Reporting by Kantaro Komiya; Editing by Kim Coghill

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