Russia To Sell Oil To Belarus At Market Price Plus $5 Per Tonne In April - Novak

Deliveries of Russian oil to Belarus under current agreements will be carried out at a market price minus the export duty and with a premium of $5 per tonne in April, Russian Energy Minister Alexander Novak said on Thursday

MOSCOW (UrduPoint News / Sputnik - 02nd April, 2020) Deliveries of Russian oil to Belarus under current agreements will be carried out at a market price minus the export duty and with a premium of $5 per tonne in April, Russian Energy Minister Alexander Novak said on Thursday.

Earlier in the day, Belarusian Prime Minister Sergei Rumas announced that the republic expects to receive 2 million tonnes of Russian oil at a price of about $4 per barrel in April.

"Most likely, as I assume from the negotiations that we conducted, it's about the size of the premium that the companies should have and which was reduced in accordance with the agreements from $12 to $5 [per tonne].

Naturally, oil deliveries will be at market price minus export duties, since we have duty-free supplies between our countries," Novak told the Ekho Moskvy broadcaster.

According to the minister, duty-free deliveries give Russia a competitive advantage in relation to other suppliers.

"Because of this, our oil is 20 percent cheaper than any other oil, even in comparable transportation conditions. And if we take into account our fairly close distance and deliveries via pipelines, then we have even more competitive advantages," he said.