An aerial view shows the Vladimir Arsenyev tanker at the crude oil terminal Kozmino on the shore of Nakhodka Bay near the port city of Nakhodka, Russia August 12, 2022. (REUTERS/File Photo)
BRUSSELS, Belgium 鈥撀燭he G7 and EU on Friday agreed a in an attempt to deny the Kremlin of war resources, as President Vladimir Putin said more strikes on Ukrainian infrastructure were 鈥渋nevitable鈥�.
The price cap, previously negotiated on a political level between the G7 group of wealthy democracies and the European Union, will come into effect with an EU embargo on Russian crude oil from Monday.
The embargo will prevent shipments of Russian crude by tanker vessel to the EU, which account for two thirds of imports, potentially depriving Russia鈥檚 war chest of billions of euros.
鈥淭he G7 and Australia鈥� reached consensus on a maximum price of 60 US dollars per barrel for seaborne Russian origin crude oil in line with鈥� the European Union, the G7 said in a statement.
The G7 said it was delivering on its vow 鈥渢o prevent Russia from profiting from its war of aggression against Ukraine, to support stability in global energy markets and to minimise negative economic spillovers of Russia鈥檚 war of aggression鈥�.
Poland had refused to back the price cap plan over concerns the ceiling was too high, before its ambassador to the bloc confirmed Warsaw鈥檚 agreement on Friday evening.
The price cap is designed to make it harder to bypass the sanctions by selling beyond the EU.
Poland鈥檚 ambassador Andrzej Sados also said Brussels would take into account Polish and Baltic state suggestions for a 鈥減ainful and expensive鈥� ninth round of sanctions against Moscow.
The White House described the deal as 鈥渨elcome news鈥�, saying a price cap will help limit Putin鈥檚 ability to fund the Kremlin鈥檚 鈥渨ar machine鈥�.
Infrastructure strikes 鈥榠nevitable鈥�
After suffering humiliating defeats during what has become the largest armed conflict in Europe since World War II, Russia began targeting Ukrainian energy infrastructure in October, causing sweeping blackouts.
Putin said Russian strikes on Ukrainian infrastructure were 鈥渋nevitable鈥�, in his first conversation with German Chancellor Olaf Scholz since mid-September.
鈥淪uch measures have become a forced and inevitable response to Kyiv鈥檚 provocative attacks on Russia鈥檚 civilian infrastructure,鈥� Putin told Scholz, according to a Kremlin readout of the telephone talks.
The Kremlin leader referred in particular to the October attack on a bridge linking Moscow-annexed Crimea to the Russian mainland.
During the hour-long call, Scholz 鈥渦rged the Russian president to come as quickly as possible to a diplomatic solution including the withdrawal of Russian troops鈥�, according to the German leader鈥檚 spokesman.
But Putin urged Berlin to 鈥渞econsider its approaches鈥� and accused the West of carrying out 鈥渄estructive鈥� policies in Ukraine, the Kremlin said, stressing that its political and financial aid meant Kyiv 鈥渃ompletely rejects the idea of any negotiations鈥�.
Ukrainian President Volodymyr Zelensky had ruled out any talks with Russia while Putin is in power shortly after the Kremlin claimed to have annexed several Ukrainian regions.
Talks off the table
The Kremlin also indicated Moscow was in no mood for talks over Ukraine, after US President Joe Biden said he would be willing to sit down with Putin if the Russian leader truly wanted to end the fighting.
鈥淲hat did President Biden say in fact? He said that negotiations are possible only after Putin leaves Ukraine,鈥� Putin鈥檚 spokesman Dmitry Peskov told reporters, adding Moscow was 鈥渃ertainly鈥� not ready to accept those conditions.
The White House, meanwhile, sought to pour water on the idea of talks as well on Friday, saying Biden currently has 鈥渘o intention鈥� of sitting down with Putin.
But Washington did say it was ready to meet on a different issue, expressing disappointment that Russia had postponed talks on nuclear arms control.
Russia鈥檚 strikes have destroyed close to half of the Ukrainian energy system and left millions in the cold and dark at the onset of winter.
In the latest estimates from Kyiv, Mykhaylo Podolyak, an adviser to Zelensky, said as many as 13,000 Ukrainian troops have died in the fighting.
Both Moscow and Kyiv are suspected of minimising their losses to avoid damaging morale.
Top US general Mark Milley last month said more than 100,000 Russian military personnel have been killed or wounded in Ukraine, with Kyiv鈥檚 forces likely suffering similar casualties.
The fighting in Ukraine has also claimed the lives of thousands of Ukrainian civilians and forced millions to flee their homes.
Those who remain in the country have had to cope with emergency blackouts as authorities sought to relieve the pressure on the energy infrastructure.