A high-ranking Russian energy official has accused oil-rich Saudi Arabia of manipulating oil prices in the global markets for political reasons.
"The current price dynamic, which has been developing for the last few months, may not reflect the objective trend," Mikhail Leontyev, vice president of Russia's state-owned oil giant, Rosneft, told the Russkaya Sluzhba Novostei radio station on Sunday.
"Prices can be manipulative. First of all, Saudi Arabia has begun making big discounts on oil. This is political manipulation," said Leontyev, adding, “The second factor is the stolen ISIL oil, which reaches the market through Turkey and Israel with a triple discount. It is not much, but it is stolen, so it is cheap."
Moscow needs high oil prices to prop up its economy, which has been hit by sanctions over Ukraine as well as a drop in domestic demand.
Russia favors an oil price of around one hundred dollars a barrel to cover Moscow’s future spending.
The Rosneft vice president’s remarks come amid reports that Saudi officials have given the green light for lowering oil prices.
The Organization of the Petroleum Exporting Countries (OPEC) is reportedly comfortable with prices as low as USD 80 per barrel for the next two years.
MP/AB/SS