Dec 4, 2022Liked by Peter Nayland Kust

"Russia is not saving any money by using its own tanker fleet. "

I wouldn't be so sure. I own a business. There are functions I outsource that I could do myself for less, but I don't, because I'd rather not be bothered handling all those details. Now if I were cut off from the vendors who are capable of doing those things for me, I'd find a way to do them myself, and it would probably cost me less.

But let's assume you're correct and that it costs more. How much more? $10/barrel? $20? If it's less than the spread between the $60 "cap" and the whatever Russia can sell the for in markets that aren't abiding by the cap, then using her own fleet of ships would still be net win for Russia, no?

Expand full comment