Despite the increase, crude oil remains below USD 70 per barrel, the benchmark price set by the Angolan government in its 2025 State Budget (OGE). With lower prices and declining production, Angola’s oil tax revenues remain under pressure.
Oil prices rose on Thursday, extending gains from the previous session after the United States (U.S.) announced new sanctions against two of Russia’s main crude suppliers, Rosneft and Lukoil, in an effort to pressure Vladimir Putin to engage in negotiations to end the war in Ukraine.
Around 9:00 a.m. (Luanda time), Brent crude — the benchmark for Angolan exports — was up 3.2% to USD 64.6 per barrel. Meanwhile, West Texas Intermediate (WTI) — the U.S. benchmark — rose 3.3% to USD 60.4 per barrel, though slightly below earlier highs.
Still, the “black gold” continues to trade below USD 70 per barrel, the reference price established by the Angolan government in the 2025 budget. The combination of weaker prices and declining oil output is putting further strain on Angola’s fiscal revenues.
According to international media reports, the U.S. Administration’s decision follows similar action taken last week by the United Kingdom, which imposed sanctions on the same Russian oil giants. Separately, European Union countries have approved a 19th package of sanctions against Russia, including a ban on imports of Russian liquefied natural gas (LNG).
“The new sanctions from President Trump targeting Russia’s largest oil companies are designed to choke off the Kremlin’s war revenues — a move that could restrict physical flows of Russian barrels and force buyers to redirect volumes into the open market,” Priyanka Sachdeva of Phillip Nova told Reuters.
Source: Expansão
