BRUSSELS - Russia's European Union Ambassador Vladimir Chizhov is skeptical over an oil embargo adopted against Iran by EU foreign ministers on Monday.
Countries that import Iranian oil will make up for oil supply shortages by purchasing oil from third countries, possibly including Russia, he told Interfax in Brussels on Monday.
"There is no doubt that oil prices will soar," he added.
"If, let’s say, someone in our country expects that such a surge in prices for Iranian oil will benefit Russia greatly, firstly, it will be a short-term trend, and it will only serve to destabilize the oil market, in which, I am deeply confident, Russia cannot be interested," the Russian diplomat said.
Secondly, a sharp hike in oil prices could prompt a drop in oil consumption, as well as a review of some existing and future contracts, he said.
"I see nothing positive in it," Chizhov said.
"The European Union itself has mixed feelings about all of these measures. Some EU countries depend on Iranian oil to a larger extent. Some of them imported it until recently. Other countries did not import it at all. Some of them imported quite large volumes, quite a big percentage of their consumption. And a country that is already extremely vulnerable, but will be affected even more is Greece," the Russian diplomat said.
Asked to assess the consequences of restrictive measures in the banking sector, Chizhov said that it was difficult to analyze them because "the situation is not very simple there."
"I am not familiar with relations of Russian commercial banks, but I do not think that they are facing any serious problems," he said.
"Some European banks possibly had relations with the Iranian Central Bank," he added.
