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Russian Oil

Russian Oil No Longer Sells at a Discount as Nobody Complies With Western Sanctions

by Tyler Durden, Zero Hedge
March 4, 2024
Buy physical precious metals before the next gold and silver surge. Don’t buy numismatics! Buy pure bullion instead. Whether with cash or retirement funds, learn how we can help you prepare for financial turbulence ahead.

(Zero Hedge)—Remember when, in the immediate aftermath of the Ukraine war, Russian oil immediately traded down to a discount of as much as 30% below spot Brent as the entire western world suddenly found itself locked out of access to the most valuable Russian export (which also meant that China and India were the only natural buyers left) and the price of Russian oil had to reflect the explicit plunge in demand?

Well, that’s no longer the case because in the two years since the start of the Ukraine conflict, it became apparent that Western sanctions were merely a theatrical publicity stunt as the alternative – strict enforcement – would have sent oil prices soaring and that would be unacceptable to a Biden administration terrified of losing the November elections if and when oil and gasoline prices surges.

And as fear of enforcement became a non-issue over time, so did the discount of Russian oil to Brent, which brings us to today, and Goldman’s “chart of the week” which illustrates the collapse in the discount on Russian crude oil close to zero relative to Brent, according to the bank’s estimates using the most recent customs data for December.

According to Goldman, which estimates the effective price of Russian crude paid by its trade partners using detailed customs data on import volumes and import payments for Russia crude, this drop in the price discount was primarily driven by the countries outside of the G7 coalition.

However, the discount has also narrowed for most of the buyers as Russian fleets were becoming more capable of operating under the G7 price cap.

The US Treasury’s recent decision to target Sovcomflot, Russia’s state-owned shipping company and fleet operator, comes against the backdrop of the drop in the effective discount late last year and the twin goals of US policymakers to “limiting Kremlin profits while promoting stable energy markets.”

It is also an admission that western attempts to prevent Putin from generating oil export revenues – critical in keeping the Russian war machine going – were either a failure, or merely a theatrical, virtue signaling sleight-of-hand from the beginning. And while the former is bad, the latter is far more disturbing as it suggests that the west has been willingly enabling Putin to sell oil and fund the war in Ukraine, the same war with Western nations are so vocally against.

Almost as if both Russia and the West are aligned in their (shared) goal of keeping the war in Ukraine going to its inevitable and dire, for Zelenskyy, conclusion; it also almost makes one wonder if the destruction of Ukraine – at the hands of Russia with the implicit enabling by the West – was a pre-planned exercise all along.

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How to Prepare for Food Emergencies if You Don’t Have a Homestead or Bunker

In an unpredictable world, where supply chain disruptions, natural disasters, or economic instability can strike without warning, having a reliable food supply is more than just smart—it’s essential for survival. Whether you’re a “prepper” or not, we all know the golden rule: self-sufficiency is key. But what if you’re living in an apartment, working long hours, or simply don’t have the land to turn into a thriving homestead? Don’t worry; there’s a practical, effective way to build your food security without needing acres of soil or a fortified bunker.

The Ideal Prep: Building Your Own Food Empire

The ultimate dream for any serious prepper is controlling your own food production. Imagine waking up to a sprawling garden bursting with fresh vegetables, fruits, and herbs—tomatoes ripening on the vine, potatoes ready to harvest, and greens that provide nutrition year-round. Add in livestock like chickens for eggs and meat, and you’ve got a self-sustaining system that keeps your family fed no matter what chaos unfolds outside.

This approach isn’t just about calories; it’s about resilience. A well-maintained garden can yield hundreds of pounds of produce annually, while a small flock of chickens might produce dozens of eggs weekly. It’s empowering, cost-effective in the long run, and teaches invaluable skills like crop rotation, animal husbandry, and preservation techniques. If you have the space, time, and resources, starting small and scaling up is the best path to true independence.

The Reality Check: Not Everyone Can Homestead

But let’s face it—not all of us are in a position to go full homesteader. Urban dwellers might be limited to a balcony or community plot that’s far from sufficient for long-term needs. Busy professionals juggling jobs, families, and daily life often lack the hours required for daily tending. And for those in apartments, condos, or regions with harsh climates, raising livestock or maintaining a large garden simply isn’t feasible. Factors like zoning laws, soil quality, water access, or even physical limitations can make this ideal out of reach.

That’s where the frustration sets in. You want to be prepared, but without a homestead or bunker, how do you ensure your pantry doesn’t run dry during a prolonged crisis? The good news is, you don’t have to sacrifice your preparedness goals. There’s a smart, accessible alternative that bridges the gap: investing in high-quality, long-term storage food.

The Smart Alternative: Long-Term Storage Food from Heaven’s Harvest

Long-term storage food is designed for exactly these scenarios—providing nutrient-dense, shelf-stable meals that last for decades without refrigeration or special conditions. It’s the perfect solution for preppers who can’t rely on fresh production but still demand reliability and variety in their emergency stockpile.

At Heaven’s Harvest, they specialize in premium survival food kits that make preparedness effortless. Their products are crafted with the prepper mindset in mind: non-GMO, made in the USA, and packed with real ingredients that taste like home-cooked meals, not bland rations. Whether you’re stocking up for a short-term blackout or a long-haul SHTF event, our kits offer:

  • Extended Shelf Life: Up to 25 years of storage, so you can buy once and forget about rotation worries.
  • Nutritional Balance: High-protein entrees, fruits, vegetables, and dairy alternatives to keep your energy up and health intact.
  • Ease of Preparation: Just add water, and you’ve got hearty meals like beef stroganoff, chili mac, or cheesy lasagna ready in minutes—no garden weeding required.
  • Customizable Options: From individual buckets to family-sized kits, scale your supply to fit your needs and budget.
  • Peace of Mind: Sealed in durable, waterproof containers that protect against pests, moisture, and light.

Unlike generic store-bought cans that spoil quickly or lack variety, Heaven’s Harvest focuses on quality and sustainability. Our food is freeze-dried or dehydrated to lock in flavor and nutrients, ensuring you’re not just surviving but thriving. And for those concerned about allergens or dietary preferences, we offer gluten-free and vegetarian options to keep everyone covered.

Why Wait? Secure Your Food Supply Today

Preparing for food emergencies doesn’t require a homestead or bunker—it requires action. By choosing long-term storage food from Heaven’s Harvest, you’re taking control in a way that fits your lifestyle. Start small with a 72-hour kit to test the waters, or go all-in with a year’s supply for ultimate security.

Visit Heaven’s Harvest today and use code “PATRIOT” for an exclusive discount on your order. Don’t let limitations hold you back; build your resilient future, one meal at a time. Your family will thank you when it matters most.

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