Moscows Oil Interests Drive Iran War Effort, Experts Say

Russia’s Economy Sees Potential Boost Amid Tensions with Iran and Israel

Moscow has condemned the killing of Iranian Supreme Leader Ali Khamenei, but the incident may have a positive impact on Russia’s economy as it navigates diplomatic relations with Iran and Israel. For decades, Russia has been Iran’s main international backer, providing support to shield the country from United Nations resolutions and selling weaponry worth billions of dollars.

Russian President Vladimir Putin expressed his outrage over Khamenei’s killing, calling it a “cynical violation of all norms of human morals and the international law.” Other officials, including former Prime Minister Dmitry Medvedev and State Duma Chairman Vyacheslav Volodin, have also criticized the United States for its actions.

However, as US and Israeli air strikes on Iran continue, Russia appears to be poised to benefit from the situation. The price of Russian Urals crude has increased due to a surge in global demand, with Brent crude reaching $82 per barrel. This shift in market dynamics could lead to higher oil revenues for Russia.

The suspension of Iranian exports means that oil refineries will have to rely on Urals oil from Russia, which is expected to increase demand and drive up prices. Analysts predict that if oil prices rise further, the Kremlin may propose to increase supply in exchange for Washington’s decision to partially lift sanctions.

Russia’s involvement in peace talks between Iran and the United States could also provide a long-term benefit. The country has previously offered to mediate negotiations on Tehran’s nuclear program, but its efforts have been met with skepticism from Washington.

As tensions with Iran distract US President Donald Trump from reaching a settlement of the Russia-Ukraine war, Russia may be able to present itself as a mediator and gain an advantage in diplomatic relations. Meanwhile, Ukraine faces the risk of a shortage of US-supplied missiles for Patriot air defense systems, which could have implications for regional security.

The situation has created an opportunity for Russia to re-evaluate its agenda with Trump and potentially gain leverage in negotiations.

Source: Al Jazeera