Three traders reported that the prices of Russian Urals oil for cargoes loaded in Indian ports in July were stable, thanks to a healthy demand for this grade, and a decline expected in exports in August, despite increasing sanctions risks.

Recent EU sanctions against the Russian shipping company Sovcomflot, and several tankers that ship oil from Russia have complicated Moscow's trade in energy. It has left it with little room to increase prices.

A trader stated that Urals prices have no reason to decrease as the demand is strong. However, he also said there was no room for an increase, as this could prompt buyers to choose other options at these prices.

According to the sources, urals oil cargoes loaded in July were sold in Indian ports at a discount equivalent to $3.50 per barron against Brent dated on a basis of delivered ex-ship.

One of the traders reported that the loading of Urals oil in July went smoothly. Only a few cargoes were unloaded at the end.

After maintenance, Russia's refineries will be able to process more oil and reduce its oil exports from 2 million barrels a day to 1.5 million in July.

The impact of Western sanctions against Moscow is being weakened as more shippers and middlemen are involved in the oil trade. (Reporting from reporters in MOSCOW, and Nidhi in NEW DELHI. Editing by Anil D’Silva.)