Models of oil barrels and a pump jack. (REUTERS)

The European Union is attempting to negotiate a natural gas price cap of 200 euros ($212) per megawatt-hour (MWh), according to sources within the EU as cited by Italian news agency ANSA.

A definitive agreement on the subject may be reached at a meeting of EU energy ministers slated for December 19 if about 10 EU nations accept establishing the gas price cap at 200 euros, the news agency reported.

The European Commission put forth a price cap in November that would go into effect if the front-month price on the Dutch gas exchange TTF, Europe's primary natural gas futures market, exceeded 275 euros ($286) per MWh for two weeks and if TTF prices were also 58 euros higher than the liquefied natural gas global reference price for 10 consecutive trading days.

The combined gas procurement mechanism was approved by EU energy ministers on November 24, however, they were unable to agree on the Commission's proposed gas price ceiling.

Earlier in the week, energy ministers of the EU countries also failed to reach an agreement on the maximum price for gas.

Since the start of the war in Ukraine, Western nations have been seeking methods to reduce Russia's revenue from oil and gas exports. The G7 finance ministers asked all countries to endorse the idea in September by confirming their determination to set a price ceiling on Russian oil.

The European Union introduced the eighth package of sanctions against Moscow in October, which included a legislative basis for setting a price cap for maritime shipments of Russian refined oil products starting from February 5, 2023.

In response to the West's decision to enact the price ceiling, Russian Deputy Prime Minister Alexander Novak stated that Moscow would not accept it. Only consumers who follow the rules of the market will be accepted by Russia, he stressed.