TOP HEADLINES

· Western allies pledged precision rockets and missile systems to Ukraine, after President Volodymyr Zelenskyy called for sophisticated weapons to help retain control of the embattled eastern city of Bakhmut. 

· France and Italy have agreed to deliver mobile surface-to-air missile systems to Ukraine, the French defense ministry said. The missile systems, jointly developed by NATO members France and Italy, will help Ukraine "defend itself against Russian drones, missiles and aircraft", the ministry said.

· European Union member states, the Group of Seven industrialized countries and Australia said they have reached an agreement on price caps for Russian petroleum products. The move is the latest part of an international push to limit Russian President Vladimir Putin's war chest for his assault on Ukraine by targeting his key exports. READ MORE BELOW

· The announcements came shortly after Zelenskyy told a summit with EU leaders in Kyiv: "No one will surrender Bakhmut. We will fight as long as we can. If weapon (deliveries) are accelerated, namely long-range weapons, we will not only not withdraw from Bakhmut, we will begin to de-occupy Donbas," he said of the eastern region of Ukraine.

· The U.S. announced a new $2.2-billion package of arms and munitions, which the Pentagon said included a new rocket-propelled precision bomb that could nearly double Kyiv's strike range against Russian forces. The ground-launched small-diameter bombs (GLSDB), which can fly up to 150 kilometers, could threaten key Russian supply lines, arms depots and air bases far behind the front lines.

· Former Russian President Dmitry Medvedev has said the supply of more advanced U.S. weapons to Ukraine will only trigger more retaliatory strikes from Russia, up to the extent of Russia's nuclear doctrine. "All of Ukraine that remains under Kyiv's rule will burn," journalist Nadana Fridrikhson quoted him as saying in a written interview with her.

· Zelenskyy said it was "possible" to start official EU accession talks already this year. "There is an understanding that it is possible to start negotiations on Ukraine's membership in the European Union this year," Zelenskyy said in his traditional evening address to the nation.

· European Union chief Charles Michel reiterated support for Ukraine's closer integration with the bloc during a summit in the capital. "Ukraine is the EU, the EU is Ukraine," Michel said at a news conference, adding: "The EU is with you today, the EU will be with you and your people tomorrow."

· The EU plans to ramp up efforts to use Russian frozen assets to compensate for Ukraine war damage, Brussels said in a joint statement with Kyiv. "The EU will also step up its work towards the use of Russia's frozen assets to support Ukraine's reconstruction and for the purposes of reparation, in accordance with EU and international law," the statement said, although the legal framework for the process remains unclear.

· Russia said it will nationalize "foreign" assets in Crimea, including those with Ukraine-linked ownership, and funnel some of the funds to support people fighting in Ukraine. "Deputies of the State Council of the Republic of Crimea adopted a resolution on the nationalization of property of foreign citizens and states that commit hostile actions against Russia," their chairman Vladimir Konstantinov said on social media. 

· Ukraine said it had started replacing millions of regular light bulbs with energy-saving LED lamps as part of an EU-funded project to help with energy shortages caused by Russian strikes. The EU said in December it would fund the purchase of 30 million LED light bulbs for Ukraine worth $33 million to help deal with the large-scale blackouts. 

IN DETAIL

EU and G7 agree price caps for Russian petroleum products

European Union member states, the Group of Seven industrialized countries and Australia said they have reached an agreement on price caps for Russian petroleum products. The move is the latest part of an international push to limit Russian President Vladimir Putin's war chest for his assault on Ukraine by targeting his key exports.

The caps involve two price levels, $100 per barrel for more expensive fuel like diesel and $45 on lower-quality products such as fuel oil, according to officials.

Sweden, which holds the rotating EU presidency, called it an "important agreement as part of the continued response by EU and partners to the Russian war of aggression against Ukraine."

The EU in December imposed an embargo on Russian crude oil coming in by sea and - together with its G7 partners - set a $60-dollar-per-barrel cap for exports around the world. The second embargo, on Russian fuel, is set to come into force on February 5 or soon after. It targets Russian refined oil products such as petrol, diesel and heating fuel, arriving on ships.

At the same time, the EU and the G7 group of wealthy democracies have also agreed to impose a price cap on Russian shipments of those products to global markets.