EU sanctions Iranian oil trader over Russian crude exports
Photo: EU sanctions imposed against Russian oil trader (Getty Images)
The European Union has imposed sanctions on a major Iranian oil trader and several of his companies as part of its latest round of measures aimed at curbing Russia's war efforts against Ukraine, Bloomberg reports.
The EU sanctioned Hossein Shamkhani, whose father is a senior adviser to Iran's Supreme Leader Ayatollah Ali Khamenei, for his role in trading Russian oil and acting as a "central player" in the so-called shadow fleet.
Two of his Dubai-based firms, Admiral Group and Milavous Group Ltd, were also blacklisted.
"Hossein Shamkhani is involved in an economic sector providing a substantial source of revenue to the Russian Government," the EU's official statement says.
A Bloomberg News investigation last year revealed that Shamkhani's network had become a major player in exporting both Russian and Iranian oil, and had even set up a hedge fund with offices in London, Dubai, and Geneva to manage the revenues. Shamkhani has consistently denied the claims made in Bloomberg's reporting.
This latest move is part of the EU's broader strategy to further restrict the Kremlin's energy revenues, much of which comes from crude oil exports to India and China.
EU's 18th sanctions package
As previously reported, EU member states agreed on July 18 to adopt the 18th sanctions package against Russia.
A key element of the package approved by EU ambassadors is a new dynamic mechanism to cap oil prices, which will set a ceiling of 15% below the average market price of Russian oil. This means that the price will now be reduced from $60 to around $47.60 per barrel.
The new package adds 105 new entries to the list of vessels in Russia's so-called "shadow fleet" that Moscow has been using to circumvent the price cap. The number of banned vessels now exceeds 400.
