Pressure on Putin mounts as US imposes sanctions on Russian oil giants
Photo: Donald Trump, President of the United States (Getty Images)
The United States has imposed tough sanctions on Russian oil companies Rosneft and Lukoil, increasing pressure on the Kremlin over its war in Ukraine, according to the US Department of the Treasury website.
The US Department of the Treasury, through its Office of Foreign Assets Control (OFAC), has introduced new sanctions against Russia to push Vladimir Putin toward serious negotiations on ending the war in Ukraine.
The measures are aimed at pressuring Russia’s energy sector and cutting off revenues the Kremlin uses to finance the war and sustain its economy.
The new sanctions target two of Russia’s largest oil companies, Rosneft and Lukoil, along with dozens of their subsidiaries involved in oil and gas extraction, refining, and distribution across the country.
More than 30 units of both companies were added to the sanctions list, including oil fields, gas facilities, and refineries throughout Russia.
All assets and property interests of these companies located in the United States or controlled by US persons are now frozen and must be reported to OFAC. Violations may result in civil or criminal penalties, and foreign financial institutions that conduct significant transactions with the sanctioned entities risk facing secondary sanctions.
OFAC emphasized that the sanctions are not intended as punishment, but rather as a tool to change Russia’s behavior and encourage it to engage in peace talks. The restrictions may be reviewed or lifted if Russia complies with US law and meets the stated conditions.
"Now is the time to stop the killing and for an immediate ceasefire," said Secretary of the Treasury Scott Bessent. "Given President Putin’s refusal to end this senseless war, Treasury is sanctioning Russia’s two largest oil companies that fund the Kremlin’s war machine. Treasury is prepared to take further action if necessary to support President Trump’s effort to end yet another war. We encourage our allies to join us in and adhere to these sanctions."
The European Union is also stepping up its economic pressure on Russia
According to reports, the new 19th package of sanctions focuses on restricting Russia’s energy revenues and targeting the shadow fleet used to evade oil export restrictions.
Both the United States and the European Union continue to tighten sanctions on Russia, leading to a decline in industrial production, rising borrowing costs, and further weakening of the Russian economy.
