US hits Russia's oil revenue with sweeping sanctions

US Treasury Secretary Yellen calls sanctions a major blow to Russia's "brutal and illegal war against Ukraine."

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The United States has announced comprehensive sanctions targeting Russia's oil and gas industry in a move aimed at curbing Moscow’s ability to finance its war in Ukraine.

The measures, introduced on Friday, include penalties on two of Russia’s largest oil producers, Gazprom Neft and Surgutneftegas, along with sanctions on 183 vessels involved in petroleum transport and 80 entities linked to liquefied natural gas (LNG) exports. The sanctions freeze assets within the US and restrict American citizens from engaging in financial dealings with the listed companies and individuals.

US Treasury Secretary Janet Yellen described the sanctions as a significant blow to Russia's “brutal and illegal war against Ukraine.” A senior US official indicated that the sanctions aim to disrupt every phase of Russia's oil production and distribution, potentially costing Moscow billions of dollars monthly.

The UK has introduced parallel measures, emphasizing the need to cut Russia's oil revenues. In a statement, the UK government said the sanctions represent progress toward a just and lasting peace in Ukraine.

Ukrainian President Volodymyr Zelenskyy welcomed the actions, expressing gratitude for the United States’ leadership in holding Russia accountable. “These steps will significantly reduce Russia’s petrodollar income and its ability to continue its aggression,” Zelenskyy wrote on social media.

The latest sanctions arrive amidst a prolonged and bloody conflict, with Ukraine’s counteroffensive struggling to reclaim eastern territories occupied by Russia.