Biden admin imposes harsh sanctions on Russian oil industry to cut off funding for Ukraine war effort

The Biden administration on Friday targeted Russia’s energy sector, including its oil industry, with some of its harshest sanctions to date meant to cut off funding for Moscow’s war against Ukraine.

The Biden administration on Friday targeted Russia’s energy sector, including its oil industry, with some of its harshest sanctions to date meant to cut off funding for Moscow’s war against Ukraine. The sweeping moves, taken just over a week before President Joe Biden leaves office, come as President-elect Donald Trump says he is readying to meet Russian President Vladimir Putin. They also have the potential to unnerve investors in energy markets. US senior administration officials said they want to leave Kyiv – and the incoming Trump administration – with the strongest possible hand for potential negotiations. Those officials expressed hope that the next administration would maintain and enforce the sanctions, despite previous skepticism from some Trump officials about the effectiveness of such measures. The new sanctions against “the Kremlin’s largest and most important source of revenue” hit hundreds of targets, including two of Russia’s largest oil companies: Public Joint Stock Company Gazprom Neft and Surgutneftegas. The sanctions also target nearly 200 oil-carrying vessels, many of which are accused of being part of the so-called “shadow fleet” that works to evade sanctions, as well as oil traders and energy officials. They also go after Russia’s liquified natural gas (LNG) production and export. “We expect our actions to cost Russia upwards of billions of dollars per month,” a senior administration official said.