UK joins US in sanctioning Russia's largest oil companies
The United Kingdom has announced new sanctions targeting major Russian oil companies, following similar measures by the United States, according to the British government's website.
"For the first time, the UK and the US are directly sanctioning Gazprom Neft and PJSC Surgutneftegas, two Russian oil giants. [...] The profits from these two companies are lining Putin's war chest and facilitating the war," the statement reads.
These energy companies produce over 1 million barrels of oil per day, valued at approximately $23 billion annually at current prices—exceeding Jamaica's GDP.
The sanctions on Gazprom Neft and Surgutneftegaz are expected to significantly reduce Russia's ability to generate revenue from energy exports.
"Oil revenues are the lifeblood of Putin's war economy. We will not stand by and let oil profits endanger the lives of Ukrainians – nor will we let Russia keep filling its coffers as it continues to threaten our collective security," said UK Foreign Secretary David Lammy.
In December 2024, the United Kingdom sanctioned 20 additional vessels responsible for transporting over 4 million barrels of Russian oil in 2024. This brought the total number of shadow fleet vessels under British sanctions to 93.
- On January 10, 2025, the United States imposed new sanctions on Russia, targeting key companies like Surgutneftegaz, Gazprom Neft, Ingosstrakh, AlfaStrakhovanie, and others.
- Following the sanctions news, Brent crude prices jumped 4.6% to $80.42 per barrel, the highest since October 2024.
