UK unveils latest sanctions aimed at Russia’s shadow fleet
UK Enacts New Sanctions Against Russia's Oil Fleet
The UK government has announced a significant new round of sanctions targeting Russia’s shadow fleet, introducing 137 measures designed to impede the country’s oil export operations. Foreign Secretary David Lammy revealed that the sanctions focus on 135 oil tankers and several companies facilitating their operations, including UAE-based Intershipping Services and Litasco Middle East, an affiliate of the Russian oil giant Lukoil. This move aligns with the UK’s adoption of the European Union’s newly lowered crude oil price cap, reinforcing efforts to pressure Russia’s oil industry amid ongoing conflicts.
Targeting Key Entities in Russia’s Oil Trade
The latest sanctions specifically target entities that play a crucial role in enabling Russia’s oil exports. Among those affected are 135 oil tankers, which are pivotal in circumventing international sanctions. The sanctions also extend to companies like Intershipping Services, which is responsible for facilitating flag registrations for these vessels in Gabon and Comoros, as well as Litasco Middle East, based in Dubai. Lammy emphasized that these actions are part of a broader strategy to weaken Russia’s vital oil sector, stating, “Every attack we launch against Russia’s critical oil industry is another step towards securing a lasting peace in Ukraine.”
This initiative coincides with the EU’s recent adjustment of its crude oil price cap, which has been lowered from $60 to $47.60 per barrel. This reduction is aimed at increasing the financial strain on Russian exporters and middlemen who are reportedly trying to evade sanctions by offering discounted prices to buyers in Asia and the Middle East. The EU’s new measures, included in its 18th sanctions package, reflect a commitment to enhance enforcement through updated blacklisting powers and improved port monitoring. However, experts caution that the effectiveness of these sanctions may be compromised without full cooperation from the United States, given the dollar’s critical role in oil trade transactions.
According to estimates from the UK government, Russia’s revenues from oil and gas have plummeted by over a third since 2022, underscoring the impact of international sanctions on the nation’s economy. The latest sanctions signal a concerted effort by the UK and its allies to further isolate Russia economically and diplomatically in response to its actions in Ukraine.
