President Joe Biden said on 10 January that Russian President Vladimir Putin is “in tough shape” following new energy sector sanctions imposed by the US and UK against Moscow, AFP reports.
The sanctions target major Russian oil companies Gazprom Neft and Surgutneftegas, which together produce over 1 million barrels of oil daily, worth approximately $23 billion annually at current prices, according to UK officials. The two companies’ revenues directly contribute to Russia’s war effort in Ukraine, London officials report.
“Putin is in tough shape right now, and I think it’s really important that he not have any breathing room to continue to do the god-awful things he continues to do,” Biden said.
Speaking about Ukraine’s prospects, Biden expressed confidence, saying there was “a real chance Ukraine can prevail” with continued Western support.
The US Department of the Treasury announced on 10 January new sanctions targeting the Russian oil refining industry. The restrictions specifically affect Russian oil giants Gazprom Neft and Surgutneftegas.
This action is part of a broader strategy to reduce Russian revenues that fund its military operations in Ukraine.
The sanctions include freezing the assets of these two oil giants and extending restrictions to over 180 vessels associated with the Russian oil trade, many of which are part of a so-called “shadow fleet” that operates outside conventional shipping regulations.
In addition to Gazprom Neft and Surgutneftegas, the sanctions also target more than 30 other Russian oil service companies.
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