US Slaps Sanctions on Russia’s Energy Sector, Two Indian Companies Named

Washington: The outgoing Biden administration on Friday slapped sanctions on two Indian companies for allegedly violating the American sanctions on Russia by involving in the transportation of LNG from the warring country.

The two Indian companies Skyhart Management Services and Avision Management Services have been slapped with sanctions, said the long list of individuals and companies that have been imposed with fresh sanctions for violating the Russian sanctions.

“The United States is imposing sanctions today on more than 200 entities and individuals involved in Russia’s energy sector and identifying more than 180 vessels as blocked property. This wide-ranging, robust action will further constrain revenues from Russia's energy resources and degrade Putin’s ability to fund his illegal war against Ukraine,” Secretary of State Tony Blinken said.

“Of these targets, the Department of State is sanctioning nearly 80 entities and individuals, including those engaged in the active production and export of liquefied natural gas (LNG) from Russia. Others include those attempting to expand Russia’s oil production capacity; those providing support to the US-sanctioned Arctic LNG 2 project; those involved in Russia’s metals and mining sector; and senior officials of State Atomic Energy Corporation Rosatom,” he said.

Blinken said the Department of the Treasury is concurrently sanctioning more than 150 entities and individuals, including major Russian oil producers Gazprom Neft and Surgutneftegas, Russian insurance companies, and shadow fleet vessels.

“Treasury is also identifying the energy sector of the Russian Federation, which restricts further Putin’s ability to generate revenue and fund Russia’s malign conduct. Treasury also issued a new determination prohibiting the provision of certain services to persons in the Russian Federation, thereby cutting off Russia’s access to US services related to the extraction and production of crude oil and other petroleum products,” he said.

The United Kingdom joins the US today in targeting the Russian energy sector as we continue to use all available tools together with G7 and other like-minded partners to curb Russia’s ability to fund its illegal war against Ukraine, Blinken said.

Skyhart "is an India-based entity that became the operator of US-designated LNG carrier MULAN (IMO 9864837) shortly before it loaded LNG from US-designated LLC ARCTIC LNG 2”, the State Department said.

Avision "is an India-based entity that became the operator of US-designated LNG carrier NEW ENERGY (IMO 9324277) shortly before it loaded LNG from US-designated LLC ARCTIC LNG 2,” it said.

Skyhart and Avision are being designated for having materially assisted, sponsored, or provided financial, material, or technological support for, or goods or services to or in support of LLC ARCTIC LNG 2, the State Department said.

The State Department said two vessels Pravasi and Ony are managed by AVISION and are being identified as property in which AVISION has an interest.

“The Department is also designating eight subsidiaries of US-designated NOVATEK CHINA HOLDINGS CO LTD, a PRC-based company established in August 2023 involved in the implementation of a marketing programme for LNG from the Arctic LNG 2 project,” it said.

Officials said the sanctions, which punish entities that do business with the Russians, have the potential to cost the Russian economy upward of billions of dollars per month.

AP adds that Biden administration officials said it will ultimately be up to Trump's administration whether to keep or scrap the new sanctions.

Trump's transition team did not immediately respond to a request for comment about the sanctions. But Trump told reporters on Thursday that Russian President Vladimir Putin "wants to meet, and we are setting it up”.

Trump's warm relationship with Putin over the years has come under heavy scrutiny. Trump added a new layer of doubt about future American support earlier this week when he appeared to sympathise with Putin's position that Ukraine should not be part of NATO. The president-elect has criticised the Biden administration for expressing support for Kyiv's eventual membership in the transatlantic military alliance.

Trump earlier this week expressed concern at the loss of life during the conflict while arguing that "this war would never have happened” if he were president. 

(Except for the headline, this story has not been edited by Republic and is published from a syndicated feed.)