A senior official from President Joe Biden's administration said that, if properly enforced, these sanctions could cost Russia billions monthly.
“These are the most significant sanctions yet on Russia’s energy sector, by far the largest source of revenue for [Russian dictator Vladimir] Putin’s war,” the official stated.
The source added that the sanctions were implemented to "strike at every stage of the Russian oil extraction and distribution chain."
“There is not a step in the production and distribution chain that's untouched and that gives us greater confidence that evasion is going to be even more costly for Russia,” emphasized the unnamed official.
On Jan. 10, the United States imposed sanctions on Russia's largest oil companies. The sanctions list includes more than 30 Russian oil service companies, as well as 184 “shadow fleet” tankers, logistics facilities, and third-party companies.
Ukrainian President Volodymyr Zelenskyy welcomed the new restrictions on Russian oil.
“These measures deliver a substantial blow to the financial foundation of Russia’s war machine, disrupting its supply chain: key Russian [oil] producers, insurers, oil and gas industrial services, 184 ‘shadow fleet’ tankers, and logistical facilities in third countries,” Zelenskyy said in a statement.
The president singled out U.S. sanctions against Surgutneftegas, which he described as a “key financial wallet” for Russian dictator Vladimir Putin.