US Imposes Sweeping Sanctions on Russia's Energy Sector, Two Indian Companies Listed

The outgoing Biden administration Friday sanctioned two Indian companies for allegedly violating the American sanctions on Russia by getting involved 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 simultaneously 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 constrains further Putin's ability to raise revenue and finance Russia's malign activities. Treasury also issued a new determination barring 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 UK is today joining the US in its campaign to target Russia's energy sector as we continue using 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.

The State Department said that 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."
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 have been 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, according to the State Department.

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

"The Department is also sanctioning eight subsidiaries of US-designated NOVATEK CHINA HOLDINGS CO LTD, a PRC-based company formed in August 2023 related to the facilitation of a marketing campaign for LNG from the Arctic LNG 2 project," it said.

According to the officials, sanctions targeting entities engaged in business activities with the Russians will cost Russia more than billions of dollars per month.

According to AP, it will be up to Trump's administration to decide whether to retain or abandon the new sanctions. The transition team of Trump did not respond immediately to a request for comment about the sanctions. However, on Thursday, Trump told reporters that Russian President Vladimir Putin "wants to meet, and we are setting it up.".

Trump's amiable relationship with Putin over the years has drawn intense criticism. Trump added another layer of skepticism about future American support earlier this week when he seemed to echo Putin's assertion that Ukraine shouldn't be included in NATO. The president-elect has attacked the Biden administration for pledging its support for Kyiv's entry into the transatlantic military alliance.