In a significant move to cripple Russia’s war-funding capabilities, the United Kingdom has rolled out a comprehensive new set of sanctions targeting companies involved in the global oil trade. Among those designated are entities in China, Thailand, Singapore, and Turkey, as well as India’s prominent private refiner, Nayara Energy Limited.
The British government has explicitly stated that these sanctions are designed to choke off President Vladimir Putin’s financial lifelines amidst the continued conflict in Ukraine. The FCDO outlined that the measures are aimed at the “core” of Russia’s war economy. “Today’s step shows the government’s full commitment to cutting off Putin’s revenue streams, including Russian companies and their global enablers,” a spokesperson for the FCDO confirmed.
Nayara Energy, a major player in the Indian fuel market boasting over 6,500 outlets and holding a substantial 7-8% market share, is now under scrutiny. According to the UK, the Indian refiner allegedly imported a staggering 100 million barrels of Russian oil in 2024, with a value exceeding $5 billion. The sanctions also encompass 44 Russian crude carriers and four oil terminals located in China.
Furthermore, companies from Thailand, Singapore, and Turkey are being penalized for allegedly supplying critical electronic components vital for Russia’s military hardware, including drones and missiles used in Ukraine. This broadens the scope of the UK’s offensive against Russia’s war machine.
The sanctions are expected to have a direct impact on Russian energy giants like Rosneft and Lukoil. The UK government estimates that Rosneft is responsible for approximately half of Russia’s oil production and holds a 6% share of the global market.
Yvette Cooper, UK Secretary of State for Foreign and Commonwealth Affairs, addressed Parliament, declaring, “Europe is increasing pressure at this crucial time. The United Kingdom and our allies are acting on Putin’s oil, gas and shadow fleet. We will not relent until he abandons his war efforts.” This demonstrates a united front among allies against Russian aggression.
Coinciding with Russia’s Energy Week, an event aimed at expanding energy exports to non-Western countries, these sanctions serve to counter Moscow’s attempts to find new markets. The UK’s move also restricts the import of refined oil products derived from Russian crude that have been processed in third-party nations.
Nayara Energy, which operates India’s second-largest private refinery, has responded by stating its adherence to all Indian legal frameworks. The company has previously voiced strong opposition to EU sanctions, deeming them “unjust” and an encroachment on India’s national sovereignty.