Russia sanctions Russia’s energy and petrochemical sectors over Sochi Olympics
The United States has slapped sanctions on Russia’s powerful energy and industrial sectors following the Sochi Winter Olympics, including a ban on Russian oil companies and Rosneft, Russia’s state oil company.
The U.S. sanctions came after a Russian court blocked Rosneftegaz, Russia ‘s state-owned oil company, from entering the U.K. for violating the sanctions.
The Russian oil company has denied any wrongdoing.
“Rosneft is prohibited from entering any of the United Kingdom or any of its territories,” the Treasury Department said in a statement.
“In response to the Russian court decision, the U,S.
Treasury Department has imposed sanctions on Rosnefin on three counts: 1) violation of the U!
embargo; 2) failure to maintain a responsible and transparent corporate structure; and 3) failure in the management of the company’s business operations.”
It was not immediately clear if the U.,S.
or Russian governments would lift the sanctions or whether the measures would be extended by other sanctions, a Treasury Department official said.
The sanctions on oil companies could impact Russian energy exports.
It is unclear if Rosnefts oil exports would be affected, as some of its contracts have already been suspended, according to a Reuters report.
“We don’t expect the sanctions to have a major impact on the company,” said Michael Orenstein, a professor at the University of Pennsylvania and an expert on Russia sanctions.
The Treasury Department statement was first reported by Bloomberg News.
Rosnefts has said it plans to expand its business in the U .
K., where it operates a pipeline to ship Russian crude to Europe.
The pipeline is not subject to the sanctions imposed on Rosenefteggaz.
Rosenefskys oil and gas assets are estimated to be worth $15 billion.
Rosenskaya Gazeta newspaper, which published a front-page article on Tuesday quoting an unnamed senior Russian official saying the U in fact was behind the sanctions, said the sanctions were aimed at hurting Rosneifs oil company and that the Treasury is planning to take further action against Rosneffys oil company later.
The United States Treasury Department did not immediately respond to a request for comment on the Treasury statement.