The UK government has announced sanctions against two major Russian oil companies, Gazprom Neft and Surgutneftgas, as part of its strategy to hinder Russian President Vladimir Putin’s ability to finance the ongoing war in Ukraine.
This marks the first instance of direct sanctions by both the UK and the US targeting these oil giants, which collectively produce over one million barrels of oil daily, valued at approximately $23 billion annually. According to the UK government, revenues from these companies significantly contribute to funding Russia’s military efforts.
A Step Toward Peace and Security
In its statement, the UK government emphasized that restricting Russia’s oil income is a crucial step toward achieving a just and sustainable peace in Ukraine.
“This action will limit Putin’s revenue stream. Oil income constitutes around a quarter of Russia’s entire budget. By sanctioning these companies, we expect a significant reduction in Russia’s ability to generate revenue from energy exports,” the statement read.
David Lammy: Cutting Putin’s Financial Lifeline
British Foreign Secretary David Lammy underscored the importance of targeting oil revenues, which he called the “lifeblood” of Putin’s war economy.
“We will not stand by and allow oil profits to endanger Ukrainian lives or undermine global security. Every ruble we take out of Putin’s hands saves Ukrainian lives and strengthens democracy,” Lammy said.
He further pledged continued collaboration with allies, including the United States, to pressure the Kremlin and its supporting entities.
Sanctions on Russia’s Shadow Fleet
The sanctions also extend to Russia’s shadow fleet, used to transport oil covertly. Last month, the UK imposed sanctions on 20 additional vessels responsible for transporting over four million barrels of Russian oil in 2024, bringing the total number of sanctioned ships to 93.
The UK’s latest move, in coordination with the US, signals a unified effort to weaken Russia’s economic and military capabilities, bolstering global security and support for Ukraine.
