US sanctions targeting Russian oil and gas production will fail, said Russia’s deputy foreign minister, Sergey Ryabkov, in an interview with RTVI.
On 2 November, the US imposed new sanctions on hundreds of persons and businesses, targeting Russia’s future energy capabilities, sanctions evasion, and a suicide drone that was considered a threat to Ukrainian troops and equipment.
Russian MFA Condemns US Sanctions
Ryabkov said, “I am sure that just as in the past, the current attempts through sanctions to suppress the opportunities for our development and movement forward, in particular in the oil and gas sector, including in the liquefied natural gas (LNG) sector - a very promising segment, the demand for these products is high - these attempts will fail.
US attempts to suppress the development of the Russian oil and gas sector through sanctions will fail, Deputy Foreign Minister Sergey Ryabkov said in an interview with RTVI:https://t.co/ufOyJ2UmVf pic.twitter.com/pyjaA5xmnH
— TASS (@tassagency_en) November 9, 2023
Earlier this month, the US government announced new sanctions on Moscow in response to the Ukraine conflict, the most recent of which targeted a key company, the Arctic LNG 2 project in Siberia. The project is expected to supply chilled natural gas, also referred to as liquefied natural gas, to global markets.
“The Department of State is designating a major entity involved in the development, operation, and ownership of Russia’s key Arctic LNG 2. The Department is designating the following entity pursuant to Section 1(a)(i) for operating or having operated in the metals and mining sector of the Russian Federation economy,” the State Department declared.
US Targeting Russian Oil, Gas
The US-sanctioned Arctic LNG 2 operator, a Novatek subsidiary, intends to ramp up to design capacity in early 2024 after achieving initial production from the 19.8 million mt/year capacity project by the end of 2023.
In September, the US government had announced economic sanctions against Russian and international firms involved in Novatek’s Arctic plans for LNG production.
Reports suggest that US sanctions on Arctic LNG 2, as well as previous measures imposed on the project in September, might be targeting Russia’s upcoming energy production, similar to how the Western superpower targeted Russia’s future deep-sea, shale, and Arctic oil production following Moscow’s invasion of Crimea in 2014.
The US identified 37 businesses striving to boost Russia’s energy production and export capacities as blocked property. The sanctions block any property of these entities in the US and restrict US citizens from transacting with, or contributing to, the blocked entities.
US Imposes Fresh Sanctions
The US Treasury Department announced the sanctions as part of a package aimed at entities in multiple countries, as well as nearly 100 sanctions issued by the US State Department targeting “Russia’s future energy production and revenue, metals and mining sector, defence procurement, and those involved in supporting the Russian government’s war effort and other malign activities.”
According to a US Treasury Department statement, sanctions are directed at individuals and businesses that aid “Russia’s unconscionable war against Ukraine by providing Russia with much-needed technology and equipment from third countries.”
Today, the United States issued sanctions to disrupt the networks and channels Russia uses to sustain its military by focusing on entities in third countries that provide Russia with high-priority technology and equipment for its war machine. https://t.co/zVLIQhbknA
— Treasury Department (@USTreasury) November 2, 2023
The American sanctions target Russia’s domestic industrial base, which aims to “reinvent itself as the maintainer of Russia’s war machine.” “With these designations, the Treasury is disrupting producers, exporters, and importers of nearly all of the high-priority items identified by the international coalition imposing sanctions and export controls on Russia,” it said.
The US government also issued a crackdown on sanctions evasions in the UAE, Turkey, and China, as the Treasury Department claimed companies located in these nations continue to export high-priority dual-use commodities to Russia, including components for Moscow’s military systems.
Treasury Secretary Janet Yellen said, “Russia is dependent on willing third-country individuals and entities to resupply its military and perpetuate its heinous war against Ukraine and we will not hesitate in holding them accountable.”