WASHINGTON: The United States on Thursday temporarily relaxed certain sanctions on Russia, allowing Russian crude oil currently stranded at sea to be sold to India.
The Treasury Department’s Office of Foreign Assets Control (OFAC) issued a licence titled “Authorizing the Delivery and Sale of Crude Oil and Petroleum Products of Russian Federation Origin Loaded on Vessels as of March 5, 2026, to India,” the department confirmed in a statement.
The licence permits these transactions—including those involving vessels restricted by multiple sanctions regimes—until the end of April 3, 2026.
Treasury Secretary Scott Bessent explained that the short-term waiver is intended “to ensure oil continues to move in the global market.” In a post on X, he emphasized that the measure is limited in scope and “will not provide significant financial benefit to the Russian government, as it applies only to oil already stranded at sea.”
Bessent further noted that the sale to India would help “ease pressure stemming from Iran’s attempt to disrupt global energy supplies,” even though India has committed to halting Russian oil imports under a trade agreement with the US.
Last November, US President Donald Trump implemented sanctions targeting Russian oil giants Lukoil and Rosneft in response to Russia’s invasion of Ukraine. These measures forced many traditional buyers of Russian crude to seek alternative suppliers.
In response to international sanctions imposed by the US, EU, and G7, Russia is reportedly using a fleet of older oil tankers with unclear ownership to circumvent restrictions, allowing it to maintain exports despite the sanctions.
