Released January 22, 2025 | GALWAY, IRELAND
en
Written by Martin Lynch, European News Editor for Industrial Info (Galway, Ireland)--Ten European Union (EU) nations have called for sanctions on Russian pipeline gas and liquefied natural gas (LNG) in addition to the sanctions in place on Russian oil and other exports.
Countries including Czech Republic, Poland, Denmark, Ireland and Finland want the EU to ban all gas imports as an "end goal" but said an interim step would be to take action to close loopholes that would reduce Russia's lucrative natural gas sales. The document, seen by Politico and Reuters, said that Russia had earned 200 billion euro (US$205 billion) from the sale of fossil fuels to the EU since the invasion of Ukraine by Russian forces nearly three years ago. It highlighted that LNG imports from Russia had increased by 11% percent in the first half of 2024, as a number of EU countries still rely on Russian sources.
They want the EU to increase sanctions against Russia's LNG tanker fleet and ban the ships from docking in EU ports and receiving maritime services. "Russia's ability to sustain its war efforts is deeply intertwined with its energy revenues," the document stated. "We need to take a further leap and address the increasing Russian liquefied natural gas imports. As an end goal, it is necessary to ban the import of Russian gas and LNG at the earliest date possible." Citing data from intelligence firm Kpler, Politico said that the EU has imported 472,000 metric tons of LNG since the start of this year alone, significantly higher than the pre-war average. The calls for further sanctions come as the Union is readying its 16th package of sanctions targeting Russia's economy, ahead of the third anniversary of Moscow's invasion of Ukraine in February 2022.
The signatories claimed that more needs to be done to stop Russia's access to foreign finance and also proposed a number of other sanctions including importing metals such as aluminum, reducing reliance on Russian nuclear fuel, increasing border inspections and taking action against financial institutions that allow Moscow to circumvent EU banking rules. Hungary and Slovakia will likely oppose tougher sanctions.
The calls come as the U.K. and U.S. announced their toughest sanctions yet against Russia by targeting more than 200 companies and individuals, including traders, officials and insurance companies, as well as hundreds of oil tankers. They have jointly agreed to directly sanction energy companies Gazprom Neft and PJSC Surgutneftegas. The U.K. government said that combined, these companies produce more than 1 million barrels of oil per day between them, "worth roughly US$23 billion a year at current prices. The profits from these two companies are lining Putin's war chest and facilitating the war."
U.K. Foreign Secretary David Lammy said: "Oil revenues are the lifeblood of Putin's war economy. Taking on Russian oil companies will drain Russia's war chest -- and every ruble we take from Putin's hands helps save Ukrainian lives. With the Russian economy on the back foot, facing high and accelerating interest rates and haemorrhaging billions into an unsustainable and illegal invasion, we will continue to work with our allies in the United States to turn the screw on Putin and his barbaric war."
Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, IIR is tracking over 200,000 current and future projects worth $17.8 Trillion (USD).
Countries including Czech Republic, Poland, Denmark, Ireland and Finland want the EU to ban all gas imports as an "end goal" but said an interim step would be to take action to close loopholes that would reduce Russia's lucrative natural gas sales. The document, seen by Politico and Reuters, said that Russia had earned 200 billion euro (US$205 billion) from the sale of fossil fuels to the EU since the invasion of Ukraine by Russian forces nearly three years ago. It highlighted that LNG imports from Russia had increased by 11% percent in the first half of 2024, as a number of EU countries still rely on Russian sources.
They want the EU to increase sanctions against Russia's LNG tanker fleet and ban the ships from docking in EU ports and receiving maritime services. "Russia's ability to sustain its war efforts is deeply intertwined with its energy revenues," the document stated. "We need to take a further leap and address the increasing Russian liquefied natural gas imports. As an end goal, it is necessary to ban the import of Russian gas and LNG at the earliest date possible." Citing data from intelligence firm Kpler, Politico said that the EU has imported 472,000 metric tons of LNG since the start of this year alone, significantly higher than the pre-war average. The calls for further sanctions come as the Union is readying its 16th package of sanctions targeting Russia's economy, ahead of the third anniversary of Moscow's invasion of Ukraine in February 2022.
The signatories claimed that more needs to be done to stop Russia's access to foreign finance and also proposed a number of other sanctions including importing metals such as aluminum, reducing reliance on Russian nuclear fuel, increasing border inspections and taking action against financial institutions that allow Moscow to circumvent EU banking rules. Hungary and Slovakia will likely oppose tougher sanctions.
The calls come as the U.K. and U.S. announced their toughest sanctions yet against Russia by targeting more than 200 companies and individuals, including traders, officials and insurance companies, as well as hundreds of oil tankers. They have jointly agreed to directly sanction energy companies Gazprom Neft and PJSC Surgutneftegas. The U.K. government said that combined, these companies produce more than 1 million barrels of oil per day between them, "worth roughly US$23 billion a year at current prices. The profits from these two companies are lining Putin's war chest and facilitating the war."
U.K. Foreign Secretary David Lammy said: "Oil revenues are the lifeblood of Putin's war economy. Taking on Russian oil companies will drain Russia's war chest -- and every ruble we take from Putin's hands helps save Ukrainian lives. With the Russian economy on the back foot, facing high and accelerating interest rates and haemorrhaging billions into an unsustainable and illegal invasion, we will continue to work with our allies in the United States to turn the screw on Putin and his barbaric war."
Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, IIR is tracking over 200,000 current and future projects worth $17.8 Trillion (USD).
