The US is tightening its grip on one of the key pillars of Russia's economy

The United States is increasing its pressure on Russia's oil industry with new sanctions introduced on Friday.
The US and UK are taking action against two major Russian energy companies and other entities involved in the country's oil trade.
It is anticipated that Russian energy revenue will make up over a quarter of the country's overall budget in 2025.

business.

The US announced plans to join the UK in imposing broad sanctions on Russia's oil sector on Friday. These sanctions would bar Gazprom Neft and Surgutneftegas, two of Russia's largest oil producers, from doing business.

A fleet of vessels often utilized by Russia to clandestinely trade oil.

The new sanctions also targeted several "opaque traders" involved in Russia's oil business, along with oilfield service providers and key executives at prominent Russian energy companies, the statement mentioned.

The US government is launching a major crackdown on Russia's main source of income for its brutal and illegal aggression against Ukraine, according to Treasury Secretary Janet Yellen. "With today's actions, we are increasing the risks for Russia's oil trade, including shipping and financial services that help Russia export oil," she also said.

Russia's energy sector is expected to account for around 27% of the government's projected revenue by 2025, based on a draft budget released in September.

Declined by nearly a quarter in 2023, based on data from Russia's finance ministry.

The country's oil and gas revenue is forecasted to decrease through the year 2027, according to the proposed budget.

The conflict could potentially be brought to a close this year if it reaches a tipping point, a US-based think tank in Washington suggests.

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