Treasury Sanctions Major Russian Oil Companies, Calls on Moscow to Immediately Agree to Ceasefire

WASHINGTON — Today, the U.S. Department of the Treasury’s Office of Foreign Assets Control (OFAC) is imposing further sanctions as a result of Russia’s lack of serious commitment to a peace process to end the war in Ukraine. Today’s actions increase pressure on Russia’s energy sector and degrade the Kremlin’s ability to raise revenue for its war machine and support its weakened economy. The United States will continue to advocate for a peaceful resolution to the war, and a permanent peace depends entirely on Russia’s willingness to negotiate in good faith. Treasury will continue to use its authorities in support of a peace process.

“Now is the time to stop the killing and for an immediate ceasefire,” said Secretary of the Treasury Scott Bessent. “Given President Putin’s refusal to end this senseless war, Treasury is sanctioning Russia’s two largest oil companies that fund the Kremlin’s war machine. Treasury is prepared to take further action if necessary to support President Trump’s effort to end yet another war. We encourage our allies to join us in and adhere to these sanctions.”

Today’s action targets Russia’s two largest oil companies, Open Joint Stock Company Rosneft Oil Company (Rosneft) and Lukoil OAO (Lukoil), which are now designated. Rosneft is a vertically integrated energy company specializing in the exploration, extraction, production, refining, transport, and sale of petroleum, natural gas, and petroleum products. Lukoil engages in the exploration, production, refining, marketing, and distribution of oil and gas in Russia and internationally.

Rosneft and Lukoil are being designated pursuant to E.O. 14024 for operating or having operated in the energy sector of the Russian Federation economy.

This beats the heck out of funding this war. I think we’ll see more clearly who is controlling Russia’s and Ukraine’s dogged participation in this, as result of the increased pressure from this administration. I wouldn’t be surprised if we were hit by Russia in the next few years. France is pushing hard for Russia to retaliate and the French know the retaliation won’t be against them.

Ukraine is costing us a fortune, even though the EU has increased their support:

AI summary:
Context on overall aid
According to the Kiel Institute, total U.S. military, financial, and humanitarian aid to Ukraine from February 2022 to June 2025 was €114.64 billion ($134 billion). However, this figure includes aid committed before 2025 and is subject to different valuation methods.

And:

Financial and other aid in 2025
Limited new U.S. funding: As of mid-2025, no new U.S. funding had been allocated for Ukraine, and existing aid was largely comprised of funds committed by the previous administration.

Stable humanitarian and financial support:
Financial and humanitarian aid has remained stable, largely due to EU contributions.

European nations increase support:
In response to the U.S. pullback, European countries significantly stepped up their aid in early 2025.

Frozen Russian assets:
A $20 billion loan to Ukraine, announced in late 2024, was funded by interest from frozen Russian assets. The World Bank began distributing these funds in 2025.

Canada’s contribution:
In June 2025, Canada contributed $500 million for the purchase of military equipment from U.S. stockpiles for Ukraine, separate from the direct U.S. funding.

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