EU moves to sanction Russia’s shadow fleet enablers

The European Union (EU) has imposed fresh sanctions on four entities and five individuals for supporting Russia’s shadow fleet moving crude oil and other energy products.

IMAGE: Flag of the European Union. Getty Images

The EU Council has sanctioned five individuals as well as four entities responsible for enabling Moscow’s shadow fleet operations.    

These individuals, including oil traders, finance directors and shareholders, have direct or indirect ties to Russian oil companies Rosneft and Lukoil – both of which are also subject to US sanctions since October.

"Additionally, they control vessels transporting crude oil or petroleum products, originating in Russia or being exported from Russia, concealing the actual origin of the oil, while practicing irregular and high-risk shipping practices," the Council stated.

The four shipping companies – Nova Shipmanagement, Citrine Marine, Hung Phat Maritime Trading and SeverTransBunker Company – which own or manage shadow fleet tankers restricted by the EU or by other countries, are based in the UAE, Vietnam and Russia, the bloc said in a statement. 

The move has reinforced the EU’s aim to tighten constraints on Russia’s energy-derived revenues.

In October, the EU adopted its 19th sanctions package against Moscow, targeting 117 vessels that are allegedly a part of the Russia's shadow fleet used to circumvent the price caps set on Russian crude and oil products.

A shadow fleet is made up of older vessels that intentionally evade regulations.

By Aparupa Mazumder

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