US Extends Sanctions Waiver for Russian Oil at Sea by 30 Days

Washington has extended its sanctions waiver for Russian oil cargoes at sea by 30 days. This move aims to help vulnerable nations access Russian oil amidst surging global energy prices. The temporary measure provides additional flexibility to stabilize the crude market. This is the second extension of the waiver, which was first issued in March.

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The US Treasury Secretary Scott Bessent on Monday accounced that the Washington was extending its sanctions waiver for Russian oil cargoes already at sea by 30 days, as global energy prices continue to surge due to the Iran war.

Bessent announced that the "temporary 30-day general license" will "provide the most vulnerable nations with the ability to temporarily access Russian oil currently stranded at sea."

Also read: 'Will call on G7 to follow sanctions regime on Iran,' says US Treasury Secretary Bessent

This marks the second time US authorities have extended the temporary measure, which is meant to address oil supply shortages sparked by the US-Israel war against Iran.

The previous waiver for Russian at-sea oil expired on May 16.

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Global oil prices have spiked since the start of the war, with global consumers feeling the pinch of fuel costs that are more than 50 percent higher than when the war began.

The United States first issued a sanctions waiver on Russian oil cargoes that were at sea in March.

Bessent said the extension would "provide additional flexibility" and "will help stabilize the physical crude market and ensure oil reaches the most energy-vulnerable countries.

India buying Russian oil irrespective of US sanctions waiver

Indian government official on Monday said that the country has continued buying Russian oil before, during and after US sanctions waivers.

Sujata Sharma, joint secretary in the petroleum ministry, said India’s crude purchases from Russia have not depended on the US waiver framework and are driven by commercial considerations.

“Regarding (the) American waiver on Russia, I would like to emphasize that we have been purchasing from Russia earlier ... I mean before waiver also, during waiver also, and now also,” she said during a media briefing.

“It is basically the commercial sense which should be there for us to purchase ... There is no shortage of crude. Enough crude has been tied up repeatedly ... and this, whatever waiver or no waiver, it will not affect,” she added.