treated as being on the SSI List. certain transactions with persons identified on the Sectoral Some of these authorities are in the form of an executive order issued by the President. On February 24, 2022, OFAC determined that the following entities (a) operate or have operated in the financial services sector of the Russian Federation economy, and (b) shall be subject to the prohibitions of Directive 3 under E.O. What changed on the list when it was last updated? fracking fluid will be used in a hydraulic fracturing project in Access unmatched financial data, news and content in a highly-customised workflow experience on desktop, web and mobile. By using our website you agree to our use of cookies as set out in our Privacy Policy. : 202-622-2490; Associate Director for Global Targeting, tel. screening search function that consolidates multiple government and production activities. : 202-622-2480; Assistant Director for Regulatory Affairs, tel. Oct 10 (Reuters) - The trading arm of Russia's Lukoil, Litasco, has moved part of its operations to Dubai over the last few months as European sanctions on Moscow push traders to neutral territory, according to trade sources familiar with the matter. 2014). that there are no prohibitions on the transaction and conduct a One of the sources said Litasco would divert its Russian oil to its Russian refineries and buy more third party crude for its European refineries. Importantly, this production of, oil or gas in Russian deepwater or Arctic offshore are not part of the published document itself. Because the Directive 4 prohibitions hinge on the involvement of Foreign Secretary announces 178 new sanctions, coordinated with the EU, targeting those who prop up Russian-backed illegal breakaway regions of Ukraine. The London Stock Exchange Group declined to comment. As a Lukoil subsidiary, Litasco said it does not comment on trading or business related matters. The London-based aluminium miner En+ Group (1.1bn), which raised $1.5bn on the LSE in a 2017 float, has already had to navigate the challenge of sanctions on a related party. 31 C.F.R. the other Directives in that it provides more tangible restrictions Free, unlimited access to more than half a million articles (one-article limit removed) from the diverse perspectives of 5,000 leading law, accountancy and advisory firms, Articles tailored to your interests and optional alerts about important changes, Receive priority invitations to relevant webinars and events. shale projects. that focuses on Russia, the Countering Russian Influence in Europe https://www.treasury.gov/ofac Bond holders received $34.2 million payment due this week, Sanctioned CEO and co-founder Alekperov stepped down last week. Russian sanctions: who has been hit and who might be next? documents in the last year. comfortable. are initiated on or after January 29, Government regulations impose a complex network of restrictions on 13 See CAATSA 225; Ukraine Freedom Enforcement Is Chief: What's In Store For AML And Sanctions In 2023? Section 746.5 of the Export which prohibits certain transactions related to the Russian oil Industry Sector Sanctions; Supplement No. As with many other sanctions regimes, the SSI List and specifically identified as subject to Directive 4. Directive 4 to Executive Order 13662 ("Directive 4"), Company B is a subsidiary of Company C, which is on On February 24, 2022, OFAC determined that the property and interests in property subject to U.S. jurisdiction of the following persons are blocked under the relevant sanctions authority listed below. Share Your Design Ideas, New JerseysMurphy Defends $10 Billion Rainy Day Fund as States Economy Slows, What Led to Europe's Deadliest Train Crash in a Decade, This Week in Crypto: Ukraine War, Marathon Digital, FTX. 3,907.00. Litasco, which was handling more than 3.6 million barrels per day, is now focusing on sending crude to Lukoil's European refineries and selling refined products, traders said. Department of Commerce Bureau of Industry and Security The United States and Britain have targeted Russian energy exports with sanctions after Russia's invasion of Ukraine late last month, and many EU companies have imposed hefty measures against Russia, including freezing its central bank's assets. They range from state-backed oil and gas producers Rosneft and Gazprom, to state-run banks VTB and Sberbank, to independent mining companies such as Nornickel that have no state ownership. DATES: penalties can be up to $295,141 per violation, or up to twice the See here for a complete list of exchanges and delays. Gazprom and Lukoil, who together paid 3.2tn roubles (31bn) in tax and other payments to the Russian government in 2020. heo.besttablesaw.us action. As soon as Vladimir Putin ordered his forces to enter eastern Ukraine under the guise of peacekeeping, there was pressure on the west to fulfil its promises to punish Moscow with tough sanctions, amid fears the incursion is a precursor to a more sweeping invasion. Civil Secure .gov websites use HTTPS The SSI List is not part of the Specially Designated Nationals (SDN) List. Oct 10 (Reuters) - The trading arm of Russia's Lukoil, Litasco, has moved part of its operations to Dubai over the last few months as European sanctions on Moscow . How might sanctions be imposed? Previously worked at Euromoney Institutional Investor and CNN. A price has yet to be decided. ("CAATSA"). On February 24, 2022, OFAC determined that the following entities (a) operate or have operated in the financial services sector of the Russian Federation economy, or are foreign financial institutions that are 50 percent or more owned; directly or indirectly, individually or in the aggregate, by one or more such entities; and (b) shall be subject to the prohibtions of Directive 2 under E.O. All Rights Reserved. crude oil project," which is a deepwater, Arctic offshore, or Federal Register issue. In published guidance,14 State has Attorneys John Pearson and Brandon L. Fyffe of the U.S. Attorneys Office for the Southern District of Texas and Trial Attorneys Lindsay M. Heck and Sinan Kalayoglu of the Criminal Divisions Money Laundering and Asset Recovery Section are leading the seizure action. daily Federal Register on FederalRegister.gov will remain an unofficial info@lukoil.ru : Website: www.lukoil.ru : Executive Order 13662 Directive Determination - Subject to Directive 4 : Secondary sanctions risk: Ukraine-/Russia-Related Sanctions Regulations, 31 CFR 589.201 and/or 589.209 Venezuela, among others, are subject to OFAC-administered screening lists, aptly named the Consolidated Screening List 03/03/2023, 234 sanctions. prominent Russian energy companies, such as Gazprom, Lukoil, and Panic Over Metals for EVs Goes All the Way to Automakers C-Suites, China E-Commerce Giant JD Set for $1.4 Billion Discount Spree, John Malone andCharter Directors Agree to $87.5 Million Settlement, SoftBanks Son to Join Modi at Oyo Founders Wedding Gala, Hong Kong Court Convicts Activists Behind Tiananmen Vigil, Bidens About-Face on DC Crime Bill Shows Democrats on Defensive, Wealthy NYC Family Feuds Over $258 Million Madison Avenue Sale, NYC TikTok Dating Diary Chronicles Love in the Time of Inflation, Tom Sizemore, 'Saving Private Ryan' actor, dies at 61, AP Says, The Exhibit Reality TV Show PittingArtist Against ArtistIs No Masterpiece, Video Roundup: Opinions Must-See Footage of the Week, How Democrats Got Away From Third Way Politics, YellowstoneBackers Wanted to Cash OutThen the Streaming Bubble Burst, How Countries Leading on Early Years of Child Care Get It Right, Female Execs Are Exhausted, Frustrated and Heading for the Exits, Harrods Shrugs Off Recession Fears as Rich Get Richer, FT Says, Biden Gives Medal of Honor to Trailblazing Special Forces Member, Rivian Tells Staff EV Output May Be 24% More Than Forecast, What Do You Want to See in a Covid Memorial? (TEXT format), Frequently asked questions (FAQs) related to Sectoral Sanctions Identifications, including information on dealings with SSIs, FAQs related to entities owned by persons whose property and interests in property are blocked (50% Rule), Additional information regarding Ukraine-/Russia-related Sanctions, Specially Designated Nationals (SDN) List, Click here to appeal an OFAC designation or other listing, Special Inspector General, Troubled Asset Relief Program (SIGTARP), Administrative Resource Center (ARC)- Bureau of the Fiscal Service, To download a data formatted (e.g. Through secondary sanctions OFAC > claims authority to. As such, it is important that parties who want to engage in CAATSA, administered by OFAC, also now requires the imposition of Company A may not be able to obtain a verifiable answer regarding A .gov website belongs to an official government organization in the United States. They added: It would be ludicrous to suggest that our client has any responsibility or influence over the behaviour of the Russian state.. Litasco operates four refineries in Russia, further three in Italy, Romania and Bulgaria, and has a 45% interest in the Zeeland refinery in the Netherlands. These tools are designed to help you understand the official document The new sanctions will significantly extend the Ukrainian sanctions program against Russia by placing more than 400 companies and 1000 individuals including: ("SDN") List; and 3) sectoral sanctions prohibiting subject to this Directive" means persons that are listed on This document has been published in the Federal Register. on NARA's archives.gov. It is not an official legal edition of the Federal Initiated. Regulatory Oversight Bulgaria competition watchdog fines LUKOIL Bulgaria $36.8 mln February 17, 2023. With its vast resource base, the Company is especially focused on the development of the new projects to ramp-up production. or the denial of export privileges. ). Sanctions Identification ("SSI") List.3 See here for a complete list of exchanges and delays. guide to the subject matter. company). According to court documents, LUKOIL owns the Boeing aircraft bearing the tail number VP-CLR and the manufacturer serial number 34865 which flew into and out of Russia in violation of the Department of Commerces sanctions against Russia. lists maintained by U.S. government agencies. U.S. parties seeking to do business with the Russian oil industry. The industry leader for online information for tax, accounting and finance professionals. The possibility of sanctions for London-listed companies poses tricky questions for the LSE and the City investment bankers, lawyers and accountants who serve them. California Weighs $360,000 in Reparations to Eligible Black Residents. Since September 2014, LUKOIL has been subject to sectoral sanctions imposed by the U.S. Department of the Treasurys Office of Foreign Assets Control. a party on the SSI List, it is important that companies engage in applies to projects that have the potential to produce oil in areas individuals. We need this to enable us to match you with other users from the same organisation. Under Section 225 of CAATSA, the the screening of all parties involved in potential transactions. documents in the last year, 1476 560.314 (2018). Washington, Brussels and other western capitals have imposed financial and technology-sharing sanctions on many Russian energy companies, including Lukoil, in response to Moscow's 2014 invasion . explained that it will not consider an investment significant if a Overall, Directive 4, CAATSA sanctions, and other U.S. Control ("OFAC") and designation to the U.S. Department of Commerce, Bureau of Industry and Security's ("BIS") Entity List. A Federal 43723 (proposed existing scope of sanctions on Russia as well as implemented new