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US extends sanctions waiver on Russian oil as supply crunch pushes up Brent crude price

US extends sanctions waiver on Russian oil as supply crunch pushes up Brent crude price

Summary

The US Treasury has extended a 30-day waiver allowing some countries to buy Russian oil, despite existing sanctions. This move aims to help energy-vulnerable countries facing shortages after the Iran war, while managing global oil supply and prices.

Key Facts

  • The US extended a sanctions waiver for buying Russian seaborne oil for 30 more days.
  • The waiver was made to help countries struggling with energy shortages due to disruptions from the Iran conflict.
  • The waiver allows access only to Russian oil already loaded on ships before April 17 and does not apply to new Russian oil exports.
  • Some US senators criticized the extension, saying it helps fund Russia’s war in Ukraine without lowering US gas prices.
  • The waiver is temporary and attempts to ease global oil supply issues and limit price spikes.
  • The sanctions on Russian oil majors Rosneft and Lukoil remain in place.
  • Oil prices rose above $112 per barrel amid concerns about tight supply.
  • US Treasury Secretary Scott Bessent said the move helps stabilize the crude oil market and supports energy-vulnerable countries.
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