The US
Treasury Department has included in the sanctions list SDN (the most stringent,
blocking sanctions) Rosneft Trading subsidiary, Rosneft Trading, the US agency
announced.
Swiss Rosneft Trading is included in the
sanctions list for "work in the oil sector of the Venezuelan
economy." Rosneft Trading assets in
the US jurisdiction must be blocked, American persons are prohibited from doing
any business with it.
However, US sanctions have implications for
non-US counterparties Rosneft Trading.
The Venezuelan sanctions program, which runs Rosneft Trading, implies
the possibility of imposing sanctions against individuals and companies from
any jurisdiction that provide "substantial assistance" to the SDN
list. In other words, a European or
Asian company runs the risk of being sanctioned by the United States if it
continues to cooperate with Rosneft Trading.
Individuals and legal entities from outside
the United States can curtail cooperation with Rosneft Trading without risk of
sanctions for themselves until May 20, 2020, the US Treasury said. During this period, it is possible to
continue operations under existing contracts, but it is impossible to conclude
new transactions.
Rosneft
Trading President is also on the list. Also on the SDN list is Vice President of
Refining, Petrochemicals, Commerce and Logistics of Rosneft Didier
Kasimiro. Casimiro Belgian is listed as
president of Rosneft Trading S.A. in the
corporate registry of Switzerland.
Rosneft
Trading was registered in Geneva in 2011 with the goal of implementing overseas
projects. Vice President Rosneft Trading
S.A. indicated by Richard Daniel, CEO -
Marcus Cooper, a former British BP trader.
According to the wording of the US Treasury, they put themselves at risk
of sanctions if they continue to work at Rosneft Trading.
According to Rosneft, in 2018 it exported
about 68 million barrels. oil (7.6% of
total exports) through international trading.
This includes Rosneft Trading, but not only. According to Forbes magazine's calculations,
Rosneft Trading took third place in the ranking of Russian oil buyers in 2018
with a total of $ 12.5 billion in contracts (that year it bought oil only from the
parent company). According to Rosneft’s
information, Rosneft Trading is engaged not only in Venezuelan oil, but also
purchases oil on an prepaid basis in Iraqi Kurdistan, carries out mutual oil
supplies with Thailand, and supplies LNG to Egypt.
Sanctions against Rosneft Trading do not extend
to Rosneft’s parent company (except for existing sectoral sanctions), the US
Treasury emphasizes.
In a statement to Rosneft in connection with
the imposition of sanctions against the subsidiary, the new restrictions are
called illegal. The company emphasized
that the US Treasury did not provide any evidence that Rosneft had somehow
violated the sanctions regime against Venezuela. The company notes that US sanctions are “an
act of legal arbitrariness,” recalling that Rosneft has become a major investor
in the Venezuelan economy long before the imposition of US sanctions. The company's activities in Venezuela are
associated with the implementation of production projects and trading (oil
supplies on a prepaid basis and counter deliveries of oil products), carried
out under contracts concluded before the imposition of sanctions, and is aimed
at ensuring the return of previously made investments, Rosneft emphasized.
Comments
Post a Comment