The Treasury Department said Thursday that it has imposed its first set of sanctions on two companies that shipped Russian oil in violation of a multinational price cap.
The companies being penalized are based in the United Arab Emirates and Turkey, the department said in a statement. Both companies relied on U.S. service providers. As a result of the sanctions, the Biden administration is blocking the companies’ ability to conduct business or access any property or financial interests in the U.S.
The official said that Russia has tried to build an alternative shipping network to avoid the cap, but that has proved to be expensive, with private analyses indicating that it has cost $35 per barrel of oil.
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