Ukrainian Climate Group Welcomes Biden’s New Sanctions on Russian Oil but Calls for Stronger Action to Stop Putin’s War Machine

January 7, 2025
For Immediate Release

Ukrainian peace and renewable energy campaign group Razom We Stand welcomes the news that the Biden administration is taking further measures targeting Russia’s oil revenues, including sanctions on two Russian oil companies, over 100 tankers, and oil traders. These actions are a positive step forward in constricting the Kremlin’s war chest. However, we stress that additional decisive actions are urgently needed to address the glaring loopholes that persist in the sanctions regime and allow Putin to continue his destruction of Ukraine.

As Razom We Stand highlighted in a recent letter to the outgoing US administration, US company SLB (formerly Schlumberger) remains deeply embedded in Russia, with approximately 11,500 employees and extensive contracts with Russian oil companies. The company provides critical technology and training, which have been described as “crucial” for oil reservoir modelling and geological exploration and extraction—capabilities essential to maintaining and expanding Russian oil production. Since Russia’s full-scale invasion of Ukraine, SLB has not only remained in Russia but has expanded its footprint, signing new contracts, recruiting staff, and importing millions in equipment and materials. This activity undermines the spirit of sanctions and strengthens not only Russia’s resilience against Western measures but also its ongoing belligerence across multiple countries.

Dr Svitlana Romanko, Founder and Director of Razom We Stand, stated:
“These sanctions are very welcome. But they are expected to stop short of addressing a key enabler of Russia’s energy sector: SLB. As its competitors exited the Russian market, SLB expanded its operations, aiding Russian oil companies in drilling more efficiently and cheaply, effectively undermining the impact of Western sanctions. It is unacceptable that a U.S.-based company is permitted to prioritise profits over people, bolstering Putin’s most strategic industry and generating billions in revenues for Russia’s brutal war while we Ukrainians suffer. The outgoing and incoming U.S. administrations must act immediately to close this loophole and prevent SLB from continuing to contribute to atrocities in Ukraine.”

The State Department’s so-called “guard rails” allowing SLB to continue operations have backfired, enabling the company to patent new technologies, train Russian engineers, and sustain Moscow’s war economy. We call on the U.S. government to immediately end SLB’s profiteering in Russia and ensure no American company aids Putin’s war machine.

Recent reports from China demonstrate the tangible impact of U.S. sanctions, as the Shandong Port Group announced on Monday that it is banning U.S.-sanctioned oil vessels from accessing its network of ports. This highlights the influence US sanctions can have on other states doing business with sanctioned Russian vessels, further stifling the Kremlin’s profits from fossil fuels that fund its war in Ukraine. 

Sanctions targeting Russian oil and gas revenues must be comprehensive, closing every loophole and targeting every enabler, whether they are multinational corporations or foreign governments. Only by cutting off the Kremlin’s energy income can the international community fully support Ukraine’s victory and uphold international law.

ENDS

Razom We Stand is a Ukrainian clean energy campaign group active internationally, calling for a total and permanent embargo on Russian fossil fuels and an immediate end to all investment into Russian oil and gas companies by phasing out fossil fuels globally.

Svitlana Romanko has been previously quoted on the White House’s official website on relevant energy issues and has appeared in the top-tier international press, including Washington Post, CNN, NBC, Newsweek, Politico, Financial Times, Bloomberg, The Hill, The Guardian, Der Spiegel, Le Monde and more.