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U.S. Lets Waiver for Russian Seaborne Oil Expire

The lapse signals a tougher line on Moscow with possible pressure on global oil prices.

Overview

  • OFAC let the waiver for Russian seaborne oil expire early Saturday with no renewal posted on Treasury’s website.
  • The license reissued in April allowed only cargoes loaded by the cutoff to be delivered without triggering sanctions.
  • India, the largest buyer, requested an extension and has taken about 2.3 million barrels per day this month.
  • Democratic Senators Jeanne Shaheen and Elizabeth Warren pressed Treasury on Friday to let the waiver lapse, arguing it boosted Russia’s war revenue without cutting U.S. pump prices.
  • Energy analysts warn the move could tighten already stressed supplies through the Strait of Hormuz and lift crude and gasoline prices.