The
US Department of the Treasury’s Office of Foreign Assets Control (OFAC) has
imposed sanctions on a United Arab Emirates-based shipowner for violating the
price cap on Russian crude oil exports.
Sanctions were
placed on Hennesea Holdings as the beneficial owner of 18 ships, including the
2006-built aframax HS Atlantica ex-BeksAtlantica, which OFAC previously identified as
having engaged in the transport of Russian crude priced above the cap while
using a covered US-based provider.
Hennesea
was established in late 2022, shortly before the price cap was enacted. OFAC
said the company acquired older tankers that have repeatedly conducted port
calls in Russian Federation ports to ship crude and petroleum products.
Shipping databases show a fleet of nearly 30 ships acquired by Hennesea in 2022
and 2023, with an average age of about 17 years.
The
treasury’s first oil price cap enforcement action of 2024 blocks shippers’
access to US-owned property and prevents US individuals and firms from doing business
with them.
“Today’s
actions once again demonstrate that anyone who violates the price cap will face
the consequences,” said Wally Adeyemo, deputy secretary of the treasury,
adding: “No one should doubt our
coalition’s commitment to stopping those who help the Kremlin.”
In December, the price cap coalition
also tightened compliance rules for insurance firms and shippers. This move will require service
providers, including shippers and movers of Russian oil, to receive
attestations from their purchasers and sellers each time they lift or load
Russian oil. It will also require insurance and freight firms to share these
documents upon request with entities further down the supply chain.