Headlines
US allows oil sales from Russia's Sakhalin-2 project through June 18
Published by Global Banking and Finance Review
Posted on December 17, 2025
1 min readLast updated: January 20, 2026
Global Banking and Finance Review
Company
Published by Global Banking and Finance Review
Posted on December 17, 2025
1 min readLast updated: January 20, 2026
The US Treasury has extended oil sales from Russia's Sakhalin-2 project until June 18, aiding Japan's LNG imports and bypassing previous sanctions.
WASHINGTON, Dec 17 (Reuters) - The U.S. Treasury allowed oil sales from Russia's Sakhalin-2 project through June 18 next year, a move that likely allows production of liquefied natural gas from the project to continue.
The move is important for U.S. ally Japan, which gets about 9% of its LNG from Russia. The Treasury Department on Wednesday issued the general license for transactions with Sakhalin-2, a waiver to sanctions that had been imposed on the project by former President Joe Biden in 2022.
(Reporting by Timothy Gardner, Editing by Franklin Paul)
Liquefied natural gas (LNG) is natural gas that has been cooled to a liquid state for ease of storage and transport. It is primarily composed of methane and is used as a clean energy source.
Economic sanctions are restrictive measures imposed by countries or international organizations to influence or punish a nation, often to compel compliance with international laws or norms.
The Sakhalin-2 project is a liquefied natural gas and oil extraction project located on Sakhalin Island in Russia, involving major international energy companies.
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