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US makes Sakhalin-2 oil supplies to Japan exempt from price cap

At the same time, the license does not allow transactions prohibited by previously introduced restrictions against Russia, the US Treasury said

WASHINGTON, November 23. /TASS/. The US Department of the Treasury has temporarily authorized operations related to maritime transportation of oil produced as part of the Sakhalin-2 project and intended for delivery to Japan.

The related transactions will be exempt from the Russian oil price cap until September 30, 2023.

A general license, issued by the US Department of the Treasury’s Office of Foreign Assets Control (OFAC), says that "all transactions prohibited by the determination of November 21, 2022 <…> related to the maritime transport of crude oil originating from the Sakhalin-2 project ("Sakhalin-2 byproduct") are authorized through 12:01 a.m. eastern daylight time, September 30, 2023, provided that the Sakalin-2 byproduct is solely for importation into Japan."

This general license does not authorize any transactions otherwise prohibited by anti-Russian sanctions, including transactions involving any person blacklisted by the US.

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