Turkey’s largest oil refiner, Turkiye Petrol Rafinerileri (Tupras), will stop purchasing Russian oil and products that do not comply with the G7 price cap starting February 27, according to a source familiar with the plans.
This move makes Tupras the latest major customer of Russian oil to align with international efforts to avoid breaching U.S. sanctions on Russian oil trade and exports.
On January 10, the Biden administration imposed its strictest sanctions yet on Russia’s oil sector. These sanctions targeted two major Russian oil companies, Gazprom Neft and Surgutneftegas, and affected 183 vessels, numerous oil traders, oilfield service providers, insurance companies, and energy officials.
Many of the tankers used to transport Russian oil from Arctic and Far East Pacific fields to Asia are now also sanctioned.
Under the G7 and EU price cap mechanism, Russian oil shipments to third-party countries can still access Western insurance and financing if the oil is sold at or below the $60-per-barrel price ceiling. This policy took effect in late 2022 when the EU imposed a ban on Russian crude oil imports.
Tupras’ decision follows similar moves by China and India, Russia’s largest oil buyers. Both countries have signaled their preference to avoid working with entities blacklisted by the U.S.
India, for its part, will continue buying Russian oil as long as it is priced below the $60 per barrel cap and transported using non-sanctioned vessels and companies. Indian officials have confirmed this stance, saying refiners are restructuring their relationships with oil traders, insurers, and vessel owners to ensure compliance with U.S. sanctions while continuing to purchase discounted Russian oil.
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