U.S. extends sanctions waiver on Russian seaborne oil by 30 days

Mangalore Today News Network

New Delhi, May 19, 2026: The United States has extended by another month a waiver exempting certain Russian oil shipments from sanctions, according to an order issued by the US Department of the Treasury.

The move allows transactions involving Russian oil already at sea on or before April 17 to continue until June 17.

In a notice issued Monday, the Treasury Department’s Office of Foreign Assets Control (OFAC) said it was replacing the earlier waiver with a new authorisation.

“Effective May 18, 2026, General License No. 134B… is replaced and superseded in its entirety by this General License No. 134C," the order stated.

The waiver provides temporary relief for countries and entities purchasing Russian oil cargoes that were already in transit before the sanctions deadline.

Earlier this year, the US had granted India an exemption from sanctions on purchases of Russian oil beginning March 5. Similar temporary waivers were later extended to several other countries.

That exemption was initially set to expire before being renewed on April 17 for another month.

The latest extension means buyers covered under the licence can continue dealing with eligible Russian oil shipments until mid-June without violating US sanctions rules.

However, the Treasury clarified that the licence does not permit transactions involving individuals, entities or joint ventures connected to Iran, North Korea, Cuba or certain regions of Ukraine.

The extension comes as Russian oil remains an important source of discounted crude for several countries, including India, even amid Western sanctions imposed after Moscow’s actions in Ukraine.

India has significantly increased purchases of Russian crude in recent years, citing energy security needs and competitive pricing.

The renewed waiver is likely to be closely watched by energy markets, refiners and governments dependent on Russian oil imports.