A Russian state-owned oil company, Rosneft, along with five subsidiaries, has been added to a list of entities sanctioned by the United States in a bid to counter Russia’s expanding sphere of influence.

President Trump has decided to impose sanctions on Russia, a long-standing adversary, in response to a number of different actions.

“In addition to our response to Russia’s intervention in Ukraine, we are increasing economic pressure on Russia to deter its destabilizing activities, and to restore global confidence in the rule of law,” Mr. Trump said in a statement announcing the sanctions. “Americans will no longer have to fear Russian cyberattacks, Russian interference in our elections, or Russian weapons of mass destruction.”

The sanctions will prohibit the selling of bonds or equity stakes in Rosneft by U.S. citizens and companies, as well as forbidding U.S. banks from lending to Rosneft or providing it with any financial products. Rosneft itself may also be barred from borrowing money on the international debt markets. The list is a response to Russian military activity in Eastern Ukraine, alongside an election in 2018 in which President Vladimir Putin won another six-year term.

Russian oil companies’ debt is currently outstanding at $10.4 billion, according to Bloomberg News. It is also thought that the sanctions will have a minimal impact in the oil markets as global oil production has already begun to turn a corner thanks to the rise of Saudi Arabia’s new King Salman.

Read the full story at The New York Times.

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