OFAC issues open-ended license for transactions with Rosneft's German subsidiaries, replacing license expiring on April 29
MOSCOW. March 5 (Interfax) - The U.S. Office of Foreign Assets Control (OFAC) has issued an open-ended license for operations with Rosneft's German subsidiaries, the OFAC said in a statement.
The previous license, issued at the end of October last year, expires on April 29.
The license authorizes transactions involving Rosneft Deutschland GmbH (RN Germany) or RN Refining & Marketing GmbH (RN Refining & Marketing), or any entity in which RN Germany or RN Refining & Marketing own, directly or indirectly, individually or in aggregate, a 50% or greater interest.
The UK has also added Rosneft to its sanctions list, but issued a general license permitting transactions with Rosneft Deutschland GmbH, RN Refining & Marketing GmbH and their subsidiaries until October 22, 2027.
The German government in September 2023 put Rosneft Deutschland GmbH (RDG) and RN Refining & Marketing GmbH (RNRM) into trust management on the basis of an energy security law. The Federal Network Agency thereby gained control over a subsidiary of Rosneft and its stakes in three oil refineries - PCK - 54.17%, MiRO - 24%, Bayernoil - 28.57% - with total capacity of 12.8 million tonnes per year. Rosneft Deutschland accounts for about 12% of German oil refining capacity and is one of the largest players in the local fuel market.
The German government said it acted as it did to ensure undisrupted oil supplies to the country amid an unprecedented energy crisis due to the conflict in Ukraine. The sanctions imposed since the beginning of the conflict in Ukraine affected not only individual Russian companies, but also whole sectors: for example the EU introduced strict restrictions on oil imports from Russia. Rosneft, which insists it has honored its commitments to supply crude to the refineries in full, tried to challenge the decision by the German government, which plans to sell these assets, but the court rejected its claim.
Germany in September 2025 extended trusteeship of Rosneft Deutschland GmbH and RN Refining & Marketing GmbH for the sixth time, on this occasion until March 10, 2026.
The European Commission on February 20 this year approved the acquisition by the Federal Ministry for Economic Affairs and Energy (BMWE) of sole control over Rosneft Deutschland GmbH (RDG) and RN Refining & Marketing GmbH (RN R&M).
