Treasury Secretary Scott Bessent, on Monday, issued a 30-day general license for Russian seaborne oil to stabilize the crude market amid supply shortages due to the closure of the Strait of Hormuz.
Sanctions Could Stabilize Oil Market
In a post on X, Bessent said the license would temporarily allow vulnerable countries to access Russian oil currently stranded at sea. The move would “provide additional flexibility,” and would “stabilize the physical crude market.”
The license would ensure that oil reaches the most energy-vulnerable countries, Bessent added. He also stated it will help redirect “existing supply to countries most in need” by limiting China’s ability to “stockpile discounted oil.”
Bessent said that Treasury officials are working with the nations for more specific licenses as needed.
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