The Russian oil major says the measures threaten the South Asian nation’s energy security and will negatively impact its economy
Rosneft has denounced the EU’s decision to impose sanctions on India’s second largest refinery, calling it “unjustified and illegal.”
On Friday, the bloc announced sanctions on the Vadinar refinery, which is owned by Nayara Energy, an Indo-Russian joint venture in which Rosneft has a 49% stake.
“Rosneft Oil Company considers the European Union’s decision to impose restrictive measures on the Indian refinery of Nayara Energy as unjustified and illegal,” the company said in a statement on Sunday.
”These sanctions are yet another example of extraterritorial implementation of politically motivated restrictions that blatantly violate international law and infringe on the economic interests of a sovereign state.”
The Russian oil major added that the sanctions on Nayara Energy are another example of the EU’s unfair competition practices.
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Announcing its 18th package of sanctions on Russia over the Ukraine conflict on Friday, the EU also imposed punitive measures on India’s flag registry, the official list of all the ships that fly a country’s flags.
The Vadinar refinery has an annual capacity of 20 million tons. The EU is a major buyer of Russian crude refined at Vadinar, according to media reports.
Rosneft clarified that it does not hold a controlling stake in Nayara, as it owns less than 50% of the company’s authorized capital.
Calling the sanctions on Nayara “far-fetched and false in content,” it said the company is an Indian entity, taxed in India, with profits reinvested in India’s refinery, petrochemical, and retail network.
”The imposition of sanctions against the refinery directly threatens India’s energy security and will have a negative impact on its economy,” Rosneft added.
In a statement on Friday, the Indian Foreign Ministry said New Delhi “does not subscribe to any unilateral sanction measures” and is a “responsible actor” in the global energy sector.
