U.S. Department of State

08/23/2024 | Press release | Distributed by Public on 08/23/2024 11:40

New Measures to Degrade Russia’s Wartime Economy

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New Measures to Degrade Russia's Wartime Economy

Fact Sheet

Office of the Spokesperson

August 23, 2024

Today, the United States is sanctioning nearly 400 entities and individuals for enabling Russia's prosecution of its illegal war in Ukraine. With this action, the Department of State is imposing sanctions on more than 190 individuals and entities. Concurrently, the Department of the Treasury is designating nearly 200 individuals and entities. For information about Treasury's actions, please see their press release.

The Department of State's designations aim to disrupt sanctions evasion and target entities in multiple third countries, including the People's Republic of China (PRC). The Department is also taking new steps to sanction entities supporting the development of Russia's Arctic LNG 2 and other future energy projects. Additional designations target Russia's military-industrial base incorporating sanctions on Belarusian entities and individuals supporting Russia's war machine. Multiple designations focus on Russian air cargo logistics entities supporting Russia's war effort and subsidiaries of State Atomic Energy Corporation Rosatom.

All targets are being designated pursuant to Executive Order (E.O.) 14024, as amended, which authorizes sanctions with respect to specified harmful foreign activities of the Government of the Russian Federation.

The United States will continue to use all tools at its disposal to disrupt support for Russia's military-industrial base and curtail the Kremlin's ability to exploit the international financial system and generate revenue in furtherance of its war against Ukraine. We continue to stand in solidarity with Ukrainians in defending their homeland from Russia's aggression.

DISRUPTING SANCTIONS EVASION AND BACKFILLING EFFORTS

The Department seeks to disrupt the networks and channels through which Russia can procure technology and equipment from third countries to support its war effort. Today's designations target producers, exporters, and importers of items critical to Russia's military-industrial base. Those items include microelectronics and computer numerical control items (CNC) on the Common High Priority List (CHPL), as identified by the U.S. Department of Commerce's Bureau of Industry and Security (BIS) alongside the European Union (EU), United Kingdom (UK), and Japan. Entities based in the PRC, Hong Kong, United Arab Emirates (UAE), the Kyrgyz Republic, Kazakhstan, and Türkiye, among other countries, continue to sell these items and other key dual-use goods to Russia, including critical components that Russia relies on for its weapons systems.

Targeting PRC Entities Supporting Russia's Military-Industrial Base

We remain concerned by the magnitude of dual-use goods exports from the PRC to Russia. Russia continues to leverage sanctions evasion and circumvention networks to procure CHPL microelectronics and CNC tools (machine tools), which it uses to make weapons. Imports from the PRC are filling critical gaps in Russia's defense production cycle, thereby enabling it to produce weapons, ramp up defense production, and bolster its military-industrial base.

Today, the Department is also designating several PRC-based entities that have supplied goods supporting Russia's war effort, including ones responsible for developing, producing, and supplying manufacturing equipment to entities based in Russia. Specifically, these designations target producers and exporters of CNC items critical to Russia's military-industrial base, including entities that have shipped goods directly to U.S.-designated entities in Russia.

Pursuant to section 1(a)(i) of E.O. 14024, as amended, the following entities are being designated for operating or having operated in the manufacturing sector of the Russian Federation economy:

  • DONGGUAN SHENGYIN CNC EQUIPMENT CO LTD is a PRC-based company involved in the supply of more than $12 million worth of CHPL items such as CNC machine tools and components to Russian companies from June 2023 to at least April 2024, including the U.S.-designated, Russia-based LIMITED LIABILITY COMPANY I MACHINE TECHNOLOGY.
  • GENERAL TECHNOLOGY GROUP DALIAN MACHINE TOOL IMPORT & EXPORT CO LTD is a PRC-based company involved in the supply of more than $4 million worth of CHPL items such as CNC machine tools and components to Russian companies from February 2023 to at least January 2024, including the U.S. designated, Russia-based LLC MASHIMPORT.

Pursuant to section 1(a)(i) of E.O. 14024, as amended, the following entities are being designated for operating or having operated in the technology sector of the Russian Federation economy:

  • CHENGDU JINGXIN TECHNOLOGY CO LTD is a PRC-based company involved in the supply of more than $3 million worth of CHPL items such as electronic components to Russian customers from April 2023 to at least December 2023, including the U.S.-designated, Russia-based NAUCHNO PROIZVODSTVENNOE PREDPRIYATIE ITELMA.
  • SHENZHEN HUASHUO SEMICONDUCTOR CO LTD is a PRC-based company involved in the supply of more than $600,000 worth of CHPL items such as electronic components to Russian customers from April 2023 to at least December 2023, including the U.S.-designated, Russia-based NAUCHNO PROIZVODSTVENNOE PREDPRIYATIE ITELMA.
  • AGU INFORMATION TECHNOLOGY CO LIMITED (AGU INFORMATION) is a Hong Kong-based company involved in the supply of more than $58 million worth of CHPL items such as electronic components to Russian customers between January 2023 and October 2023, including the U.S.-designated, Russia-based EASTERN TRADE LIMITED LIABILITY COMPANY and OOO VNESHEKOSTIL. AGU INFORMATION supplied technology products to EASTERN TRADE LIMITED LIABILITY COMPANY as of January 2024.
  • TIME ART INTERNATIONAL LIMITED is a Hong Kong-based company involved in the supply of more than $9 million worth of CHPL items such as electronic components to Russian customers from February 2023 to at least January 2024.
  • GUANGZHOU CHIPHOME INFORMATION TECHNOLOGY LIMITED is a PRC-based company involved in the supply of more than $3 million worth of CHPL items such as electronic components to Russian customers from April 2023 to December 2023.
  • YIWU WEISHUO IMPORT AND EXPORT CO LTD is a PRC-based company involved in the supply of more than $3 million worth of CHPL items such as electronic components to Russian customers from April 2023 to at least January 2024, including the U.S.-designated, Russia-based LLC IQ COMPONENTS.

Targeting Special Technology Center's Procurement Network Used for the Manufacture of the Orlan Drone

The Department is designating entities and individuals involved in supplying microelectronic and engine components to the Russia-based, U.S.-designated SPECIAL TECHNOLOGY CENTER (STC), the company responsible for the manufacture of the Orlan series of surveillance and reconnaissance drones, which are commonly employed by Russia in its war against Ukraine. STC relies on a large procurement network of Russian intermediaries and companies based in the UAE, PRC, Hong Kong, and Türkiye to evade sanctions and supply the Russian Ministry of Defense and Russian military entities with drone and anti-drone systems. This action follows the Department's May 19, 2023, designation of eight entities engaged in the procurement of engine parts and export-controlled components for STC.

Pursuant to section 1(a)(i) of E.O. 14024, as amended, the following entities and individuals are being designated for operating or having operated in the technology sector of the Russian Federation economy:

  • LIMITED LIABILITY COMPANY LEGION KOMPLEKT (LEGION KOMPLEKT) is a Russia-based technology company that is receiving foreign-origin shipments, including CHPL items such as microelectronic components from UAE and PRC-based companies. LEGION KOMPLEKT plays an integral role transferring microelectronic components to STC for the manufacture of Orlan drones ultimately deployed in Ukraine by Russian forces.
  • KIRILL VIKTOROVICH MARKIN is the general director and owner of LEGION KOMPLEKT.
  • O G SERVICES FZE LIMITED LIABILITY COMPANY is a UAE-based company that sent more than 700 shipments of CHPL between August 2023 and December 2023 and more than 600 shipments of CHPL between January 2024 and April 2024 to LEGION KOMPLEKT. These shipments included CHPL items such as microelectronic components.
  • DONGGUAN BINONG TECHNOLOGY CO LTD is a PRC-based company that, between March 2023 and December 2023, sent multiple shipments of CHPL to LEGION KOMPLEKT, which included microelectronic components such as U.S.-origin integrated circuits.
  • LIMITED LIABILITY COMPANY ELESAR GRUPP (ELESAR GRUPP) is a Russia-based technology company that has imported more than $5.3 million worth of shipments of electronic components via PRC and Hong Kong-based companies, including LETT TRONIC GROUP LIMITED and SHENZHEN SHENCHUANGHUI TECHNOLOGY CO LTD. These shipments included CHPL items such as microelectronic components. ELESAR GRUPP received funds from STC and plays an integral role in the transfer of microelectronic components to STC for the manufacture of Orlan drones.
  • ALEKSANDR SERGEYEVICH ERSHOV is the general director and partial owner of ELESAR GRUPP.
  • SHENZHEN SHENCHUANGHUI TECHNOLOGY CO LTD is a PRC-based company that sent more than 1,000 shipments worth more than $2 million of CHPL items such as microelectronic components to ELESAR GRUPP between January 2023 and January 2024.
  • LETT TRONIC GROUP LIMITED (LETT TRONIC) is a Hong Kong-based company that sent more than 300 shipments worth nearly $2 million of CHPL items such as microelectronic components to ELESAR GRUPP, including U.S.-origin integrated circuits, between June 2023 and January 2024. LETT TRONIC sent shipments of CHPL items to several U.S.- designated, Russia-based companies including ROSTAR RESEARCH AND PRODUCTION ASSOCIATION LIMITED LIABILITY COMPANY, MAKRO TIM LIMITED LIABILITY COMPANY, NAUCHNO PROIZVODSTVENNOE PREDPRIYATIE ITELMA, and BEE PITRON LIMITED. LETT TRONIC has sent shipments of CHPL items to Russia on behalf of U.S.-designated, Türkiye-based ASAY IC VE DIS TICARET LIMITED SIRKETI.
  • HWACHENG CO LIMITED is a Hong Kong-based company that sent more than $1 million worth of shipments between 2023 and 2024 that included CHPL items such as microelectronic components to U.S. designated, Russia-based UNISERVICE LIMITED LIABILITY COMPANY. UNISERVICE LIMITED LIABILITY COMPANY plays an integral role in the transfer of microelectronic components to STC for the manufacture of Orlan drones.
  • M STAR INTERNATIONAL TRADING CO LTD (M STAR) is a Hong Kong-based company that sent more than 400 shipments worth more than $2.5 million to U.S.-designated, Russia-based LIMITED LIABILITY COMPANY SMT-ILOGIC between January 2023 and November 2023. M STAR also sent nearly 500 shipments to U.S- designated, Russia-based UNISERVICE LIMITED LIABILITY COMPANY. These shipments included CHPL items such as microelectronic components. LIMITED LIABILITY COMPANY SMT-ILOGIC was designated on May 19, 2023, due to its involvement in a large-scale procurement network to obtain technology for the STC's manufacture of Orlan drones.
  • BEIJING TIMINGTRON CORPORATION is a PRC-based company that sent at least $1.5 million worth of shipments between 2023 and 2024 that included CHPL items such as microelectronic components to a Russia-based company that has sent a significant quantity of shipments to STC. These shipments included G7-origin components from Japan, Germany, and the United States.
  • LIMITED LIABILITY COMPANY STUDIYA PIKSADZHIO(STUDIYAPIKSADZHIO) is a Russia-based technology company that has imported Japanese-origin engines, in addition to CHPL items such as microelectronic components. STUDIYA PIKSADZHIO is integral to STC's ability to manufacture Orlan drones.
  • RUI EN KOO TECHNOLOGY CO LIMITED (RUI EN KOO) is a Hong Kong-based company that sent more than 100 shipments worth more than $1 million of CHPL items such as microelectronic components to STUDIYA PIKSADZHIO, including U.S.-origin integrated circuits, between January 2023 and October 2023. RUI EN KOO was added to the BIS Entity List on October 6, 2023, for providing support to Russia's military and/or defense industrial base, by supplying Russian consignees connected to the Russian defense sector with U.S.-origin integrated circuits.
  • MEDITERRANEAN INTERNATIONAL TRADING DIS TICARET LIMITED SIRKETI (MEDITERRANEAN INTERNATIONAL) is a Türkiye-based company that sent shipments of internal combustion engines of Japanese origin to STUDIYA PIKSADZHIO, which are ultimately used to power STC's Orlan drone, between October 2023 and November 2023. MEDITERRANEAN INTERNATIONAL sent shipments that included CHPL items such as microelectronic components to other Russia-based companies.
  • NET SISTEM DANISMANLIK VE EGITIM HIZMETLERI LIMITED SIRKETI (NET SISTEM) is a Türkiye-based company that sent shipments of internal combustion engines to STUDIYA PIKSADZHIO, which are ultimately used to power STC's Orlan drone, between January 2023 and November 2023. NET SISTEM sent shipments that included CHPL items such as microelectronic components of U.S.-origin to STUDIYA PIKSADZHIO between January 2023 and June 2023.

Pursuant to section 1(a)(i) the following entity is being designated for operating or having operated in the manufacturing sector of the Russian Federation economy:

  • LIMITED LIABILITY RUSTEKH TD(RUSTEKH TD) is a Russia-based manufacturing company that regularly imports shipments from STUDIYA PIKSADZHIO, in addition to foreign-origin shipments that include CHPL items such as microelectronic components. RUSTEKH TD received more than $1.5 million from STC and has played an integral role in the transfer of microelectronic components for the manufacture of Orlan drones.

Targeting Maxim Marchenko's Illicit Procurement Network

The Federal Bureau of Investigation arrested Maxim Marchenko, a Russian national, in September 2023 for money laundering and smuggling dual-use, military grade microelectronics from the United States to Russia-based end users. Marchenko had previously used Hong Kong-based, U.S.-designated companies NEWAY TECHNOLOGIES LIMITED and RG SOLUTIONS LIMITED to facilitate the illicit procurement network of microelectronic components.

The Department is taking further action to designate other elements of Maxim Marchenko's illicit procurement network that were developed to acquire dual-use items in support of Russia's war against Ukraine. Marchenko leveraged Türkiye-based KAYRA ELEKTRONIK LIMITED SIRKETI (KAYRA), Hong Kong-based ALICE COMPONENTS CO LTD (ALICE COMPONENTS), and Russia-based RADIOFID SYSTEMS (RADIOFID) for these procurement activities. KAYRA shipped CHPL items such as microelectronic components, including tens of thousands of dollars of goods that were shipped to ALICE COMPONENTS. ALICE COMPONENTS shipped more than $475,000 worth of CHPL items such as microelectronic components in January 2024 alone to companies based in Russia. RADIOFID received at least $475,000 worth of CHPL items such as microelectronic components from ALICE COMPONENTS.

ALICE COMPONENTS and RADIOFID are being designated pursuant to section 1(a)(i) of E.O. 14024 for operating or having operated in the technology sector of the Russian Federation economy. KAYRA is being designated pursuant to section 1(a)(vi)(B) of E.O. 14024 for having materially assisted, sponsored, or provided financial, material, or technological support for, or goods or services to or in support of ALICE COMPONENTS.

Targeting Companies Facilitating Sanctions Evasion in Russia, Türkiye, UAE, Kyrgyz Republic, and Kazakhstan

The Department is designating the following Türkiye-based companies and their Russia-based trading partners:

Pursuant to section 1(a)(i), the following entities are being designated for operating or having operated in the technology sector of the Russian Federation economy:

  • OBSHCHESTVO S OGRANICHENNOY OTVETSTVENNOSTYU 1M is a Russia-based company that received more than $220,000 worth of CHPL items such as microelectronic components, including from LGM PROCESS DIS TICARET LIMITED, between March and April 2023.
  • LGM PROCESS DIS TICARET LIMITED is a Türkiye-based company that sent more than $220,000 worth of CHPL items such as microelectronic components of U.S. origin to companies in Russia, including OBSHCHESTVO S OGRANICHENNOY OTVETSTVENNOSTYU 1M, between March and June 2023.
  • DEIN DANISMANLIK PAZARLAMA VE TICARET ANONIM SIRKETI (DEIN DANISMANLIK PAZARLAMA) is a Türkiye-based company that sent more than $18 million worth of shipments that included CHPL items such as microelectronic components to companies in Russia between January and December 2023.

Pursuant to section 1(a)(i), the following entity is being designated for operating or having operated in the manufacturing sector of the Russian Federation economy:

  • META CNC SANAYI VE TICARET LIMITED SIRKETI is a Türkiye-based company that has sent approximately $300,000 worth of shipments that included CHPL items such as CNC machine tools and manufacturing components to companies in Russia between October 2023 and January 2024.

The Department is designating the following UAE-based companies and their Russia-based trading partners:

Pursuant to section 1(a)(i), the following entities are being designated for operating or having operated in the technology sector of the Russian Federation economy:

  • S M S TELECOM FZCO is a UAE-based company that facilitated shipments to Russian companies totaling approximately $10 million between December 2023 and January 2024, including CHPL items such as microelectronics and computing devices. S M S TELECOM FZCO lists U.S.-designated, Iran-based MAHAN AIR and Russian airliners as clients.
  • SKY WALK COMPANY FZCO is a UAE-based company that facilitated shipments to Russian companies totaling approximately $55 million worth of goods between July 2023 and January 2024, including CHPL items such as microelectronic components.
  • COMUS FZCO is a UAE-based company that has sent approximately $700,000 worth of CHPL items such as microelectronic components and radio navigational equipment to companies in Russia, including LLC TU RITEYL, between April and July 2023.
  • COMUS INTERNATIONAL FZCO is a UAE-based company that sent approximately $120,000 worth of CHPL items such as microelectronic components to companies in Russia between October 2023 and January 2024.
  • DIGTLWORLD LIMITED LIABILITY COMPANY is a UAE-based company that sent approximately $900,000 worth of CHPL items such as microelectronic components and radionavigation equipment to companies in Russia, including LLC TU RITEYL, between June 2023 and December 2023.
  • LIMITED LIABILITY COMPANY TU RITEYL is a Russia-based company that received approximately $900,000 worth of CHPL items such as microelectronic components and radionavigation equipment between June 2023 and December 2023, including from DIGTLWORLD LIMITED LIABILITY COMPANY.
  • EXGO INTERNATIONAL FZCO is a UAE-based company that facilitated shipments of CHPL items such as microelectronic components to companies in Russia between February 2023 and October 2023.
  • LIMITED LIABILITY COMPANY MENSOR GRUPP is a Russia-based company that received shipments of CHPL items such as microelectronic components, including in the care of EXGO INTERNATIONAL FZCO, between October 2023 and February 2024.
  • WORLD VISION FREIGHT SYSTEMS FZE is a UAE-based company that sent approximately $250,000 USD worth of BIS CHPL-identified microelectronic components through LGM PROCESS DIS TICARET LIMITED to companies in Russia, including PEARL LOTUS LIMITED LIABILITY COMPANY, between March 2023 and April 2023.
  • PEARL LOTUS LIMITED LIABILITY COMPANY is a Russia-based company that received nearly $260,000 worth of CHPL items such as microelectronic components, including from WORLD VISION FREIGHT SYSTEMS FZE through LGM PROCESS DIS TICARET LIMITED, between March 2023 and January 2024.

The Department is designating the following Kyrgyz Republic-based company pursuant to section 1(a)(i), for operating or having operated in the technology sector of the Russian Federation economy:

  • LIMITED LIABILITY COMPANY AKFORTA (LLC AKFORTA) is a Kyrgyz Republic-based company that sent approximately $700,000 worth of CHPL items such as microelectronic components to companies in Russia in January 2024.

The Department is designating the following Kazakhstan-based company pursuant to section 1(a)(i), for operating or having operated in the technology sector of the Russian Federation economy:

  • CATU TECH LIMITED LIABILITY (CATU TECH) is a Kazakhstan-based company that has sent more than 30 shipments of CHPL items such as microelectronic components to Russia-based companies between January 2023 and at least January 2024.

The Department is designating the following Russia-based companies pursuant to section 1(a)(i), for operating or having operated in the technology sector of the Russian Federation economy:

  • LIMITED LIABILITY COMPANY SOL GROUP (SOL GROUP) is a Russia-based company that has imported approximately $8.5 million worth of shipments that included CHPL items such as microelectronic components between April 2023 and December 2023.
  • LIMITED LIABILITY COMPANY KATRADE (KATRADE) is a Russia-based company that has imported approximately $7.5 million worth of shipments that included CHPL items such as microelectronic components between March 2023 and December 2023.
  • LIMITED LIABILITY COMPANY STOTECHNO (STOTECHNO) is a Russia-based company that has imported approximately $7.8 million worth of shipments that included CHPL items such as microelectronic components between November 2023 and December 2023.
  • LIMITED LIABILITY COMPANY SPETSPROEKT 2 (SPETSPROEKT 2) is a Russia-based company that has imported approximately $52 million worth of shipments that included CHPL items such as microelectronic components and radio navigation equipment between March 2023 and November 2023.
  • LIMITED LIABILITY COMPANY COMBIT (COMBIT) is a Russia-based company that has imported approximately $64 million worth of shipments that included CHPL items such as microelectronic components between January 2023 and December 2023.

Pursuant to section 1(a)(i), the following Russia-based entities are being designated for operating or having operated in the aerospace sector of the Russian Federation economy:

  • LIMITED LIABILITY COMPANY OBYEDINENIYE POSTAVSHIKOV (OBYEDINENIYE POSTAVSHIKOV) imported approximately $19 million worth of shipments that included CHPL items such as microelectronic components and aviation components of U.S.-origin between March 2023 and December 2023.
  • LIMITED LIABILITY COMPANY PROTEKTOR (PROTEKTOR) imported approximately $91 million worth of shipments that included CHPL items such as microelectronic components, radio navigation equipment, and aviation components of U.S.-origin between January 2023 and September 2023.
  • LIMITED LIABILITY COMPANY QUANTUM (QUANTUM) imported approximately $11.6 million worth of shipments that included CHPL items such as microelectronics and aviation components of EU and U.S.-origin between January 2023 and December 2023.

Targeting a Tunisian Port Agent Supporting Blocked a Russian Vessel

The Department is designating one company that provided ship agent services to a blocked Russia-flagged vessel, MEKHANIK MAKARIN, which is owned by the U.S.-designated NORTHERN SHIPPING COMPANY. STE SOKAMAR SHIPPING AGENCY (SOKAMAR) is a Tunisia-based entity that served as a consignee and port agent for MEKHANIK MAKARIN on at least six occasions.

SOKAMAR is being designated pursuant to section 1(a)(vi)(B), for having materially assisted, sponsored, or provided financial, material, or technological support for, or goods or services to or in support of NORTHERN SHIPPING COMPANY, a person whose property and interests in property are blocked pursuant to E.O. 14024.

DISRUPTING RUSSIA'S FUTURE ENERGY PRODUCTION AND EXPORTS

The Department is designating multiple companies related to the Arctic LNG 2 project to further disrupt the project's ability to produce and export liquefied natural gas (LNG), as well as the project's ability to procure critical LNG carriers. These designations include entities involved in the illicit loading of LNG from the Arctic LNG 2 project in early August. The Department is also designating multiple companies involved in the development of other major Russian future energy projects.

Targeting Shipping Companies that Loaded and Transported LNG from the Arctic LNG 2 Project

In an attempt to circumvent U.S. sanctions on, and revitalize, Russia's Arctic LNG 2 project, Russian companies have engaged in efforts to procure secondhand LNG tankers, predominantly through front companies in third country jurisdictions, to make up for a critical shortage of available tankers for the Arctic LNG 2 project. Pioneer and Asya Energy are LNG carriers that were recently acquired by OCEAN SPEEDSTAR SOLUTIONS OPC PRIVATE LIMITED (OCEAN SPEEDSTAR SOLUTIONS). Pioneer and Asya Energy entered Russian territorial waters in late July 2024 and proceeded to engage in a number of deceptive shipping practices, such as shutting off the vessels' automatic identification system (AIS), as well as manipulating the vessels' AIS to broadcast false locations. While producing a false AIS signature, Pioneer proceeded to the Utrenneye terminal at the Arctic LNG 2 project and was captured by commercial satellite imagery loading LNG from the Arctic LNG 2 facility from August 1 to August 3, 2024. Similarly, from August 9 to August 11, Asya Energy was captured by commercial satellite imagery loading LNG from the Utrenneye terminal at the Arctic LNG 2 facility. Today's actions demonstrate the Department's commitment to enforcing our sanctions on the project.

The Department is designating the following entities pursuant to section 1(a)(vi)(B), for having materially assisted, sponsored, or provided financial, material, or technological support for, or goods or services to or in support of LLC ARCTIC LNG 2, a person whose property and interests in property are blocked pursuant to E.O. 14024.

  • ZARA SHIPHOLDING CO (ZARA SHIPHOLDING) is the registered owner of PIONEER, an LNG carrier that has engaged in the loading and transport of LNG from the Arctic LNG 2 project.
  • OCEAN SPEEDSTAR SOLUTIONS is a company responsible for the management and operation of PIONEER and ASYA ENERGY, two LNG carriers that have engaged in the loading and transport from the Arctic LNG 2 project, as well as one additional LNG tanker.

    The following three vessels are being identified as property in which OCEAN SPEEDSTAR SOLUTIONS has an interest:
  • PIONEER
  • ASYA ENERGY
  • EVEREST ENERGY

Targeting Additional Companies Related to the Arctic LNG 2 Project

The Department is designating NOVATEK CHINA HOLDINGSCO LTD(NOVATEK CHINA HOLDINGS), a PRC-based company established in August 2023 involved in the implementation of a marketing program for LNG from the Arctic LNG 2 project. NOVATEK CHINA HOLDINGS is being designated pursuant to section 1(a)(i), for operating or having operated in the management consulting sector of the Russian Federation economy.

Additionally, the Department is designating LIMITED LIABILITY COMPAMY EKROPROMSTROY(EKROPROMSTROY), a Russia-based construction project management company used as a special purpose vehicle for the sale of equity stakes in U.S.-designated LLC ARCTIC LNG 2 to foreign project investors. EKROPROMSTROY is being designated pursuant to section 1(a)(i), for operating or having operated in the construction sector of the Russian Federation economy.

Finally, the Department is designating WATERFALL ENGINEERING LTD (WATERFALL ENGINGEERING), a UAE-based company that provided gravity-based structure parts to U.S.-designated LLC ARCTIC LNG 2 throughout 2023. WATERFALL ENGINEERING is being designated pursuant to section 1(a)(vi)(B), for having materially assisted, sponsored, or provided financial, material, or technological support for, or goods or services to or in support of LLC ARCTIC LNG 2, a person whose property and interests in property are blocked pursuant to E.O. 14024.

Targeting Russia's Procurement of LNG Tankers

The Department is designating WHITE FOX SHIP MANAGEMENT FZCO (WHITE FOX), a UAE-based ship management company which manages four LNG carriers that have transshipped LNG from Russia's Yamal LNG project, despite being originally intended for use with the Arctic LNG 2 project. The acquisition of these four vessels represents an expansion of Russia's existing LNG fleet and export capacity, an expansion that we have committed to blocking. Further, this transshipment of LNG by vessels with obfuscated ownership could eventually help Russia circumvent EU restrictions prohibiting the transshipment of Russian-origin LNG through European ports.

WHITE FOX is being designated pursuant to section 1(a)(i), for operating or having operated in the transportation sector of the Russian Federation economy.

The following four vessels are being identified as property in which WHITE FOX has an interest:

  • NORTH WAY
  • NORTH AIR
  • NORTH MOUNTAIN
  • NORTH SKY

Continued Targeting of the Vostok Oil Project

The Department is designating 10 companies involved in the continued development of pipeline infrastructure for Russia's Vostok Oil project. The Vostok Oil project is a major Russian oil development project from which Russia plans to export upwards of 100 million tons of oil per year. Today's actions are intended to slow down or halt further construction and logistics operations within the Vostok Oil project.

Pursuant to section 1(a)(i), the following entities are being designated for operating or having operated in the construction sector of the Russian Federation economy:

  • LIMITED LIABILITY COMPANY MEZHREGIONSTROY (LLC MRS) is a Russia-based construction company that is engaged in the construction and installation of pipelines for the Vostok Oil Project.
  • LIMITED LIABILITY COMPANY STROYITELNAYA DNOUGLUBITELNAYA KOMPANIA (LLC CDC) is a Russia-based subsidiary of LLC MRS. LLC CDC provides services for the construction of the Vostok Oil project's marine oil terminal at the Bukhta Sever port.

Pursuant to Section 1(a)(vii), the following entities are being designated for being owned or controlled by, or having acted or purported to act for or on behalf of, directly or indirectly, LLC MRS. They are all subsidiaries of LLC MRS:

  • LIMITED LIABILITY COMPANY MEZHREGIONGIDROSTROY
  • LIMITED LIABILITY COMPANY MEZHREGIONSTROY RVS
  • LIMITED LIABILITY COMPANY REGIONALNYE PROEKTNO STROITELNYE SISTEMY
  • LIMITED LIABILITY COMPANY EPLEKS GRUPP
  • LIMITED LIABILITY COMPANY INTERREGIONGASCONSTRUCTION
  • LIMITED LIABILITY COMPANY SD RUD
  • LIMITED LIABILITY COMPANY TECHSTROYKOMPLEKS
  • MEZHREGIONSTROJ OOO MAGYARORSZAGI FIOKTELEPE

Targeting the Yakutia LNG Project

The Department is designating entities involved in the development of LNG production and subsequent energy export from the Yakutia region of Russia to the PRC, including the future Yakutia LNG project, one of the largest prospective LNG production projects in Russia.

Pursuant to section 1(a)(i), the following entities are being designated for operating or having operated in the construction sector of the Russian Federation economy:

  • LIMITED LIABILITY COMPANY POWER OF YAKUTIA (POWER OF YAKUTIA) is a Russia-based company that was newly created for the construction and facilitation of LNG-generated electricity exports to the PRC.
  • LIMITED LIABILITY COMPANY YAKUTSTROIPROEKT (YAKUTSTROIPROEKT) is a Russia-based company responsible for constructing well pads, pipelines, electrical infrastructure, performing geodetic surveys, and preparing seismic profiles for exploration work in the Yakutia region of Russia.
  • LIMITED LIABILITY COMPANY LIQUIFIED NATURAL GAS YAKUTIA (LNG YAKUTIA) is a Russia-based company conducting site preparation for a future project intended to export LNG to the PRC.

Pursuant to section 1(a)(i), the following entity is being designated for operating or having operated in the metals and mining sector of the Russian Federation economy:

  • PUBLIC JOINT STOCK COMPANY YAKUTSKAYA TOPLIVNO ENERGETICHESKAYA KOMPANIYA (YATEC) is a regional natural gas producer implementing the Yakutia LNG project, one of the largest LNG production projects in Russia. YATEC is responsible for management, construction, and operation of the 810-mile pipeline route to deliver natural gas from Yakutia to the Sea of Okhotsk for liquefaction and export.

Pursuant to section 1(a)(vii), the following entities are being designated for being owned or controlled by or having acted or purported to act for or on behalf of, directly or indirectly, YATEC. They are all Russia-based subsidiaries of YATEC:

  • LIMITED LIABILITY COMPANY YATEK LOGISTIKA
  • LIMITED LIABILITY COMPANY VOSTOCHNO SIBIRSKAYA KOMPANIYA
  • LIMITED LIABILITY COMPANY MAIGEOPROM
  • LIMITED LIABILITY COMPANY YATEK INVEST

Pursuant to section 1(a)(i), the following entity is being designated for operating or having operated in the marine sector of the Russian Federation economy:

  • LIMITED LIABILITY COMPANY REMSTAL is a Russia-based seaport infrastructure company, responsible for the construction of the first marine terminal for the transshipment of liquefied petroleum gas in Russia's far east Sovetskaya Gavan port.

TARGETING AN ENTITY INVOLVED IN A DARK SHIP-TO-SHIP OIL TRANSFER WITH A BLOCKED TANKER

The Department is designating JIANG PING SHIPPING INCORPORATED, a Panama-based company that owned and operated a crude oil tanker that facilitated a ship-to-ship transfer with a blocked JSC SOVCOMFLOT-owned tanker, SCF PRIMORYE. SCF PRIMORYE conducted this ship-to-ship transfer with both vessels' AIS de-activated in an attempt to conceal the activity.

JIANG PING SHIPPING INCORPORATED is being designated pursuant to section 1(a)(vi)(B), for having materially assisted, sponsored, or provided financial, material, or technological support for, or goods or services to or in support of JSC SOVCOMFLOT, a person whose property and interests in property are blocked pursuant to E.O. 14024.

TARGETING RUSSIA'S METALS AND MINING INDUSTRY

The Department continues to designate companies in Russia's metals and mining industry to further constrain Russia's revenue generation capacity and degrade its military-industrial base. Today, the Department is designating top Russian coal producers and exporters, as well as one of Russia's largest diamond and jewelry retailers.

Stroyservis Coal Network

The Department is designating the following entities pursuant to section 1(a)(i), for operating or having operated in the metals and mining sector of the Russian Federation economy. They are all Russia-based companies within the Stroyservis group of companies:

  • LIMITED LIABILITY COMPANY RAZREZ BEREZOVSKIY is a coal mining company in Kuzbass, Russia.
  • LIMITED LIABILITY COMPANY RAZREZ PERMYAKOVSKIY is a coal processing company in Russia.
  • LIMITED LIABILITY COMPANY SOVMESTNOE PREDPRIYATIE BARZASSKOYE TOVARISHCHESTVO is a coal producer.
  • JOINT STOCK COMPANY RAZREZ SHESTAKI is a producer of coking coal.
  • LIMITED LIABILITY COMPANY SHAKHTA N 12 is a coal producer.
  • JOINT STOCK COMPANY STROISERVIS (STROYSERVIS) is the main coal mining company within the Russia-based Stroyservis group of companies.

Pursuant to section 1(a)(vii), the following entities are being designated for being owned or controlled by or having acted or purported to act for or on behalf of, directly or indirectly, STROYSERVIS.

  • STROYSERVIS TRADING LIMITED is a Cyprus-based subsidiary of STROYSERVIS.
  • LIMITED LIABILITY COMPANY KAPITAL GRUPP is a Russia-based subsidiary of STROYSERVIS.

Pursuant to section 1(a)(i), the following entities are being designated for operating or having operated in the transportation sector of the Russian Federation economy. They are both Russia-based companies within the Stroyservis group of companies:

  • LIMITED LIABILITY COMPANY BELOVSKII PROMYSHLENNYI ZHELEZNODOROZHNYI TRANSPORT (BELOVOPROMZHELDORTRANS) provides freight transport services on behalf of STROYSERVIS.
  • LIMITED LIABILITY COMPANY BELTRANS provides repair and maintenance services for cars and mining equipment on behalf of STROYSERVIS.

Pursuant to section 1(a)(i), the following Russia-based entities are being designated for operating or having operated in the manufacturing sector of the Russian Federation economy:

  • LIMITED LIABILITY COMPANY BRIZANT is a manufacturing company
  • OPEN JOINT STOCK COMPANY GUBAKHINSKIY KOKS is a chemical production facility.

Mechel Mining Coal Network

Pursuant to section 1(a)(i), the following entity is being designated for operating or having operated in the financial services sector of the Russian Federation economy:

  • JOINT STOCK COMPANY MECHEL MAINING (MECHEL MINING) is a Russia-based holding company of a large coal mining and export network.

Pursuant to section 1(a)(vii), the following entities are being designated for being owned or controlled by, or having acted or purported to act for or on behalf of, directly or indirectly, MECHEL MINING. They are both Russia-based subsidiaries of MECHEL MINING:

  • LIMITED LIABILITY COMPANY CHELYABINSKIY ZAVOD PO PROIZVODSTVU KOKSOKHIMICHESKOY PRODUKTSII
  • LIMITED LIABILITY COMPANY MECHEL INFORMATSIONNYYE TEKHNOLOGII

Pursuant to section 1(a)(i), the following entity is being designated for operating or having operated in the metals and mining sector of the Russian Federation economy:

  • JOINT STOCK COMPANY HOLDING COMPANY YAKUTUGOL (YAKUTUGOL) is a Russia-based coal mining company and the main coal exporting company within the MECHEL MINING network.

Pursuant to section 1(a)(vii), the following entity is being designated for being owned or controlled by, or having acted or purported to act for or on behalf of, directly or indirectly, YAKUTUGOL:

  • LIMITED LIABILITY COMPANY SAKHA DOICH DIAMANT is a Russia-based subsidiary of YAKUTUGOL.

Pursuant to section 1(a)(i), the following entities are being designated for operating or having operated in the metals and mining sector of the Russian Federation economy. They are all Russia-based companies within the MECHEL MINING network:

  • LIMITED LIABILITY COMPANY YAKUTSKAYA RUDNAYA KOMPANIYA is operator of the Sivaglinsky iron ore deposit.
  • PUBLIC JOINT STOCK COMPANY KORSHUNOV MINING PLANT is an industrial complex and iron ore processor.
  • PUBLIC JOINT STOCK COMPANY UGOLNAYA KOMPANIYA YUZHNYI KUZBASS (YUZHNYI KUZBASS) is a company which extracts, processes, and enriches coal.

Pursuant to section 1(a)(vii), the following entity is being designated for being owned or controlled by, or having acted or purported to act for or on behalf of, directly or indirectly, YUZHNYI KUZBASS:

  • LIMITED LIABILITY COMPANY SP ROMANTIKA is a Russia-based subsidiary of YUZHNYI KUZBASS.

Pursuant to section 1(a)(i), the following entity is being designated for operating or having operated in the management consulting sector of the Russian Federation economy:

  • LIMITED LIABILITY COMPANY UPRAVLYAYUSHCHAYA KOMPANIYA MECHEL MAINING is the Russia-based management company of YAKUTUGOL, the main coal exporting company within the MECHEL MINING network.

SDS Ugol Coal Mining Network

Pursuant to section 1(a)(i), the following entity is being designated for operating or having operated in the financial services sector of the Russian Federation economy:

  • JOINT STOCK COMPANY HOLDINGOVAYA KOMPANIYA SDS UGOL (SDS UGOL) is a Russia-based holding company for the SDS UGOL network, a top Russian coal export enterprise.

Pursuant to section 1(a)(vii), the following entities are being designated for being owned or controlled by, or having acted or purported to act for or on behalf of, directly or indirectly, SDS UGOL. They are all Russia-based subsidiaries of SDS UGOL:

  • LIMITED LIABILITY COMPANY SIBIRSKIY INSTITUT GORNOVO DELA 
  • LIMITED LIABILITY COMPANY SERVISNYY TSENTR SDS UGOL
  • LIMITED LIABILITY COMPANY TORGOVYY DOM SDS TREYD
  • LIMITED LIABILITY COMPANY SDS INNOVATSII
  • JOINT STOCK COMPANY SIBUGOLINVEST

Pursuant to section 1(a)(i), the following entities are being designated for operating or having operated in the metals and mining sector of the Russian Federation economy. They are all Russia-based coal mining companies within the SDS UGOL Network:

  • LIMITED LIABILITY COMPANY SHAKHTOUPRAVLENIYE MAISKOYE
  • JOINT STOCK COMPANY CHERNIGOVETS
  • JOINT STOCK COMPANY SALEK
  • LIMITED LIABILITY COMPANY SHAKHTA LISTVYAZHNAYA (SHAKHTA LISTVYAZHNAYA)
  • LIMITED LIABILITY COMPANY ENERGETICHESKAYA KOMPANIYA SIBMAINING

Pursuant to section 1(a)(vii), the following entity is being designated for being owned or controlled by, or having acted or purported to act for or on behalf of, directly or indirectly, SHAKHTA LISTVYAZHNAYA:

  • LIMITED LIABILITY COMPANY TVK is a Russia-based subsidiary of SHAKHTA LISTVYAZHNAYA.

Targeting Russia's Diamond Industry

The Department is designating the following entities pursuant to section 1(a)(i), for operating or having operated in the manufacturing sector of the Russian Federation economy:

  • OPEN JOINT STOCK COMPANY MOSKOVSKII YUVELIRNYA ZAVOD (MOSCOW JEWELRY FACTORY) is a Russia-based company that manufactures and sells medals, diamonds, and jewelry made with diamonds and other precious stones.
  • JOINT STOCK COMPANY PROIZVODSTVENNOE OBYEDINENIE KRISTALL is Russia's largest diamond polisher and a leading high-tech center for the production of diamonds that have been mined and cut in Russia.

MAINTAINING PRESSURE ON ROSATOM

This is the ninth Russia sanctions action that includes designations of State Atomic Energy Corporation Rosatom (Rosatom) subsidiaries. The Department continues to designate Rosatom entities and individuals involved in Russia's nuclear weapons complex and defense sector, nuclear power plant construction exports, development of advanced technologies and materials, extractive industries and associated businesses, and Rosatom's malign activities including the occupation of Zaporizhzhia Nuclear Power Plant in Ukraine. Today's targets include Rosatom entities and individuals involved in the production of nuclear weapons and construction of Rosatom enterprises.

Pursuant to section 1(a)(i), the following entity and individual are being designated for operating or having operated in the defense and related materiel sector of the Russian Federation economy:

  • K A VOLODIN INSTRUMENT ENGINEERING PLANT FEDERAL STATE UNITARY ENTERPRISE (IEP FSUE) is a subsidiary of Rosatom that has been involved in state defense contracts for the production of nuclear weapons.
  • VLADISLAV VLADIMIROVICH BELOBROV has been the General Director of IEP FSUE.

Pursuant to section 1(a)(vii), the following entity is being designated for being owned or controlled by, or having acted or purported to act for or on behalf of, directly or indirectly, the Government of the Russian Federation:

  • ISTOK ENGINEERING AND CONSTRUCTION JOINT STOCK COMPANY is a subsidiary of Rosatom involved in engineering and construction services for Rosatom enterprises in Russia.

FURTHER CONSTRAINING RUSSIA'S MILITARY-INDUSTRIAL BASE

The Department continues to designate companies supporting Russia's military-industrial base and manufacturing industries and will remain steadfast in its efforts to identify suppliers of key raw materials and finished products used in Russia's war against Ukraine. Today, the Department is designating the following companies involved in the import of critical minerals for the production of aerospace-grade titanium, and entities involved in the manufacture of cranes, heavy machinery, bullet proof glass, protective armor, and optics.

Continuing to Target Russia's War Time Titanium Production

LIMITED LIABILITY COMPANY ASR (ASR) is one of Russia's largest importers of titanium ores, a key precursor in the production of aerospace-grade titanium. ASR imports titanium ores for large Russian aerospace-grade titanium producers supplying the Russian military-industrial base. ASR is being designated pursuant to section 1(a)(i), for operating or having operated in the metals and mining sector of the Russian Federation economy.

Targeting Russia's Heavy Machinery and Crane Production

The Department is designating the following entities pursuant to section 1(a)(i), for operating or having operated in the manufacturing sector of the Russian Federation economy:

  • LIMITED LIABILITY COMPANY URALKRAN is a Russia-based manufacturer of heavy lift equipment, including bridge and gantry cranes.
  • JOINT STOCK COMPANY EXMASH is a Russia-based manufacturer of heavy equipment, including excavators that are used in the mining and construction industries.
  • JOINT STOCK COMPANY TECHNOROS is a Russia-based manufacturer of lifting equipment, including mining cranes and excavating machinery. 
  • JOINT STOCK COMPANY GALICHSKII AVTOKRANOVYI ZAVOD is a Russia-based manufacturer of mobile cranes.
  • LIMITED LIABILITY COMPANY ITECO KRAN is a Russia-based manufacturer of lifting equipment, including bridge, gantry, and other special purpose cranes.
  • CLOSED JOINT STOCK COMPANY SMM is a Russia-based manufacturer of heavy lift equipment for ports, shipyards, and industrial enterprises.

Targeting Russia's Bullet Proof Glass, Armor, and Optics Industries

The Department is designating the following entities pursuant to section 1(a)(i), for operating or having operated in the manufacturing sector of the Russian Federation economy:

  • JOINT STOCK COMPANY OKTOGLASS is a Russia-based manufacturer of smart glass and bulletproof glass.
  • JOINT STOCK COMPANY NAUCHNO ISSLEDOVATELSKII INSTITUT STALI is a Russia-based manufacturer of steel armor and other protective materials used in tanks and other light armored vehicles. 
  • LIMITED LIABILITY COMPANY ARMOR ENGINEERING is a Russia-based manufacturer of armored bullet-proof glass and windows. 
  • LIMITED LIABILITY COMPANY MTM PRO is a Russia-based manufacturer of bulletproof and protective metal structures and glass.
  • LIMITED LIABILITY COMPANY MTM PROIZVODSTVO is a Russia-based glass company that regularly produces fabricated metal products such as fire or burglary resistive steel safes and vaults.
  • LIMITED LIABILITY COMPANY PROFI GLASS PLUS is a Russia-based manufacturer of bulletproof glass.
  • LIMITED LIABILITY COMPANY TRADE INDUSTRIAL COMPLEX RZM is a Russia-based manufacturer of chemicals used in the optics industry and is a contractor for U.S.-designated JOINT STOCK COMPANY VOLOGODSKY OPTIKO MEKHANICHESKY FACTORY.

Targeting Russian Individuals and Companies Affiliated with ROSTEC

The Department is designating the following entities and individuals pursuant to section 1(a)(i), for operating or having operated in the engineering sector of the Russian Federation economy:

  • LIMITED LIABILITY COMPANY KLER END KLARTE (KLER END KLARTE) is a Russia-based company that has received engineering consulting contracts worth millions of rubles from the government of the Russian Federation, including from U.S.-designated STATE CORPORATION ROSTEC.
  • PAVEL ANDREYEVICH BELOUSOV (PAVEL BELOUSOV) is the Executive Director and co-owner of KLER END KLARTE alongside his wife, YEVGENIYA ALEKSEYEVNA BELOUSOVA. PAVEL BELOUSOV is the son of U.S.-designated Russian Minister of Defense ANDREY REMOVICH BELOUSOV.
  • YEVGENIYA ALEKSEYEVNA BELOUSOVA (YEVGENIYA BELOUSOVA) is the Commercial Director and co-owner of KLER END KLARTE alongside PAVEL BELOUSOV.

Pursuant to section 1(a)(vii), the following entity is being designated for being owned or controlled by, or having acted or purported to act for or on behalf of, directly or indirectly, YEVGENIYA BELOUSOVA:

  • LIMITED LIABILITY COMPANY MINT is a Russian software development company owned by YEVGENIYA BELOUSOVA.

Belarus-based Networks Supporting Russia's War

The Department continues to designate entities and individuals related to the Lukashenka regime's support for Russia's illegal, full-scale invasion of Ukraine. Today, the Department is designating a Belarusian enterprise and associated individuals supporting Russia's war effort by providing critical components for armored vehicles to Russia-based defense entities.

Additionally, we are designating a Belarusian company and its director for providing munitions to the U.S.-designated JSC 558 AIRCRAFT REPAIR PLANT. The Department is also sanctioning the director of JSC 558 AIRCRAFT REPAIR PLANT. These actions build upon previous efforts to sanction Belarusian entities providing support to Russia's war against Ukraine, most recently on June 12, 2024 and August 9, 2024.

Pursuant to section 1(a)(i), the following entities and individuals are being designated for operating or having operated in the defense and related materiel sector of the Russian Federation economy:

  • JOINT STOCK COMPANY 41 CENTRAL PLANT OF THE RAILWAY TECHNOLOGY is a Russia-based company that has supplied railway repair complexes and armored vehicle sights for the Russian Ministry of Defense.
  • OPEN JOINT STOCK COMPANY ROGACHEVSKY ZAVOD DIAPROEKTOR (DIAPROEKTOR) is a Belarus-based company that has supplied parts to Russia-based JOINT STOCK COMPANY 41 CENTRAL PLANT OF THE RAILWAY TECHNOLOGY for opto-electronic sights used in armored fighting vehicles.
  • ELENA VLADIMIROVNA TITOVA is the Deputy Director for Commercial Affairs at DIAPROEKTOR.
  • GENNADYANATOLIEVICH FILIPPOV is the Director of DIAPROEKTOR.
  • ANTON KONSTANTINOVICH LAVRENTIEV is the Deputy Director and Chief Engineer of DIAPROEKTOR.
  • IGOR VLADIMIROVICH KUZMENKO is the General Director of U.S.-designated Belarus-based JSC 558 AIRCRAFT REPAIR PLANT.

Pursuant to section 1(a)(vi)(B), the following entity is being designated for having materially assisted, sponsored, or provided financial, material, or technological support for, or goods or services to or in support of JSC 558 AIRCRAFT REPAIR PLANT, an entity whose property and interests in property are blocked pursuant to E.O. 14024:

  • STATE SCIENTIFIC AND PRODUCTION ASSOCIATION OF POWDER METALLURGY (GNPO PM) is a Belarus-based company that has manufactured fragmentation warheads likely intended for the Chekan armed unmanned aerial vehicle (UAV) developed and produced by U.S.-designated JSC 558 AIRCRAFT REPAIR PLANT.

Pursuant to section 1(a)(iii)(C), the following individual is being designated for being or having been a leader, official, senior executive officer, or member of the board of directors of GNPO PM, an entity whose property and interests in property are blocked pursuant to E.O. 14024:

  • ALEKSANDR FEDOROVICH ILYUSHCHENKO is the Director General of GNPO PM.

Constraining Russian Air Cargo Logistics Transporting Military and Dual-Use Components

Today, the Department of State is designating numerous entities and individuals associated with the Volga Dnepr Group of companies that have provided logistical support to Russia's sanctions circumvention efforts. Included in this group is the managing company LIMITED LIABILITY COMPANY VOLGA DNEPR MOSCOW(VOLGA DNEPR MOSCOW) and three associated air cargo companies, LIMITED LIABILITY COMPANY VOLGA DNEPR AIRLINES (VOLGA DNEPR AIRLINES), AIRBRIDGECARGO AIRLINES LIMITED LIABILITY COMPANY (AIRBRIDGECARGO), and ATRAN LIMITED LIABILITY COMPANY (ATRAN), and senior management. A number of the entities and individuals associated with Volga Dnepr Group that the Department is designating today have been designated by the United Kingdom, European Union, and Canada.

Following Russia's full-scale invasion of Ukraine in February 2022, the Russian Ministry of Transport and the Russian Federal Air Transport Agency approved the use of Russian air cargo companies to transport military goods. These companies included ATRAN LIMITED LIABILITY COMPANY, LIMITED LIABILITY COMPANY VOLGA DNEPR AIRLINES, AIRBRIDGECARGO AIRLINES LIMITED LIABILITY COMPANY, as well as the previously U.S.-designated companies Joint Stock Company the 224th Flight Unit State Airlines, JSC Aviacon Zitotrans, and Limited Liability Company Abakan Air.

Additionally, following Russia's full-scale invasion of Ukraine, LIMITED LIABILITY COMPANY VOLGA DNEPR AIRLINES signed an agreement with a Russian government entity to create a delivery channel to Russia for critical items in an attempt to circumvent sanctions. LIMITED LIABILITY COMPANY VOLGA DNEPR AIRLINES planned to continue to deliver to Russia electronics, production equipment, high technology and other priority goods.

Pursuant to section 1(a)(i), the following entities and individuals are being designated for operating or having operated in the aerospace sector of the Russian Federation economy:

  • LIMITED LIABILITY COMPANY VOLGA DNEPR AIRLINES is a Russia-based airline company that has provided air transportation of extra-heavy and oversized cargo. Additionally, VOLGA DNEPR AIRLINES has attempted to circumvent sanctions by planning to surreptitiously transfer two AIRBRIDGECARGO-owned Boeing 747 aircraft to a PRC-based aviation company. VOLGA DNEPR AIRLINES has transported Russian aircraft parts within Russia on behalf of the U.S.-designated IRKUT CORPORATION JOINT STOCK COMPANY, which develops Russian fighter aircraft. VOLGA DNEPR AIRLINES aircraft have also conducted deliveries of Russian-origin helicopters to foreign customers on behalf of the Russian government.
  • AIRBRIDGECARGO AIRLINES LIMITED LIABILITY COMPANY is a Russia-based airline company that has been involved in air cargo transportation. Additionally, AIRBRIDGECARGO has coordinated shipments of microelectronics manufacturing equipment from the PRC to Russia since Russia's further invasion of Ukraine in February 2022, which were later transported on VOLGA DNEPR AIRLINES flights. AIRBRIDGECARGO and VOLGA DNEPR AIRLINES have coordinated numerous shipments of electronics from the PRC to Russia since Russia's further invasion of Ukraine in February 2022. AIRBRIDGECARGO and VOLGA DNEPR AIRLINES also attempted to obfuscate a shipment of non-lethal military equipment from the PRC to Russia in November 2023.
  • LIMITED LIABILITY COMPANY VOLGA DNEPR MOSCOW is a Russia-based company that has been involved in the maintenance and repair of aircraft and the transportation of superheavy and oversized cargo. Additionally, VOLGA DNEPR MOSCOW is the majority owner of VOLGA DNEPR AIRLINES.
  • ATRAN LIMITED LIABILITY COMPANY is a Russia-based airline company that has performed scheduled international cargo flights.
  • ALEXEY IVANOVICH ISAYKIN (ISYAKIN) holds a majority ownership stake in AIRBRIDGECARGO and ATRAN.  ISAYKIN was the former President of Volga Dnepr Group.  Additionally, ISAYKIN remains heavily involved in the management of VOLGA DNEPR AIRLINES through ownership in its subsidiary, AIRBRIDGECARGO and its affiliate, VOLGA DNEPR MOSCOW, despite publicly distancing himself from the company.
  • IGOR BORISOVICH AKSENOV (AKSENOV) is the General Director of VOLGA DNEPR AIRLINES and is one of four equal shareholders in VOLGA DNEPR MOSCOW. Additionally, AKSENOV has been involved in efforts to circumvent sanctions.
  • NIKOLAI ALEKSEEVICH KOROBKO is the General Director of VOLGA DNEPR MOSCOW.
  • SERGEY ADOLFOVICH DYACHKOV is the former Vice President for Purchasing of VOLGA DNEPR AIRLINES and is one of four shareholders in VOLGA DNEPR MOSCOW. 
  • VALERY ALEXANDROVICH GABRIEL is one of four equal shareholders in VOLGA DNEPR MOSCOW and has been on the company committee for VOLGA DNEPR AIRLINES. 
  • VILDAN KHANIFOVICH ZINUROV is one of four equal shareholders in L VOLGA DNEPR MOSCOW and has worked at the company.  
  • SERGEI IVANOVICH SHKLIANIK has been the Deputy Chairman of the Volga Dnepr Group.
  • DMITRII SERGEEVICH SOROKIN is the General Director of AIRBRIDGECARGO.

Targeting Producers and Procurers of Russian Weapons Systems and Military Components

The Department continues to apply pressure on those providing support and equipment for Russia's illegal, full-scale invasion of Ukraine. Today, the Department is targeting a number of entities and individuals involved in the production of armed UAVs, missiles, fighter aircraft, vehicles, defense electronics, and ammunition that are being used to fuel Russia's war effort. Additional targets include entities and individuals supporting procurement on behalf of Russian defense entities.

These efforts include entities and individuals involved in the defense and related materiel, aerospace, manufacturing, and electronics sectors to stem the flow of goods and equipment being used by Russia on the battlefield.

Pursuant to section 1(a)(vi)(B), the following entity is being designated for having materially assisted, sponsored, or provided financial, material, or technological support for, or goods or services to or in support of the MAIN DIRECTORATE OF DEEP SEA RESEARCH (GUGI), an entity whose property and interests in property are blocked pursuant to E.O. 14024:

  • GREDSTONE PTE LTD facilitated payments for the purchase of sensitive equipment ultimately destined for the U.S.-designated end-user GUGI. GUGI reports to the Russian Ministry of Defense and is the maritime equivalent of a military intelligence agency. GUGI was designated, on February 24, 2023, by the Department of State pursuant to section 1(a)(i) of E.O. 14024.

Pursuant to section 1(a)(iii)(C), the following individual is being designated for being or having been a leader, official, senior executive officer, or member of the board of directors of GREDSTONE PTE LTD, an entity whose property and interests in property are blocked pursuant to E.O. 14024:

  • ALEKSANDR OLEGOVICH KALININ is the Director of GREDSTONE PTE LTD.

Pursuant to section 1(a)(i), the following entities and individuals are being designated for operating or having operated in the defense and related materiel sector of the Russian Federation economy:

  • JOINT STOCK COMPANY SCIENTIFIC PRODUCTION ENTERPRISE SALYUT is a Russian state-owned company that has produced shipborne radars for the Russian Navy and military-industrial base.
  • JOINT STOCK COMPANY STRATIM is a Russia-based company that has developed and manufactured armed UAVs being used by the Russian military against Ukraine.
  • JOINT STOCK COMPANY EKA is a Russia-based military-industrial company that has developed and serviced weapons and military equipment.
  • JOINT STOCK COMPANY OKTAVA has developed and manufactured the Obereg body armor used by Russian soldiers in Ukraine.
  • JOINT STOCK COMPANY ZAVOLZHSKY CRAWLER VEHICLE PLANT has developed the GAZ-3344-20 Aleut all-terrain vehicle used by the Russian military in Ukraine.
  • JOINT STOCK COMPANY SCIENTIFIC PRODUCTION ASSOCIATION ORION has designed and manufactured items for optoelectronic systems and complexes used in the interests of Russia's military-industrial base.
  • FEDERAL AUTONOMOUS ENTERPRISE ТНЕ CENTRAL AEROHYDRODYNAMIC INSTIТUTE NAMED AFTER PROFESSOR N.E. ZHUKOVSKY (TSAGI) has participated in joint research programs on Russian military aircraft including the Su-27, MiG-29, and MiG-31.
  • KIRILL IVANOVICH SYPALO is the Director General of TSAGI.
  • FEDERAL STATE ENTERPRISE AMUR CARTRIDGE PLANT VYMPEL is a Russian state-owned enterprise that has manufactured weapons and ammunition for the Russian military.
  • FEDERALNOE KAZENNOE PREDPRIIATIE AVANGARD has manufactured explosives, weapons, and ammunition.
  • FEDERALNOE KAZENNOE PREDPRIIATIE GOSUDARSTVENNYI NAUCHNO ISSLEDOVATELSKII INSTITUT KHIMICHESKIKH PRODUKTOV (FKP GOSNIIKHP) has manufactured explosives, weapons, and ammunition.
  • MILITARY ENGINEERING CENTRE LIMITED LIABILITY COMPANY (OOO VITS) has developed, modernized, and researched products from the U.S.-designated LIMITED LIABILITY COMPANY MILITARY INDUSTRIAL COMPANY that are developed and supplied to the Russian military. LIMITED LIABILITY COMPANY MILITARY INDUSTRIAL COMPANY was designated on February 23, 2024 by the Department of State pursuant to section 1(a)(i) of E.O. 14024 for its role in developing and manufacturing armored personnel carriers, infantry fighting vehicles, and armored cars for the Russian military.
  • JOINT STOCK COMPANY RESEARCH & PRODUCTION SPACE CENTRE PROGRESS (AO RKTS PROGRESS) has contracted on satellites for the Russian Ministry of Defense.
  • DMITRII ALEKSANDROVICH BARANOV is the General Director of AO RKTS PROGRESS.
  • RUSSIAN ACADEMY OF SCIENCES SIBERIAN BRANCH KHRISTIANOVICH INSTIТUTE OF THEORETICAL AND APPLIED MECHANICS (ITAM SB RAS) is a Russia-based military-industrial entity that has been involved in the development of hypersonic missiles.
  • JOINT STOCK COMPANY ELECTRONIC COMPANY ELKUS is a Russia-based company specialized in military-applicable radio-electronic components.
  • SERGEI TIMOFEEVICH KHVOSHCH is the General Director of JOINT STOCK COMPANY ELECTRONIC COMPANY ELKUS.
  • JOINT STOCK COMPANY RESEARCH INSTITUTE FOR AUTOMATED APPARATUS NAMED AFTER ACADEMICIAN V S SEMENIKHIN (AO NIIAA) is a Russia-based defense company that has been the managing organization of the automated control systems division of U.S.-designated OPEN JOINT STOCK COMPANY RUSSIAN ELECTRONICS (RUSELECTRONICS) for end-use by the Russian military. RUSELECTRONICS was designated by the Department of the Treasury on June 28, 2022 pursuant to section 1(a)(i) of E.O. 14024 and was previously added to the Sectoral Sanctions Identifications (SSI) List in 2015, pursuant to Directive 3 of E.O. 13662.
  • DESIGN BUREAU OF CHEMICAL MACHINE BUILDING KBKHM (AO KBKHIMMASH IM AM ISAEVA) is a Russia-based company that has specialized in liquid-fuel propulsion systems for Russian satellites and has maintained military equipment.

Pursuant to section 1(a)(i), the following entities and individual are being designated for operating or having operated in the aerospace sector of the Russian Federation economy:

  • STRATIM LIMITED LIABILITY COMPANY is a Russia-based company associated with the armed UAV producer JOINT STOCK COMPANY STRATIM.
  • JOINT STOCK COMPANY STRATIM TECH is a Russia-based company associated with the armed UAV producer JOINT STOCK COMPANY STRATIM.
  • OBSHCHESTVO S OGRANICHENNOI OTVETSTVENNOSTIU REINOLDS is a Russia-based entity that has developed gas-turbine engines for ultra-small aviation and recently announced plans to merge with the U.S.-designated Russian state-owned entity JOINT STOCK COMPANY UNITED ENGINE CORPORATION (UEC). UEC was designated by the Department of the Treasury on June 28, 2022 pursuant to section 1(a)(i) of E.O. 14024. UEC was previously added to OFAC's SSI List in 2015, pursuant to Directive 3 of E.O. 13662.
  • REINOLDS INZHINIRING is a Russia-based entity that has repaired and maintained aerospace equipment.
  • NIKITA VLADIMIROVICH GUSEV is the CEO, co-founder, and majority shareholder of OBSHCHESTVO S OGRANICHENNOI OTVETSTVENNOSTIU REINOLDS and the sole owner and General Director of REYNOLDS INZHINIRING.

Pursuant to section 1(a)(i) the following entities are being designated for operating or having operated in the manufacturing sector of the Russian Federation economy:

  • OBSHCHESTVO S OGRANICHENNOI OTVETSTVENNOSTIU NORGAU RUSSLAND is a Russia-based manufacturer of instruments for measuring, testing, and navigation.
  • JOINT STOCK COMPANY GEOFIZICA COSMOS (GEOFIZIKA KOSMOS) has developed, manufactured, and tested optoelectronic devices and sensors for orientation and navigation systems of Russian spacecraft.

Pursuant to section 1(a)(i), the following entity is being designated for operating or having operated in the electronics sector of the Russian Federation economy:

  • CHIP EXPERT LIMITED LIABILITY COMPANY is a Russian electronics wholesaler which has supplied components to U.S.-designated Russian instrument engineering entities and advertised its ability to procure western components to evade sanctions.

Pursuant to section 1(a)(i), the following entities are being designated for operating or having operated in the engineering sector of the Russian Federation economy:

  • LIMITED LIABILITY COMPANY RESEARCH AND DEVELOPMENT CENTER ECOPROMSERTIFIKA (NPTS EKOPROMSERTIFIKA) is Russia-based company that has conducted geological surveys and operated in the field of hydrometeorology.
  • JOINT STOCK COMPANY RESEARCH PRODUCTION ENTERPRISE KVANT (AO NPP KVANT) is a Russia-based company that has engineered, manufactured, and provided power supply sources to numerous Russian spacecraft.

PROMOTING ACCOUNTABILITY FOR MALIGN ACTORS

The Department is designating three leaders of ALL RUSSIAN PUBLIC STATE MOVEMENT OF CHILDREN AND YOUTH (MOVEMENT OF THE FIRST), an organization funded by the Government of Russia, chaired by U.S.-designated Russian President VLADIMIR PUTIN, and designated by the Department on June 12, 2024, pursuant to section 1(a)(ii)(F) of E.O. 14024, as amended, for being responsible for or complicit in, or having directly or indirectly engaged or attempted to engage in, activities that undermine the peace, security, political stability, or territorial integrity of the United States, its allies, or its partners, for or on behalf of, or for the benefit of, directly or indirectly, the Government of the Russian Federation.

The following individuals are being designated pursuant to section 1(a)(iii)(C), for being or having been a leader, official, senior executive officer, or member of the board of directors of the MOVEMENT OF THE FIRST, an entity whose property and interests in property are blocked pursuant to E.O. 14024:

  • GRIGORIY ALEKSANDROVICH GUROV (GUROV) is the chairperson of the board of the MOVEMENT OF THE FIRST. Under GUROV's leadership, the MOVEMENT OF THE FIRST has been involved in the attempted militarization, pro-Russian education, and issuance of Russian passports to Ukraine's children.
  • DENIS SERGEYEVICH CHERNOBAY (CHERNOBAY) is the chairperson of the U.S.-designated so-called DONETSK PEOPLE'S REPUBLIC branch of the U.S.-designated MOVEMENT OF THE FIRST. Under CHERNOBAY's leadership, the DONETSK PEOPLE'S REPUBLIC branch of MOVEMENT OF THE FIRST has been involved in the attempted militarization of Ukraine's children, including through sponsorship of augmented reality war games, known as Zarnitsa 2.0, which train children how to operate drones and weapons.
  • ANNA STANISLAVOVNA MOLCHANOVA (MOLCHANOVA) is the chairperson of the Sevastopol regional branch of the U.S.-designated MOVEMENT OF THE FIRST. Under MOLCHANOVA's leadership, the Sevastopol regional branch of the MOVEMENT OF THE FIRST has been involved in the pro-Russian education of, and issuance of Russian passports to, Ukraine's children.

SANCTIONS IMPLICATIONS

As a result of today's sanctions-related actions, and in accordance with E.O. 14024, as amended, all property and interests in property of the designated persons described above that are in the United States or in possession or control of U.S. persons are blocked and must be reported to the Department of Treasury's Office of Foreign Assets Control (OFAC). Additionally, all entities and individuals that have ownership, either directly or indirectly, 50 percent or more by one or more blocked persons are also blocked.

All transactions by U.S. persons or within (or transiting) the United States that involve any property or interests in property of designated or otherwise blocked persons are prohibited unless authorized by a general or specific license issued by OFAC or exempt. These prohibitions include the making of any contribution or provision of funds, goods, or services by, to, or for the benefit of any blocked person and the receipt of any contribution or provision of funds, goods, or services from any such person.

The power and integrity of U.S. government sanctions derive not only from the U.S. government's ability to designate and add persons to the Specially Designated Nationals and Blocked Persons (SDN) List, but also from its willingness to remove persons from the SDN List consistent with the law. The ultimate goal of sanctions is not to punish, but to bring about a positive change in behavior.

Petitions for removal from the SDN List may be sent to: [email protected]. Petitioners may also refer to the Department of State's https://www.state.gov/sanctions-delisting/ page.