January 21, 2025
Banned Russian oil is coming to Canada. Here’s how
By RCI
Russian oil continues to reach Canada through a loophole in federal sanctions, indirectly supporting the Kremlin’s finances amid its invasion of Ukraine. CBC News, in collaboration with the Centre for Research on Energy and Clean Air (CREA), found that about 2.5 million barrels of refined petroleum products originating from Russian crude—worth approximately $250 million—have entered Canada since the war began. This trade has generated over $100 million in revenue for Russia, potentially funding its military activities.
Isaac Levi from CREA noted that Canadian consumers are likely using vehicle fuels or jet fuel partially made from Russian crude. The crude is refined in countries like India or Turkey and blended with other sources before export, bypassing sanctions that only target direct Russian oil imports. William Pellerin, an international trade lawyer, highlighted the challenges of enforcing sanctions due to unclear regulations on processed Russian crude.
Some of the crude is transported by Russia’s "shadow fleet," a group of tankers designed to evade sanctions through tactics such as ship-to-ship transfers and turning off tracking systems. For instance, the Legacy, a Russian tanker, transported crude to India’s Jamnagar refinery, which then exported refined fuel, potentially containing Russian crude, to Canada.
RBN Energy’s Robert Auers explained that refineries like Jamnagar generally mix crude based on quality, not origin, making it likely that Russian crude is part of the fuel Canada receives. Despite the controversy, companies involved claim compliance with applicable laws. However, experts argue the loophole undermines global sanctions and efforts to support Ukraine.
Read the full article here: Banned Russian oil is coming to Canada. Here’s how | Radio-Canada.ca
