Despite sanctions, Western countries have paid Russia hundreds of billions for oil and gas since its 2022 invasion of Ukraine—far outpacing the aid they’ve given Kyiv, new BBC analysis reveals.

Russia has generated more than €883 billion ($973 billion) from fossil fuel exports since launching its full-scale war, with over €228 billion coming from the very countries that imposed sanctions. The EU accounts for €209 billion of that amount, according to the Centre for Research on Energy and Clean Air (CREA).

Though the U.S. and UK banned Russian hydrocarbons and the EU limited seaborne crude imports, pipeline gas and liquefied natural gas (LNG) continue to flow—especially via Turkey. Russian fossil fuel revenues fell just 5% in 2024, and gas exports to Europe even rose.

The Legal Loophole: Russian Oil Returns via Refineries

A major workaround is the so-called “refining loophole,” where Russian crude is shipped to third countries—primarily Turkey and India—processed into fuel, and re-exported to the West. CREA identified at least six refineries involved, using €6.1 billion worth of Russian oil.

“This is a loophole. It’s entirely legal. Everyone’s aware of it, but nobody is doing much to actually tackle it,” said CREA analyst Vaibhav Raghunandan.

Weak Enforcement Undermining Sanctions

Former Russian deputy energy minister Vladimir Milov argues the oil price cap by the G7 is ineffective and says Western agencies must aggressively sanction ships, shell companies, and insurers involved in circumvention. Joe Biden’s outgoing administration made progress, but upcoming changes under Trump could hamper enforcement.

Trump’s Oil Plan Criticized

Donald Trump has proposed ending the war by asking OPEC to lower oil prices. Experts, including Milov, dismiss the idea. “The party which will suffer the most is the American shale oil industry,” he noted, while Raghunandan emphasized that Saudi Arabia would be harmed before Russia.

Strategic Choices and Moral Tensions

“Western governments have the tools to stop Russia’s fossil flow,” says Global Witness campaigner Mai Rosner. “But fear of disrupting markets outweighs moral urgency.” She added: “We’re funding both the aggressor and the resistance. This energy dependence ties us to hostile regimes.”