As Treasury Moves on Energy Sanctions, Nunn Urges Congress to End Shutdown and Pass PEACE Act
WASHINGTON, D.C. — The U.S. Treasury Department today announced sweeping new sanctions on Russia’s two largest oil companies, a move that mirrors core provisions of the Preventing the Escalation of Armed Conflict in Europe (PEACE) Act, introduced by Congressman Zach Nunn (IA-03) and passed by the House Financial Services Committee in July with overwhelming bipartisan support (53-1).
Treasury’s action targets two of the Kremlin’s biggest revenue sources—Rosneft and Lukoil—imposing full sanctions on both companies, as well as dozens of their subsidiaries involved in oil production, refining, and distribution. The announcement also puts foreign financial institutions on notice, warning they may face secondary sanctions if they continue facilitating transactions for these companies. This mechanism directly mirrors the enforcement framework outlined in Rep. Nunn’s PEACE Act.
“The White House’s move to finally impose targeted sanctions and cut off illicit Russian oil sales is the right call, and it’s long overdue,” said Rep. Nunn, Vice Chair of the House Financial Services Subcommittee on National Security. “That’s exactly what the PEACE Act was designed to do. Iowans understand that we must back up our calls for peace with real consequences for bad actors like Putin. It’s time to end the government shutdown and immediately pass the PEACE Act to codify these sanctions into law.”
Rep. Nunn applauds President Trump for prioritizing a cease-fire and pursuing peace negotiations. But with Putin rejecting diplomacy and escalating his aggression, it is imperative that Congress pass the PEACE Act to immediately codify the administration’s actions and cut off the illicit money flow fueling the Kremlin.
The PEACE Act, introduced July 7 and passed out of the House Financial Services Committee 53-1 on July 22, would codify and expand sanctions on Russia’s energy sector by:
- Blocking U.S. bank access for any foreign financial institution that knowingly facilitates transactions for Russian energy firms or sanctioned entities;
- Requiring Treasury to determine and report whether key Russian oil giants—Rosneft, Lukoil, and Gazprom—qualify for sanctions under existing law;
- Triggering penalties for violators under the International Emergency Economic Powers Act;
- Narrowly allowing national security waivers with Congressional oversight;
- Automatically terminating sanctions only if Russia halts its aggression or after five years.
The announcement of these new Russian sanctions marks a critical step forward, but codifying the PEACE Act is what will transform President Trump’s decisive executive action into lasting policy. Signing Rep. Nunn’s bill into law will ensure America’s leadership, accountability, and resolve remain steadfast in the face of Russian aggression.
Text of the PEACE Act can be found here.