What is General License 134C and what does it authorise?: GL 134C is an OFAC waiver signed on 18 May 2026 that authorises completion of purchases of Russian-origin crude loaded on or before 17 April 2026, and reinstates insurance and vessel-service cover. It is valid through 12:01 a.m. EDT on 17 June 2026.Source: OFAC
When does General License 134C expire?: GL 134C expires at 12:01 a.m. EDT on 17 June 2026.Source: OFAC
Does GL 134C cover cargoes involving Cuba or Iran?: No. Paragraph (b)(1) of GL 134C explicitly excludes Cuba, Iran, DPRK, and occupied-Ukraine. Any cargo that touched a Cuban intermediary loses the waiver entirely.Source: OFAC
How is GL 134C different from GL 134B?: GL 134B expired on 16 May 2026 without renewal, briefly stranding cargoes. GL 134C, signed two days later on 18 May, reinstates the same in-transit authorisation and vessel-services umbrella with a new cut-off (cargoes loaded by 17 April) and expiry (17 June).Source: OFAC
Why did OFAC issue GL 134C after saying there would be no successor to GL 134B?: Treasury had publicly appeared to rule out a GL 134B successor on 16 May, but reversed course and issued GL 134C on 18 May. No public explanation was given; market analysts attributed it to freight and compliance disruption in transatlantic Aframax routes.Source: European Oil Markets briefing
What is General License 134C and when does it expire?: GL 134C is an OFAC waiver signed 18 May 2026 authorising completion of Russian-origin crude purchases loaded before 17 April 2026. It expires at 12:01 a.m. EDT on 17 June 2026 with no confirmed successor.Source: OFAC
What happens when GL 134C expires on 17 June 2026?: Without a successor licence, compliant cargoes in transit lose their waiver cover; the EU's 21st sanctions package due the same week would freeze the oil price cap. The expiry coincides with the G7 Kananaskis summit aftermath, forcing a policy decision on the cap framework.Source: OFAC / EU Commission
Does GL 134C cover Crimea?: No. GL 134C explicitly carves out Crimea-based entities (and Cuba, Iran, DPRK) from the waiver. Any cargo touching those territories loses cover for the whole shipment.Source: OFAC
How much oil revenue did Russia earn in May 2026?: Russia's oil and gas revenue reached 678.9 billion rubles in May 2026, up 32.4% year-on-year, driven by Hormuz-disruption price spikes. Urals Crude had fallen back to $87.40 by 4 June.Source: Russian Finance Ministry / SPIEF

Background

General License 134C is the third consecutive 30-day OFAC bridge waiver in the GL 134 series, signed by OFAC Director Bradley T. Smith at 14:05 EDT on 18 May 2026. It authorises third-country completion of purchases of Russian-origin crude oil and petroleum products loaded on or before 17 April 2026, valid through 12:01 a.m. EDT on 17 June 2026. It reinstates the full vessel-services umbrella covering insurance, crewing, bunkering, piloting, classification, and salvage. Paragraph (b)(1) carves out Cuba, Iran, DPRK, and occupied-Ukraine territory entirely. GL 134A expired 11 April; GL 134B lapsed on 16 May without renewal before GL 134C reversed the Treasury statement that had appeared to rule out a successor.

In the european-oil-markets context, GL 134C lifted the compliance bid premium off Baltic Aframax routes (TD7 and TD19), easing rather than collapsing freight as market participants repriced the remaining shadow-fleet risk. The Cuba carve-out in paragraph (b)(1) was made concrete on 18 May when OFAC simultaneously SDN-listed nine Cuban officials, stranding cargoes that had touched a Cuban intermediary.

GL 134C is the primary instrument keeping Russian export revenue flowing during the G7 price-cap review window, with Urals FOB at roughly $76/BBL against the revised $47.60 cap. Russia's oil and gas revenue jumped 32.4% year-on-year in May 2026 to 678.9bn rubles, driven partly by Hormuz-disruption price spikes; Urals had fallen back to $87.40 by 4 June. The 17 June expiry coincides with the G7 Kananaskis summit aftermath, making GL 134C the last bridge Treasury can issue before a policy decision on the cap framework is required. The EU's 21st sanctions package, due the same week, would freeze the oil price cap. No successor licence is in sight as of 9 June 2026. The licence explicitly excludes Crimea-based entities, preserving targeted sanctions architecture around the peninsula.