Linked to EU Sanctions on Russia, Karimun Terminal Issues Statement
PT Oil Terminal Karimun (OTK) states that the company is not included among the entities subject to sanctions under Council Regulation (EU) 2026/506 dated 23 April 2026. This clarification comes following the mention of “Karimun Oil Terminal, Indonesia” in the said document.
OTK’s management explains that the mention refers to the infrastructure or location listed in the regulation’s annex, not a designation of the company’s legal entity as a sanctioned subject. The company assesses that there has been a misunderstanding in interpreting the inclusion.
“PT Oil Terminal Karimun and its terminal facilities are not designated as legal entities subject to sanctions under the aforementioned regulation,” the management wrote in its official statement, quoted by Republika.co.id on Monday (27/4/2026).
OTK emphasises that the term “Karimun Oil Terminal, Indonesia” is not the official legal name of the company. Therefore, the mention cannot be regarded as a formal designation of the company as a sanctioned entity.
The company also explains that the EU sanctions framework applies in a limited manner to connections with EU jurisdiction, including entities, individuals, flagged vessels, territories, or services within the scope of EU law.
“Transactions conducted entirely outside the EU by non-EU parties are not subject to EU sanctions,” the management wrote.
OTK expresses concern that the mention may have been influenced by inaccurate and unverified public information. The company deems that this does not reflect the actual operational conditions.
In its explanation, OTK affirms that it does not possess crude oil storage tanks or facilities for handling crude oil. All allegations linking the company to Russian crude oil activities are refuted.
“OTK does not have crude oil storage tanks and does not operate facilities for the storage or handling of crude oil,” the management wrote.
The company also affirms that allegations of OTK’s involvement in activities related to Russian crude oil are not factual.
“Any allegation that OTK facilitates the storage, concealment, blending, or transfer of Russian crude oil is factually untrue,” the management wrote.
OTK states that it continues to implement a strict compliance system, including due diligence on all business partners. The company assures that it does not provide services to sanctioned entities. “OTK does not receive nor provide services to sanctioned entities,” the management wrote.