EU's new Russia sanctions package among strongest yet - Lithuanian president

VILNIUS - The European Union's proposed 18th package of sanctions against Russia would be one of the strongest the bloc has imposed on the Kremlin, which continues to wage war in Ukraine, in more than a year and a half, Lithuanian President Gitanas Nauseda said on Thursday.

"It covers energy, banks and the so-called shadow fleet. It could really deal another blow to Russia's economy," Nauseda told reporters in Brussels ahead of the European Council meeting.

"I truly hope it will be serious and tough, because, if I may put it this way, it's one of the strongest packages I can remember from the past year and a half," he added.

The new package aims to curb Russia's energy exports by lowering the price cap on oil sold by the country and to further tighten restrictions on its banks.

In a video comment from Brussels on Thursday evening, Nausėda said it is important that the fresh sanctions have an impact, as Russia continues to show no interest in peace talks and is pressing ahead with its summer offensive.

"While we're here talking, Russia is trying to seize even more Ukrainian territory so it can negotiate from a position of strength. We can't allow that. As I said today, from what I recall, the 18th sanctions package is one of the most serious yet, and we must implement it fully, without exceptions," he added.

In early June, the European Commission proposed lowering the price cap on Russian oil exports to 45 dollars (39 euros) per barrel, from the current 60 US dollars (52.5 euros).

Nauseda said earlier on Thursday that rising oil prices, driven by the conflict between Iran and Israel, could make it harder for EU leaders to reach a deal on the cap.

"Prices are going up and, unfortunately, with tensions running high, they're bound to keep rising. That makes our task more difficult, but we'll still pursue it," he said.

The president added that higher oil prices benefit Russia.

"The biggest problem is that, despite Iran being an ally of Russia and Russia formally expressing regret over what's happening, on the other hand, it's quietly rubbing its hands, because the key factor is oil prices, which are fueling the war in Ukraine and feeding Russia's economy," he said.