Prelims-style MCQs based on the EU sanctions on Nayara Energy and Russia, tailored for UPSC with detailed explanations:

 Prelims-style MCQs based on the EU sanctions on Nayara Energy and Russia, tailored for UPSC with detailed explanations:

1. Consider the following statements about the EU’s recent sanctions on Russia:

1. The EU has reduced the price cap on Russian oil to $47.6 per barrel.

2. The sanctions package includes a total transaction ban on Nord Stream pipelines.

3. Nayara Energy Ltd., based in Gujarat, is fully owned by Rosneft.

4. The EU has sanctioned more than 400 vessels under its shadow fleet restrictions.

Which of the statements given above are correct?

A. 1 and 2 only
B. 1, 2 and 4 only
C. 2 and 3 only
D. 1, 3 and 4 only

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✅ Answer: B. 1, 2 and 4 only

Explanation:

• ✅ Statement 1 is correct: The EU reduced the oil price cap from $60 to $47.6 per barrel.

• ✅ Statement 2 is correct: A full transaction ban was imposed on the Nord Stream 1 and 2 pipelines.

• ❌ Statement 3 is incorrect: Rosneft owns 49.13% of Nayara Energy, not full ownership.

• ✅ Statement 4 is correct: 105 new vessels were added, making the total 444 vessels under restrictions.

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2. With reference to Nayara Energy Ltd., consider the following statements:

1. It is India’s largest refinery located in Gujarat.

2. Rosneft holds less than 50% stake in Nayara Energy.

3. The company has over 6,000 petrol pumps in India.

4. It is jointly owned by Rosneft and Reliance Industries.

Which of the statements given above are correct?

A. 1 and 4 only
B. 2 and 3 only
C. 1, 2 and 4 only
D. 2, 3 and 4 only

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✅ Answer: B. 2 and 3 only

Explanation:

• ❌ Statement 1 is incorrect: Nayara is the second largest refinery, not the largest.

• ✅ Statement 2 is correct: Rosneft owns 49.13%, i.e., less than 50%.

• ✅ Statement 3 is correct: It operates 6,300+ petrol pumps across India.

• ❌ Statement 4 is incorrect: It is not owned by Reliance. Talks about stake sale to Reliance have occurred, but ownership lies with Rosneft and Kesani Enterprises.

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3. Which of the following best describes the term “shadow fleet” as used in the EU sanctions context?

A. A secret fleet used by NATO for surveillance
B. Fishing vessels operating without licenses
C. Ships involved in transporting sanctioned goods to avoid detection
D. Military submarines of the Russian Navy

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✅ Answer: C. Ships involved in transporting sanctioned goods to avoid detection

Explanation:
The "shadow fleet" refers to ships (often using deceptive tactics like turning off tracking systems) used to transport sanctioned oil or goods, avoiding scrutiny and circumventing sanctions.

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4. Which of the following international groupings are involved in the oil price cap on Russian crude?

1. European Union

2. G7

3. OPEC

4. United Kingdom

Select the correct answer using the code below:

A. 1, 2 and 3 only
B. 1, 2 and 4 only
C. 2 and 3 only
D. 1, 3 and 4 only

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✅ Answer: B. 1, 2 and 4 only

Explanation:

• ✅ EU, G7, and the U.K. are parties implementing the price cap mechanism.

• ❌ OPEC is not involved in imposing the price cap — it represents oil-producing countries.

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5. Which of the following are part of the 18th EU sanctions package against Russia?

1. Ban on refined petroleum products made from Russian crude

2. Travel bans and asset freezes on individuals and companies

3. Transaction ban on Russian banks

4. Inclusion of companies supplying dual-use goods to Russia

Select the correct answer using the code below:

A. 1, 2 and 3 only
B. 2, 3 and 4 only
C. 1, 3 and 4 only
D. 1, 2, 3 and 4

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✅ Answer: D. 1, 2, 3 and 4

Explanation:
All these measures were part of the new 18th sanctions package — aiming to pressure Russia economically and weaken its war effort.