Oil prices have risen sharply as China eased anti-virus lockdowns and the European Union agreed on a plan to ban imports of Russian crude.
The ban is a compromise that will not affect pipeline oil imports for now, following opposition from Hungary.
European Council chief Charles Michel said the deal cut off "a huge source of financing" for the Russian war machine.
It is part of a sixth package of sanctions approved at a summit in Brussels, which all 27 member states have had to agree on.
Mr Michel said the EU had also agreed hard-hitting measures targeting Russia's largest bank, Sberbank, and three state-owned broadcasters.
The BBC says EU members spent hours struggling to resolve their differences over the ban on Russian oil imports, with Hungary its main opponent.
The compromise followed weeks of wrangling until it was agreed there would be "a temporary exemption for oil that comes through pipelines to the EU", Mr Michel told reporters.
Because of this, the immediate sanctions will affect only Russian oil being transported into the EU by sea - two-thirds of the total imported from Russia.
Meanwhile, China’s key commercial hub of Shanghai allowed all manufacturers to resume operations from June, while officials said Beijing’s coronavirus outbreak is under control.
China’s dogged adherence to its Covid Zero policy at all costs - epitomised by Shanghai’s lockdown that began in late March - has sapped energy demand, and an easing would help to support global consumption.