Russia has lost a court case against a Ukrainian oil producer worth 486 million

Stanislav Sereda
Stanislav Sereda Journalist
Russia has lost a court case against a Ukrainian oil producer worth 486 million
EcoBiotech-Ukraine Ltd is registered in Kherson at 110-A Raketna Street.
The Commercial Court of the Odesa Region has upheld in full the claim brought by the Ukrainian oil producer ‘Ekobiotek-Ukraine’ against the Russian Federation. The company has been awarded compensation for the looting of its factory and the destruction of its property during the occupation of Kherson.

This is set out in the court’s judgment in Case No. 916/896/26.

The court ordered the Russian Federation to pay 486,089,356 hryvnias and 88 kopecks to the Ukrainian company. According to expert findings, this sum is equivalent to 11.24 million US dollars or 9.61 million euros.

The Russian Federation, represented by the Russian Ministry of Justice, the Ministry of Defence, the Federal Treasury, the Central Bank and the Ministry of Foreign Affairs, was named as the defendant in the case.

What is known about the Ukrainian oil producer

Ekobiotek-Ukraine LLC is registered in Kherson at 110-A Raketna Street. The company’s main activity is the production of oil and animal fats.

Prior to the full-scale invasion, the production facility produced refined, deodorised and freeze-dried sunflower oil under the ‘P’ brand. The company owned buildings, a production site, equipment, heating, water supply and air-conditioning systems, security and fire alarm systems, office equipment, tools and vehicles.

As at 23 February 2022, finished products in PET bottles and in bulk were stored in the warehouse and on the production lines. The site also contained the company’s own and leased equipment, office equipment, a Daewoo Lanos car, lorries and semi-trailers.

In addition to its production facilities, ‘Ekobiotek-Ukraine’ owns a two-hectare plot of land at the 15th kilometre of the Tsjurupinsk–Hola Prystan road. Its intended purpose is the construction and maintenance of tourist infrastructure and catering establishments. The area where this plot is located remains under occupation.

How the Russian military looted the factory

Following the capture of Kherson, the company lost access to its production facilities and was unable to continue its business operations.

In August 2022, people in civilian clothing, accompanied by a large number of Russian soldiers, arrived at the factory premises. Armed guards were posted at the entrance, after which lorries began to drive into the factory.

Production equipment, boxes from the finished goods warehouse, containers of sunflower oil and other property were loaded onto the vehicles. To remove the goods, the occupiers used both vehicles they had brought with them and cars that were on the factory premises.

On 26 August 2022, the company lodged a complaint with the Office of the Prosecutor General regarding the theft of property. On 10 September, the Kherson Regional Prosecutor’s Office opened criminal proceedings under Part 1 of Article 438 of the Criminal Code of Ukraine — violation of the laws and customs of war. In December, the company was recognised as an aggrieved party.

Following the liberation of Kherson, company representatives returned to the factory and discovered that inventory had been stolen or destroyed. On the premises, they found broken locks, smashed windows, damaged doors, and production line components that had been destroyed or dismantled.

Paper seals bearing the symbols and coat of arms of the Russian Federation remained on the doors of some premises. An inventory check also revealed the loss of equipment, raw materials, finished products, source documents, technical documentation, and stock and laboratory logs.

How the Ukrainian company’s losses were assessed

As part of the criminal proceedings, the Kyiv Scientific Research Institute of Forensic Expertise carried out a comprehensive examination covering commodity analysis, construction and technical aspects, valuation and land surveying, and economic assessment.

Experts assessed the value of the stolen sunflower oil, chemical raw materials, packaging materials, fuel, equipment, vehicles, office equipment and other property. The calculation also included the material assets of third parties that the company was storing on its premises, damage to production buildings and the loss of the ability to use land assets.

According to the expert report dated 8 August 2025, the total loss amounted to 11,243,141 dollars and 60 cents. As at 3 March 2026, this amounted to 486,089,356 hryvnias and 88 kopecks.

The court accepted the expert report as valid evidence and established a causal link between the Russian aggression, the occupation of the production base and the financial losses suffered by the Ukrainian enterprise.

Why was the case heard in Odesa?

The claim was heard by the Commercial Court of Odesa Region, as following the start of the full-scale invasion, the Supreme Court had altered the territorial jurisdiction of cases handled by the Commercial Court of Kherson Region.

The Russian authorities were notified of the proceedings via an announcement on the Ukrainian Judiciary’s portal. Translations of the procedural documents were also sent to the Russian embassies in Poland and Austria.

Representatives of the Russian authorities did not appear in court, nor did they submit any responses, statements or objections. Consequently, the case was heard on the basis of the available evidence.

The court concluded that Russia cannot invoke state immunity in a case concerning compensation for damage caused by armed aggression. Liability for breaches of the laws and customs of war rests with the state as a whole, regardless of which specific unit of its armed forces caused the damage.

Russia must pay the court costs

In addition to the 486.09 million hryvnias in compensation awarded to the Ukrainian oil producer, the court ordered Russia to pay 1.16 million hryvnias in court fees to the Ukrainian state budget.

In a separate additional ruling dated 6 July, the company was awarded a further 208,400 hryvnias in costs for professional legal assistance.

An abridged judgment in the case was issued on 24 June, whilst the full text was drawn up and signed on 6 July 2026. It may be appealed within 20 days of the date on which the full text was drawn up. There is no information in the case file regarding whether the company has actually received the awarded funds.

Ekobiotek-Ukraine LLC was registered on 12 November 2003 and has a share capital of 600,000 hryvnias. The company’s founder is Daria Tunyk, and its director is Volodymyr Naidyshak.

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