WASHINGTON — President Donald Trump announced a new $15 billion steel plant in Iowa on Monday, with Ravi Ruia, co-founder of India's Essar Group, present in the Oval Office. The project, led by Essar Group's Minnesota-based firm Mesabi Metallics, is expected to become the largest steel facility in the United States upon completion.

The Essar Group has a history of transactions involving Russian entities. In October 2016, Ravi Ruia's brother, Shashi Ruia, participated in a deal alongside Russian President Vladimir Putin.

That same year, Essar sold one of India's largest private oil refineries to a Russian-led consortium for nearly $13 billion. This refinery, formerly Essar Oil, was rebranded as Nayara Energy.

Nayara Energy is now 50 percent owned by the Russian gas major Rosneft. Rosneft operates under extensive U.S. and European sanctions imposed due to Moscow's war in Ukraine.

Nayara Energy is also subject to European Union sanctions. The company supplies petroleum products to Russia, which faces a fuel crisis after multiple Ukrainian attacks on its oil and gas depots.

In India, Nayara Energy continues to use Essar's branding through a 99-year agreement, operating thousands of petrol stations across the country.

The White House presented the Iowa steel project, unveiled just before the U.S. midterm elections, as an economic victory for Americans. Officials said it would generate hundreds of jobs and billions of dollars in revenue.

There is no evidence the steel project violates any U.S. sanctions specifically targeting Russia. However, the announcement highlights the challenge the United States faces in economically isolating Moscow despite an extensive pressure campaign.

The steel mill announcement follows President Trump's recent signing of a law that authorizes him to impose tariffs of up to 100 percent on countries purchasing Russian oil. India is Russia's second-largest oil buyer.

The new facility will integrate iron ore mining operations from Minnesota's Mesabi Iron Range with the steel complex in Iowa. The plant is expected to produce at least 7.5 million tons of steel.

White House and company statements indicate the Iowa steel plant will create at least 1,750 permanent jobs. It will also support up to 6,000 construction jobs throughout Iowa and the Midwest.