Putin says Ukraine is not ready for peace, as Kyiv says it is striking a “shadow” boat in the Mediterranean.

Russian President Vladimir Putin said on Friday that his country “does not see Ukraine’s willingness” to do so negotiate a peace treatyagain blaming the country he ordered to be completely invaded almost four years ago for the continuation of the war that he does not even want to admit that it is a war.

Putin said he was open to an end to negotiations on what he called “special military operations,” but only on his terms, insisting, as he has for years, that Ukraine must accept a large-scale, legal annexation of its territory and some degree of national demilitarization – both terms that Kyiv rejects.

Russia’s president has said his military is “fully strategic” in the conflict and will take up more ground on the 600-mile front line in eastern Ukraine before the end of the year.

“Our troops are advancing on every line of communication, fast in some areas and slow in others, but the enemy is retreating on all fronts,” Putin said during a year-end news conference that has been a hallmark of his career.

His comments came as Ukraine sought a dramatic new blow against Russia, but also as divisions among European nations over how to continue supporting Kyiv – fueled, many believe, by Moscow’s pressure tactics – were exposed.

Putin’s recent accusations of war on Kyiv and its allies in Europe also came as an adult The Russian ambassador prepared to meet again for talks with Trump administration officials in Florida this weekend. The White House is aggressively pursuing a negotiated settlement to the conflict that President Trump has vowed to end as soon as he takes office.

Ukrainian President Volodymyr Zelenskyy on Monday called proposals negotiated with the US are “very active,” suggesting they could be finalized in a few days, allowing US officials to negotiate with their Russian counterparts.

Ukraine wants a drone strike on a “shadow” Russian tanker in the Mediterranean

Ukraine has been defending itself with the support of the US and its European allies, and as Putin spoke in Moscow, Kyiv said the biggest increase in resistance during the war, with the first attack on an oil tanker as part of Russia’s crackdown on “shadow ships” in the Mediterranean.

In a statement, Ukraine’s intelligence agency SBU said on Friday it “struck a Russian “shadow fleet” tanker in the neutral waters of the Mediterranean Sea for the first time,” describing it as “an unprecedented special operation in an area of ​​more than 2,000 km.” [1,200 miles] in our region.”

The SBU said it used aerial drones to disable the Oman-flagged oil tanker Qendl, saying it was empty at the time, and thus “did not pose a threat to the natural environment in the region.”

The SBU shared a black-and-white video, apparently captured by a drone, of the strike that allegedly shows several explosions on the tank’s deck.

“Russia used this ship to avoid sanctions and gain money for the war with Ukraine,” an SBU source told CBS News. “Therefore, from the point of view of international law and the rules and traditions of war, this is the official mission of the SBU. The enemy must understand that Ukraine will not stop and will strike it anywhere in the world, wherever it is.”

Ukraine has long targeted oil tankers and infrastructure in Russian ports and on land as part of its efforts to undermine Moscow’s war funding, but only this month did Kyiv admit to attacking ships outside Russian territory. CBS News reported the first such strikestargeting tankers off the coast of Turkey and West Africa, about a week ago.

The SBU said the new strike disabled the Qendl, which the ship-tracking website MarineTraffic.com confirmed was in the eastern Mediterranean as of Friday afternoon. According to MarineTraffic, the vessel – which has not yet been listed by the US Treasury among Russian vessels subject to sanctions – was traveling from the Indian port of Sikka to the Russian port of Ust-Luga.

The US government has sanctioned several ships and maritime companies in an effort to reduce Russia’s shadow fleet, ships with often obscure registrations and ownership that Moscow uses to avoid heavy Western sanctions on its energy products, providing vital funding for its war efforts.

The Trump administration has accused several major oil producers, including Russia, Venezuela, and Iran, of using a global fleet of such vessels, and last week, the US military. they seized a 20-year-old oil tanker after leaving port in Venezuela, sources told CBS News.

Armed personnel arrived by helicopter and boarded the ship, which was sanctioned by the US Treasury Department three years ago for its alleged role in an oil smuggling scheme that helped fund Iran’s military and its proxies in the Middle East.

Asked on Friday about the Qendl strike during a press conference, Putin denied it, but vowed to answer.

“They are pursuing certain goals to help,” the Russian leader said, without confirming any details. “They want to increase insurance premiums, but this will not bring the desired result. This will not disrupt supply. This will create more threats, and Russia will certainly respond.”

Despite the differences, the EU agrees on a financial channel for Ukraine

The European Union, meanwhile, stepped up overnight to offer a package of support to Ukraine worth more than $100 billion – but the bloc could not agree on proposals pushed by leaders to use frozen Russian assets to do so.

After failing to agree on certain items, the EU ended up taking Ukraine an interest-free loan, against its budget, intended to finance the country’s military and economic needs for two years.

EU leaders wanted to finance the aid package with frozen Russian goods, but there has been opposition to that idea among other members – notably Belgium, where most of Russia’s money is held.

Putin renewed threats in his remarks on Friday that there will be dire consequences for European countries that choose to use Russian currency, which is being held as part of sanctions against Moscow.

He said any such move would be “daylight robbery.”

“Why can this robbery be done?

Russia has been repeatedly accused in recent months of waging a joint war against Ukraine’s European allies, with a series of unsolicited drone incursions, including airfields and military bases, Russian warplanes violating European – and NATO – airspace, and other alleged acts of sabotage against critical infrastructure.

“If Europe left today without an agreement, it would not only have failed Ukraine, it would have failed us,” said Belgian Prime Minister Bart De Wever on Friday, putting a positive spin on the agreement that was reached.

German Chancellor Friedrich Merz also praised the deal for an “interest-free loan” for Ukraine, leaving room for Russian supplies to be used in the future.

“These funds are enough to cover Ukraine’s military and budget needs for the next two years,” Merz said, noting that frozen Russian goods will remain blocked unless Russia pays reparations to Ukraine for the heavy damage caused during the war.

“If Russia does not pay reparations, we will use all of Russia’s assets to pay off the loan,” the German leader said.

The Ukrainian government has welcomed the deal, but has made it clear that Kyiv still feels that frozen Russian assets should be accessed to support its defence.

“Of course, there are times when one must remember that ‘Perfect is the enemy of good,'” said Ukrainian Deputy Foreign Minister Sergiy Kyslytsya. “It was a long night for European leaders, but they managed to come up with a workable result.”

Anhelina Shamlii contributed to this report.