Russian oil production drops to 65 percent after Ukraine strikes: Sources – National
Russia’s oil output fell to just 65 percent of seasonal average consumption after an airstrike in Ukraine led to the shutdown of major oil refineries, according to two industry sources and Reuters figures.
Ukraine has stepped up its attacks on Russia’s energy infrastructure, including major oil refineries, to try to undermine Moscow’s war effort.
With fuel in short supply and drivers lining up to fill up their cars, the Cossacks, in recent years used to support the police, helped maintain public order at some filling stations.
The damage caused the suspension of operations at several oil refineries, including NORSI and Omsk, the country’s two largest oil producers. Another major oil producer, the Saratov refinery, was also forced to stop production, industry sources said.
The sources, who could not be named because they were not authorized to speak publicly, said that fuel production has fallen short of the required rate at this time of year, when summer weather increases driving demand, by between 40,000 and 45,000 metric tons per day, or about 35 percent.
In June, the daily deficit was 25 percent.
Russia’s daily fuel demand is around 115,000 to 120,000 tonnes during the summer peak, the sources said.
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Russia’s energy ministry did not respond to a request for comment.
The government’s initiative to deal with the deficit
The government’s proposals to deal with the fuel shortage, include a ban on the export of diesel, petrol and jet fuel.
Russia has also started importing fuel. Gasoline and diesel supplies from Belarus to Russia hit a monthly record in June, and industry sources said last week that Russia had begun importing oil by sea from India.
Traders say up to 6,000 tons of fuel per day are being brought from neighboring Belarus to Russia. Stocks are also recorded.
Deputy Prime Minister Alexander Novak told a televised government meeting on Wednesday that the fuel situation is still difficult and that “it is clear that the situation at filling stations is causing public concern.”
There are long queues at some filling stations in many parts of Russia. At the Black Sea resort of Anapa, the Cossacks helped maintain order.
Dressed in a white shirt and black fur hat, Yuri Komarov said he tries to make sure people fill up their cars satisfactorily.
“It is to avoid chaos and to ensure that drivers disperse between fuel pumps in a normal way,” Komarov told Reuters.
He said that people have changed the way they buy since the news of the shortage of children has come out, which does not help them at all.
“You see, before people came to the gas station and got 10 liters (2.64 gallons), but now they fill up the whole tank just in case, I think that is the reason for this noise, there is no other way to explain it,” he said.
Industry sources said the situation in the fuel market should improve in the second half of July – barring any new attacks on oil refineries – as refineries resume operations and fuel purchases increase.
