Russia will sharply cut crude oil exports this month as refinery outages, fuel shortages, and Ukraine’s strikes push Moscow to divert more barrels to the domestic market, according to a report by Oilprice.
Shipments from the western ports of Primorsk, Ust-Luga, and Novorossiysk are projected to drop to about 1.7 million barrels per day in June, down from 2.5 million bpd in May, according to Reuters. The reduction reflects Russia’s effort to boost refinery output to ease regional fuel shortages while also managing lower crude output.
Ukrainian officials stated on Monday that a new series of airstrikes targeted Russian oil infrastructure overnight, including an attack on the Grushovaya oil transshipment base near Novorossiysk, one of southern Russia’s major oil and petroleum export hubs. Additional strikes were reported on oil facilities in the Volgograd region and fuel storage sites in Russian-occupied Crimea.
Earlier this year, drone attacks caused temporary shutdowns at several Russian refineries, although Moscow largely offset the impact by increasing crude oil exports. However, Deputy Prime Minister Alexander Novak acknowledged last week that national oil production has declined since the beginning of the year.
According to sources cited by Reuters, Russia intends to raise refinery processing rates by between 250,000 and 400,000 barrels per day in June to meet seasonal fuel demand and address shortages in several regions. At the same time, industry reports suggest that crude production continued to fall in May, following one of the steepest monthly declines in April, when output dropped by 300,000–400,000 barrels per day compared with earlier averages.
Moscow has already taken steps to safeguard domestic fuel supplies. Gasoline exports were suspended in April, and jet fuel shipments have been banned through November. As reported by Reuters, no spot deals have been reported for June deliveries of West Siberian crude to the domestic market, as producers cite feedstock shortages and prioritize existing export obligations.
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