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Ukraine drone strikes slash Russian gasoline output, fuel shortage looms
๐Ÿ‡ช๐Ÿ‡ช Estonia /Conflict & Security

Ukraine drone strikes slash Russian gasoline output, fuel shortage looms

From Postimees · () Estonian

Translated from Estonian, summarized and contextualized by DistantNews.

At a glance

News From a news agency Context piece
  • Ukrainian drone attacks have significantly reduced Russia's gasoline production to about 65% of normal seasonal consumption, impacting major refineries.
  • Russia faces a fuel shortage, with daily gasoline demand exceeding supply by approximately 35% during peak summer consumption, leading to long queues at gas stations.
  • To mitigate the shortage, Russia is considering export restrictions and increasing imports, while the situation may improve in late July if refineries resume production and imports grow, provided no new attacks occur.

Ukraine's sustained drone attacks on Russia's energy infrastructure have crippled gasoline production, reducing output to roughly 65% of typical seasonal levels. Several key refineries, including NORSI and Omsk, Russia's largest gasoline producers, have halted operations. The Saratov refinery also ceased production following the strikes.

This disruption has created a significant fuel deficit. During the peak summer consumption period, Russia's daily gasoline supply falls short of demand by an estimated 40,000 to 45,000 tons, or about 35%. This shortage is a marked increase from June, when the deficit was around 25%. Daily gasoline demand in Russia is estimated to reach 115,000 to 120,000 tons during the summer high season.

The fuel scarcity has led to extensive queues at gas stations across the country. In the Black Sea resort town of Anapa, Cossacks have been deployed to maintain public order. Locals report that panic-driven behavior, with drivers filling their tanks out of fear of running out of fuel, has exacerbated the situation.

In response, the Russian government is contemplating export restrictions on gasoline, diesel, and aviation fuel. Simultaneously, imports have been increased. June saw a record volume of gasoline and diesel arrive from Belarus, and traders report that fuel imports from India have also commenced. Traders estimate that up to 6,000 tons of gasoline are being supplied daily from Belarus. Additionally, fuel reserves are being utilized.

Russian Deputy Prime Minister Alexander Novak acknowledged on July 8 that the fuel market situation remains "complex" and is causing public concern. The Ministry of Energy did not respond to Reuters' request for comment. Industry sources suggest the situation could improve in the latter half of July if refineries resume production and import volumes increase, contingent on Ukraine refraining from further attacks on refinery facilities.

The situation on the fuel market is still complex and causes concern among people.

โ€” Alexander NovakAcknowledging the challenges in Russia's fuel market.
DistantNews Editorial

Originally published by Postimees in Estonian. Translated, summarized, and contextualized by our editorial team with added local perspective. Read our editorial standards.