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Russia’s Ust-Luga oil terminal loses half its export capacity - Reuters

Russia’s Ust-Luga oil terminal loses half its export capacity - Reuters Photo: Drones have deprived Russia of half of its oil exports via Ust-Luga

The Ust-Luga export terminal will operate at around 350,000 barrels per day in September, roughly half of its usual capacity, Reuters reports.

The reduction is linked to damage to pipeline infrastructure caused by Ukrainian drone strikes. This complicates Russian oil exports and could lead to supply disruptions.

Consequences of drone strikes

Problems at Ust-Luga began after strikes on the oil pumping station in Unecha, Bryansk region, earlier in August. Unecha is a key transit point for oil heading to Ust-Luga.

The attacks also affected the Druzhba pipeline, which supplies oil to Belarus, Slovakia, and Hungary. Slovakia reported that pipeline deliveries were restored on a test basis this week.

Repairs and alternative routes

Sources did not specify which pipeline was damaged, but confirmed that repair work is already underway. A timeline for full restoration has not yet been determined.

The reduced capacity at Ust-Luga will redirect oil volumes to the Russian ports of Primorsk and Novorossiisk, potentially helping to limit export losses.

Government response

Russian authorities have not publicly commented on the extent of the damage or the impact on export schedules.

Transneft, the pipeline monopoly that operates Russia's pipelines and the oil terminal, declined to comment.

As previously reported, Ukrainian drone strikes have significantly affected Russian oil infrastructure, disrupting at least 17% of Russia's refinery capacity - equivalent to 1.2 million barrels per day.

This has forced Russia to increase crude oil exports at lower prices.