Ukraine's strikes slash Russia's gasoline output to just 65% of demand, Reuters says
Photo: Gasoline production in Russia has fallen to 65% (Getty Images)
Russia's gasoline production covers only about 65% of seasonal demand due to Ukrainian drone strikes that have shut down the country's largest oil refineries, reports Reuters.
According to Reuters calculations and industry sources, Russia is short by 40,000-45,000 metric tons of gasoline per day, or about 35% of the required volume.
That means production now covers only about two-thirds of summer demand. As recently as June, the daily shortfall stood at 25%, but it has now increased deeply.
During the peak summer season, Russia requires 115,000-120,000 metric tons of gasoline per day. Production capacity is no longer able to meet that demand.
Which plants have shut down
Ukrainian drone strikes have knocked out several key fuel producers. Among the affected facilities are the NORSI refinery and the Omsk Oil Refinery, two of Russia's largest gasoline producers.
The Saratov Oil Refinery was also forced to halt operations due to damage.
Imports from Belarus and by sea from India
The Russian government is discussing a ban on exports of diesel, jet fuel, and gasoline. At the same time, Moscow has already begun importing fuel from abroad. In June, supplies from Belarus reached a monthly record, while traders say deliveries amounted to up to 6,000 metric tons of gasoline per day.
In addition, according to Reuters industry sources, Russia has begun shipping fuel by sea from India. Domestic reserves are also being depleted.
Deputy Prime Minister Alexander Novak publicly acknowledged the situation during a televised government meeting.
According to him, the situation "remains complex," and "it is clear that the current situation at filling stations is causing concern among the public."
Cossacks at gas stations
At the resort city of Anapa, "cossacks" are managing order in lines at gas stations. One of them, Yuri Komarov, wearing a white shirt and a black fur hat, told Reuters that he is helping direct drivers between gas stations "in a normal way."
According to his observations, consumer behavior has changed following reports of shortages.
"You see, before people used to come to a petrol station and get 10 litres (2.64 gallons), but now they fill up the whole tank, just in case. I think that's the reason for this hype. There is no other way one to explain it," Komarov said.
Can the situation improve?
According to industry sources, Russia's fuel market is expected to improve in the second half of July, but only if there are no new Ukrainian Armed Forces attacks on oil refineries.
In that case, refineries will gradually be able to resume operations, while imports will increase.
As previously reported, gasoline prices in Russia hit a 20-year record in June due to the fuel crisis caused by Ukrainian strikes on oil refineries.
Dozens of Russian regions imposed restrictions on gasoline sales, including the Khanty-Mansi Autonomous Okrug, where about 40% of Russia's oil is produced.
At the end of June, Moscow asked Kazakhstan for 50,000 metric tons of AI-92 gasoline.
