Russian refineries hit by drone strikes, production at decade low
Russian refineries are experiencing their lowest production levels since 2012 due to drone attacks and financial problems, reports Reuters. Fuel prices in Russia increased by 11 percent in 2024, the largest rise in 13 years.
Refineries in Russia are facing serious challenges, leading to the lowest production levels since 2012. According to Reuters, in 2024, oil processing is expected to total 294 million short tons, representing a decrease of 8.9 million short tons compared to the previous year. The primary causes are drone attacks and shutdowns at key facilities.
Among the most affected refineries are Tuapse, Nizhegorodnefteorgsintez, and Novoshakhtinsk. Downtimes in these plants have led to losses of approximately 6.1 million short tons, 3.7 million short tons, and 1.7 million short tons, respectively.
The situation may improve
Experts predict that the situation may improve in 2025, due to better equipment supplies and growing demand for fuel.
Fuel prices in Russia rose by 11 percent in 2024, marking the most significant increase since 2011. Rosstat reports that the average price of gasoline is 0.58 US dollars per gallon.
In remote regions, such as Sakhalin and Yakutia, prices are even higher. The Kremlin is attempting to curb these price increases, but drone attacks and financial issues at refineries are hindering these efforts.
