NewsUkrainian drones cripple Russian oil production, prices surge

Ukrainian drones cripple Russian oil production, prices surge

Vladimir Putin intends to increase gas exports to Asia
Vladimir Putin intends to increase gas exports to Asia
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8:21 PM EDT, May 19, 2024

Ukrainian drone attacks disrupted the operations of Russian facilities and affected the production capacity of refineries and oil processing plants. As a result, domestic gasoline and diesel prices increased by up to 20-30 percent. To stabilize fuel prices, Russia banned gasoline exports for six months.

According to a report by the U.S. Department of Defense Inspector General Robert Storch for the U.S. Congress, Ukrainian drone attacks disrupted 14 percent of Russia's oil refining production capacity.

Russia depends on oil and energy exports, which account for about 30 percent of budget revenues and are crucial for financing the war.

An analysis of the effectiveness of Ukrainian drone attacks on Russian energy infrastructure, conducted in early 2024, shows that Ukraine managed to hit facilities, some of which are located deep within Russian territory. From January to the end of March 2024, there were 11 such attacks.

As a result, domestic gasoline and diesel prices increased by 20-30 percent. To stabilize fuel prices, Russia banned gasoline exports for 6 months, began importing oil products from Belarus, and planned to import from Kazakhstan.

Ukraine continues attacks on targets within Russian territory. The oil refinery in Tuapse, which was out of operation for several weeks after the January attack, was hit by another attack on Friday.

Last night, a drone attacked the oil refinery in Russian Sloviansk-on-Kuban - reports Ukrainian politician Anton Herashchenko.

Russians have a problem. Refinery halts operations

The mentioned Sloviansk oil refinery suspended operations following the nighttime drone attack. This was reported to Interfax by Eduard Trudnev, Director of Integrated Security at the Sloviansk ECO group of companies.

All services must go through the area, check for safety, and then specialists will begin to assess the damage - the Russian explained.
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