Russia Considers Extending Gasoline Export Ban As Fuel Crisis Worsens

Russia is considering extending its current ban on exports of gasoline and introducing a ban on diesel exports as fuel shortages have emerged amid intensified Ukrainian drone attacks on Russian refineries and other energy infrastructure.

The government discusses extending the gasoline export ban for producers through the end of October, from September 30, sources with knowledge of the talks told Russian news agency Interfax on Tuesday. 

At the end of August, Russia extended the gasoline ban until September 30, 2025, for producers, and until October 31 for non-fuel-producing traders. 

Now the government considers another extension, for producers until October 31, and this is “highly likely”, one of Interfax’s sources said. 

Russia doesn’t need a ban on diesel exports, amid sufficient supply, sources at oil companies told the Russian news agency. 

Meanwhile, shortages of some fuel grades have emerged in the country, traders and retailers tell Reuters, as Ukraine’s attacks are curbing refining capacity. 

The drone hits on some of Russia’s biggest refineries slashed refining processing rates by one fifth on certain days. There isn’t a run on pump stations in the country, but some popular gasoline grades are not available everywhere, according to Reuters. 

Russia has not commented on the extent of the damage done by Ukrainian drones, but various reports have said that at least 10 refineries have been targeted with drones by Ukraine, and some of them have sustained damages and had to temporarily halt crude intake. 

Early this month, the Ryazan refinery in the region southeast of Moscow was targeted. The facility is operated by oil giant Rosneft and is one of the biggest crude processing plants in Russia with a capacity to process more than 260,000 barrels per day (bpd) of crude—or 5% of Russia’s refining capacity.  

Ukrainian drones have also caused various degrees of damage at the fuel loading and gas processing complex at the Ust-Luga port on the Russian Baltic Sea. Repairs at the most seriously damaged unit at Ust-Luga could take up to six months, according to reports.  

By Tsvetana Paraskova for Oilprice.com

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