The Russian government has reached the final stages of implementing a comprehensive ban on diesel and aviation fuel (kerosene) exports following a devastating wave of Ukrainian long-range drone strikes that have knocked out a quarter of the nation’s total oil refining capacity, effectively paralyzing critical energy infrastructure across central Russia.
Key energy hubs hit in recent weeks include the Ryazan, Moscow, Kirishi and NORSI (Nizhny Novgorod) refineries processing roughly 238,000 tons per day (83 million metric tons per year), accounting for about 25% of Russia’s diesel and 30% of its gasoline output.
Deputy Prime Minister Alexander Novak convened emergency meetings with major oil corporations to discuss the embargo.
The pending diesel and kerosene restrictions follow a strict gasoline export ban that Moscow put into law starting in April, which is scheduled to run through at least the end of July.
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While Russia previously utilized fuel reserves to mask localized deficits, the compounding damage to primary distillation units has forced the state to consider tighter market containment strategies. Repairing these custom processing units is expected to take months due to tight Western sanctions blocking the import of specialized components.
The extensive infrastructure damage severely threatens Moscow’s federal budget, with oil and gas taxes generating roughly 25% of all state revenues.
Ukrainian long-range drone strikes on Russian energy infrastructure cost Russian oil companies $13 billion in 2025, with continued strikes causing Vladimir Putin’s war effort to lose up to $100 million per day in potential earnings.
Disruptions at key Baltic Sea ports like Ust-Luga and Primorsk as well as deep inland refineries resulted in significant drops in export volumes. For instance, strikes on export terminals have previously caused weekly oil flows to fall by 1.75 million barrels a day. By April, Russia’s average refinery throughput dropped to 4.69 million barrels per day.
By Alex Kimani for Oilprice.com
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