Russian gasoline output slumps after Ukrainian drone strikes

Russian gasoline production has dropped to a level equivalent to only about 65% of peak seasonal demand after Ukrainian drone attacks forced several major oil refineries to suspend operations, two industry sources confirmed, Reuters reports.

Ukraine has stepped up strikes on Russia's energy infrastructure, including key oil refineries, as part of its effort to disrupt facilities supporting Moscow's war effort.

The refinery disruptions have led to fuel shortages in some regions, with motorists reportedly queuing at filling stations. In some areas, Cossack units, which have increasingly been deployed alongside police in recent years, have been used to help maintain public order at fuel stations.

According to industry sources, operations have been halted at several refineries, including NORSI and Omsk—Russia's two largest gasoline producers—as well as the Saratov refinery, another major supplier of motor fuel.

The sources, who spoke on condition of anonymity because they were not authorized to comment publicly, said gasoline production is currently falling short of peak summer demand by 40,000 to 45,000 metric tons per day, or roughly 35% of the country's daily requirements.

Domestic gasoline consumption during the summer driving season typically ranges between 115,000 and 120,000 metric tons per day, while the current shortfall is significantly higher than in June, when the deficit stood at around 25%, the sources said.

To help ease supply pressures, Russia has begun increasing fuel imports. Shipments of gasoline and diesel from Belarus reached a monthly record in June, while industry sources said last week that Russia had also started importing gasoline by sea from India.

Traders estimated that up to 6,000 metric tons of gasoline per day are currently being delivered from Belarus, while domestic fuel reserves are also being drawn down to meet demand.

Industry sources said they expect conditions in Russia's fuel market to improve during the second half of July, provided there are no further attacks on oil refineries, as damaged facilities gradually resume operations and imports continue to rise.

By Vafa Guliyeva