Russia is reportedly planning to increase refinery operations in June while reducing crude oil exports in order to prevent potential fuel supply shortages in the domestic market. According to sources familiar with the matter, Russia aims to increase processing capacity as refineries across the country complete maintenance work.
Preliminary data suggests that crude oil shipments through Russia’s major western export terminals—Primorsk Port, Ust-Luga Port, and Novorossiysk Port—are expected to decline from approximately 2.5 million barrels per day to 1.7 million barrels per day. Sources say that this decline stems not only from increased refinery demand but also from a drop in oil production.
In previous statements, Alexander Novak noted that Russia’s oil production has fallen since the beginning of the year, attributing this primarily to unscheduled maintenance work at refineries.
According to sources, following the completion of maintenance, Russian refineries will increase their processing volumes due to the seasonal rise in fuel demand and reported supply shortages in some regions. However, with production still at low levels, a portion of the crude oil intended for export will need to be redirected to refineries for domestic processing.
Experts estimate that Russia aims to boost its daily crude oil processing capacity by 250,000 to 400,000 barrels in June. However, it is believed that it may take time to restore oil production to previous levels, and therefore, pressure on exports could persist in the short term.
