Russia’s oil-product exports have fallen this month as local refining activity eased, at a time when some fuels exceeded Group of Seven price caps to potentially increase scrutiny on Western shipping service providers to move cargoes.
(Bloomberg) — Russia’s oil-product exports have fallen this month as local refining activity eased, at a time when some fuels exceeded Group of Seven price caps to potentially increase scrutiny on Western shipping service providers to move cargoes.
Shipments of Russia’s main products — including diesel, fuel oil and naphtha — dropped in the first 12 days of August, according to Vortexa Ltd. data compiled by Bloomberg. Most of those have breached price thresholds imposed by the G-7, complicating traders’ access to shipping logistics services and insurance.
Russia’s oil exports are being closely watched to estimate its crude production since Moscow stopped releasing official data. The nation’s seaborne oil flows slipped last month, suggesting Russia is adhering to pledged output cuts. Refined product flows had climbed in July with the winding down of spring maintenance, but are now starting to ease.
Oil-product exports totaled about 2.29 million barrels a day so far, the lowest daily average since October, according to the Vortexa data compiled by Bloomberg as of Friday. That’s 14% below July’s total, when volumes hit a three-month high.
Below is a breakdown of Russia’s seaborne fuel exports from its western and eastern ports as of Aug. 12:
Diesel and gasoil exports eased to 1.04 million barrels a day, down 11% from the average for all of July. Turkey remains the top buyer of Russian diesel, while flows to Libya and Tunisia have risen this month.
Naphtha flows have dropped to a two-month low of 351,000 barrels a day, accounting for roughly 15% of Russian fuel exports. Shipments shrunk to major hubs like Singapore and China.
Gasoline and blending component exports halved to just 58,000 barrels a day, while jet fuel flows rose to a three-month high of almost 50,000 barrels a day.
Fuel oil shipments declined to about 680,000 barrels a day, the lowest since June 2022. Meanwhile, exports of refinery feedstocks like vacuum gasoil reached a three-month high of 109,000 barrels a day.
Export volumes are likely to be revised as new cargoes are observed for the rest of the month. Shipments in-transit may also update their final destinations.
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