Ukraine hits TANECO refinery and Tamanneftegaz oil terminal

Ukraine's Defense Forces targeted the TANECO oil refinery and the Tamanneftegaz oil terminal in Russia over the weekend of August 19-20, causing damage and fires at both facilities, according to the General Staff. The TANECO refinery, located in Nizhnekamsk, Tatarstan, has a capacity of processing 16 million metric tons of crude oil annually, producing various petroleum products essential for Russia's occupation forces.

Meanwhile, the Tamanneftegaz terminal, situated in Volna, Krasnodar Krai, is one of Russia's crucial oil terminals in the Black Sea region, handling up to 19.9 million metric tons of oil, petroleum products, and liquefied hydrocarbon gases per year. The strikes have exacerbated fuel shortages already impacting 16 regions, prompting Russia to import gasoline from India, Kazakhstan, and Morocco.

This fuel scarcity has also negatively affected President Vladimir Putin's approval rating, which plummeted to a record low of 66% since fall 2022. Russian media reports indicate that the refining industry may set another record low in August due to the Ukrainian strikes, with petroleum product output struggling to return to normal levels even by 2026.

An industry source cited by Reuters revealed that Russia's seaborne petroleum product exports declined by 54.7% year-over-year in July, totaling 3.93 million metric tons.