Putin's Wrong – Russia’s Oil Exports and Revenue Both Slump in August
Contrary to what Putin said in Vladivostok, it has not been more profitable for Russia to sell crude than to refine it domestically. August’s figures saw Russia’s overall exports dropping by 7% and revenue dropping by 8%, with seaborne crude revenues dropping 32% month-on-month, to a five-year low at $90 million per day.
Russian President Vladimir Putin claimed that exporting crude oil is more profitable than processing it domestically, in an attempt to minimize the impact of Russia's fuel crisis. However, a new analysis from the Centre for Research on Energy and Clean Air (CREA) has revealed that Russia's oil exports and revenues both declined in August.
According to the think tank, Russia's fossil fuel exports and revenues fell by 7% and 8% respectively compared to the previous month. The report states that Russia had to import fuels from India and South Korea to compensate for its reduced export capacity resulting from Ukrainian strikes. In fact, CREA noted that Ukrainian refinery strikes have led to Russia's oil product exports hitting record lows, forcing Moscow to import fuels from various countries, including South Korea and India.
The overall crude exports of Russia have also dropped in August, with pipeline crude exports experiencing a 14% revenue boost but a 13% drop in seaborne crude export revenues, leading to an 11% decrease in volumes. This situation has intensified an automobile fuel crisis in Russia, as the country has turned to other nations for gasoline and diesel imports to meet its high demand.
Written by urgent.news from Kyiv Post's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
