Russia will increase diesel exports by 28%
Russia will increase its diesel exports from Black Sea and Baltic Sea ports by 28% in December compared to November, while Moscow further eased curbs on fuel exports and Black Sea storms delayed some November cargoes in this month, industry data seen by Bloomberg on Friday showed.
This month, Russia will ship an average of about 681,000 barrels per day (bpd) of diesel from its major Western ports, up 28% from last month, according to estimates based on historical data from intelligence firm Kpler.
Russian diesel shipments from Black Sea and Baltic Sea ports in December would represent the highest export volumes since July, according to data compiled by Bloomberg.
The price premium of diesel fuel over crude oil has increased in recent weeks, also boosting diesel exports.
Late last month, Bloomberg estimates showed that higher refining processing rates and continued easing of fuel export restrictions were set to push Russian exports of refined petroleum products to a four-month high in November .
Higher fuel exports are driven by a rise in diesel shipments after Russia on Oct. 6 partially lifted a temporary ban on diesel exports that lasted just over two weeks.
In October, Russian seaborne gas oil exports were estimated to have fallen by 11% compared to September, due to the export ban and continued refinery maintenance.
This situation, however, proved to be transitory: exports by sea resumed shortly after the ban was lifted on 6 October. The restriction has been lifted, provided that the diesel producer supplies at least 50% of the diesel to the domestic market.
The ban on petrol and diesel exports was introduced to stabilize domestic fuel prices in a context of rising crude oil prices and weakness of the Russian ruble in September. Now the problem of the shortage of domestic production seems to have been resolved so exports are being pushed, also to strengthen the ruble.
We need to see how the USA will react to the decision: a month ago there was talk of increasing controls on Russian oil tankers leaving the Baltic, with the risk of inspections at sea.
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This is a machine translation of a post published on Scenari Economici at the URL https://scenarieconomici.it/la-russia-aumentera-lexport-di-gasolio-del-28/ on Sun, 03 Dec 2023 14:42:50 +0000.