3 weeks ago

Russia Turns to India for Gasoline as Ukraine Hits Refineries

Russia Turns to India for Gasoline as Ukraine Hits Refineries
Russia Turns To India For Gasoline As Ukraine Pummels Refineries · deccanchronicle.com

Russia is a big country that makes its own car fuel in giant factories called refineries.

Ukraine and Russia are fighting a war.

Ukraine is using drones, which are like remote-controlled flying machines, to hit Russian refineries.

Because the refineries are damaged, Russia cannot make enough gasoline for its people.

For the very first time, Russia is buying gasoline from a country called India to make up for it.

The fuel travels on big ships, and some of it is moved between ships near Egypt before reaching Russia.

Russia is also buying fuel from Belarus, a country next to it.

This is unusual because Russia usually sells fuel to other countries instead of buying it.

The shortage means Russia must work to fix its refineries and protect them from more attacks.

In the meantime, fuel may stay hard to find.

Key facts

First India-to-Russia gasoline shipment
August 5, per Kpler data
Gasoline supplier
Nayara Energy Ltd., backed by Rosneft PJSC
July crude-processing rate
About 3.6 million barrels per day, roughly one-third below the seasonal norm
Refineries targeted
Five last week; at least two more this week
Russia's export measures
Restrictions on gasoline and diesel exports
Additional import sources
Belarus and other neighboring markets
Fuel route
Russian-linked tankers with ship-to-ship transfers off Egypt
Comment requests
Russia's Energy Ministry, India's Oil Ministry and Nayara Energy did not respond to Bloomberg

Quotes

Sumit Ritolia

Lead analyst at Kpler

“"The emergence of Indian barrels is particularly notable," Sumit Ritolia, lead analyst at Kpler, said. The cargoes, along with continued imports from Belarus and other neighbouring markets, highlight the severity of the current domestic gasoline imbalance and how lower refinery operations are reshaping Russia's traditional fuel trade flows.”
deccanchronicle.com

Sources

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