In Russia, refineries are reducing oil processing due to losses, raising concerns about potential closures, according to Reuters.

In Russia, oil refineries are cutting back on crude oil processing due to financial losses. Furthermore, there is now a looming threat of their closure.

This information was reported by RBK-Ukraine citing Reuters.

At least three Russian oil refineries have halted processing or reduced production volumes due to significant losses amid export restrictions, rising oil prices, and high borrowing costs.

Specifically, this concerns the Tuapse, Ilsky, and Novoshakhtinsk refineries.

According to the publication, the closure of oil refineries indicates issues within the Russian oil refining industry.

It has been targeted by attacks from Ukrainian drones and Western sanctions, forcing refiners to sell fuel at a discount.

Additionally, the crisis is reducing fuel exports and lowering company revenues, which leads to decreased contributions to the state budget.

The least technologically advanced Russian oil refineries, which do not produce premium fuel types, have been hit the hardest. They incurred losses of up to $102 per metric ton over several months in the latter half of 2024.

Attacks on Russian Oil Refineries

It is noteworthy that Ukrainian special services are continuously targeting Russian oil refineries, oil depots, and other facilities within the RF that support the occupying forces.

Recently, Ukrainian military drones struck a refinery in Saratov. According to sources from RBK-Ukraine, the drones hit one of the refinery's processing units and storage tanks containing fuel oil.

In Penza, Russia, drones attacked an oil storage facility. RBK-Ukraine showcased footage of the aftermath.