Russia faces oil export challenges after Ukrainian strikes cripple refineries

Ukrainian drone attacks on 19 Russian refineries over the past two months have reduced processing capacity to its lowest in 21 years, causing a crude buildup on tankers as export volumes stagnate.

• Ukraine struck 19 Russian refineries with a combined capacity of 4.9 million barrels per day over the past two months, according to Bloomberg.
• Russia’s average seaborne crude exports stood at 4.21 million barrels per day in the four weeks ending July 12, unchanged from the prior period, Bloomberg data showed.
• Crude oil has accumulated on tankers off Egypt’s Mediterranean coast and near Singapore, with some shipments lacking a final destination, Bloomberg reported.
• The US Treasury granted a temporary exemption for Russian oil exports, and India resumed buying Russian crude after pausing purchases under US pressure.