Russian fuel flows hit 17-month low on diesel curbs, maintenance

Russian oil-product exports have dropped to a 17-month low after a temporary ban on diesel shipments and as seasonal maintenance crimped refining activity.

Refined fuel shipments fell to 2.2 million barrels a day in first 28 days of October, according to data compiled by Bloomberg from analytics firm Vortexa Ltd. That’s the lowest since May 2022 and down roughly 3% from both September and a year earlier.

Russia’s exports are being closely monitored by the oil market for clues on its production after Moscow stopped releasing official output data. The nation’s crude shipments have exceeded a target set as part of an OPEC+ pact, the latest tanker-tracking data monitored by Bloomberg show.

Still, fuel flows have been pressured with production curbed as domestic refiners are yet to fully end planned refinery maintenance that’s set to run through next month.

Here’s a breakdown of shipments from the country’s ports for Oct. 1-28: 

Diesel exports continued to slide to 372,000 barrels a day. While the government lifted the temporary exports ban on Oct. 6, flows have been restricted as Russia allowed shipments to resume provided the fuel is delivered to the nation’s ports by pipeline and refiners keep at least 50% of their diesel output for the domestic market.

Gasoil exports rebounded to about 515,000 barrels a day, pushing combined gasoil and diesel shipments up slightly from the previous month to 887,000 barrels a day.

Naphtha exports rose about 5% to a five-month high of 414,000 barrels a day. Smaller sales to Asia have been more than offset by a surge in cargoes to Africa, the Middle East and South America.

Gasoline and blending component shipments totaled 51,000 barrels a day, less than a third of September’s total, with exports of the car fuel still banned. Jet fuel flows slumped almost 70% to 17,000 barrels a day, the least since June.

Fuel oil exports rose marginally to 703,000 barrels a day, the highest since July. Shipments of refinery feedstocks, which include vacuum gasoil, jumped by a third to a five-month high of 141,000 barrels a day.

Cargo volumes and destinations are likely to be revised as more shipments are observed for the rest of the month.