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Russian refiners are increasing diesel production in October after the Russian government allocated export quotas as part of a supply agreement between Russia and the US.

Mikhael Barst · · Source

🇺🇸 USA · Map

Russian refiners are increasing diesel production in October after the Russian government allocated export quotas as part of a supply agreement between Russia and the US.

Reuters writes about it:

Thus, in the first half of October, the Russian government allowed exceptions to the current ban on diesel exports, and introduced quotas that allow Russia to supply fuel in accordance with the agreement with Trump. After the ban on diesel exports from Russia came into force in August, Russian oil companies were forced to reduce production according to local needs, while limiting supplies to Central Asian countries within the framework of intergovernmental agreements.

In the first half of October, diesel production in Russia dropped to about 160,000 tons per day compared to 175,000. tons per day in September. After the introduction of new export quotas in the middle of the month, production began to rise and approach 180 thousand tons per day.

In October, local consumption usually drops to about 140,000 tons per day. This is due to seasonal factors, in particular the end of the grain harvest and the summer travel season on the roads. "Therefore, at least 40 thousand tons of fuel per day, or more than one million tons per month, may remain for export. At the same time, according to sources, 200,000 to 300,000 tons of this volume may be required for supply to neighboring countries," writes Reuters.

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