Russian Terminal In Ust-Luga Deprived Of Half Of Its Oil Export Capacity

Ukrainian drones damaged pipeline infrastructure.

The Ust-Luga export terminal will operate at about 350,000 bpd in September, about half of its normal capacity.

This is reported by Reuters.

The decrease is due to damage to pipeline infrastructure caused by Ukrainian drone attacks. This complicates Russian oil exports and could lead to supply disruptions.

Drone attacks

The problems at Ust-Luga began after strikes on an oil pumping station in Unecha in the Bryansk region earlier in August. Unecha is a key transit hub for oil bound for Ust-Luga.

The attacks also affected pumping through the Druzhba pipeline, which supplies oil to Belarus, Slovakia and Hungary. Slovakia said deliveries through the pipeline resumed this week in test mode.

Repairs and bypass routes

Sources did not specify which pipeline was damaged, but confirmed that repair work was already underway. However, the timeframe for full restoration has not yet been determined.

The drop in capacity at Ust-Luga will lead to a redirection of oil volumes to the Russian ports of Primorsk and Novorossiysk. This may help limit export losses.

Reaction of Authorities

Russian authorities have not publicly commented on the extent of the damage and the implications for the export schedule.

The pipeline and terminal operator, Transneft, declined to comment.

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