WS #16607
Ukraine has resumed drone strikes on Russian oil refineries, including the Novokuibyshevsk refinery, prompting Deputy PM Alexander Novak to warn of negative impacts on global diesel supplies. While Russian oil production remains higher than September, the targeted damage to refining capacity is creating a supply squeeze in diesel, benefiting energy refiners (MPC, VLO) while pressuring airlines and shipping due to higher fuel costs.
Ukraine Drone Strikes on Russian Energy
Ukraine has resumed drone strikes on Russian oil refineries, including the Novokuibyshevsk refinery, prompting Deputy PM Alexander Novak to warn of negative impacts on global diesel supplies. While Russian oil production remains higher than September, the targeted damage to refining capacity is creating a supply squeeze in diesel, benefiting energy refiners (MPC, VLO) while pressuring airlines and shipping due to higher fuel costs.