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Russia increases diesel exports in November by 3% despite sanctions and infrastructure damage

Data from market sources, LSEG and other sources showed that Russia's seaborne gasoil and diesel exports increased 3% from October to 2.37 million metric tonnes in November despite the recent U.S. Sanctions and infrastructure damages caused by drones.

The market sources said that exports of ultra low-sulphur fuel via Primorsk - Russia's biggest outlet for diesel shipments - grew 39.3% on a month-to-month basis to 1.221 millions tons, as major producers carried out seasonal and unplanned maintenance.

Exports from Russia's south ports, on the other hand, fell dramatically as a result of drone attacks against infrastructure and refineries in the region.

Tuapse, a Russian Black Sea port, suspended fuel exports in November 2 following Ukrainian drone attacks against its infrastructure. This forced the refinery on site to stop crude processing. Diesel exports at Novorossiysk (another Black Sea port) fell by one-third to 0.64 millions tons, due to unexpected maintenance at Lukoil Volgograd's refinery, and temporary suspensions of loading following drone and missile attacks.

Overall diesel volumes in November were not affected by the U.S. sanctions against Russia's two largest oil companies, Lukoil & Rosneft.

LSEG data shows that Turkey was the largest buyer of Russian gasoil and diesel in November. Imports increased 10% on a month-to-month basis to 1,06 million tons.

The shipment to Brazil has also increased to 190,000. This is up from 74,000 tonnes in October.

Shipping data shows an increase in the number of ship-to-ship transfer near Port Said (Egypt) and Limassol (Malta), totaling nearly 0.5 millions tons. These cargoes' final destinations are still unknown.

LSEG data show that several tankers transporting about 270,000 tonnes of diesel from Russian port have yet to declare the ports where they discharge their cargo. (Reporting in Moscow, Editing by Emelia Matarise Sithole)

(source: Reuters)