Russia’s oil revenues have fallen 30% since June

The value of Russia’s crude exports has fallen nearly 30 percent since the end of June as falling international benchmark prices depress the value of cheaper Russian crude, Bloomberg estimated.

Higher export volumes have failed to offset the fall in oil prices in recent weeks, with Russia’s flagship Urals crude now trading below the $60-a-barrel cap imposed by the EU and the US if Russia wants to use Western shippers, insurers and financiers for moving. the brute

The drop in oil prices, with Brent crude now in the low $70s a barrel – after settling one day earlier last week to a near three-year low below $70 – has inevitably led to a drop in crude oil prices Russian.

The price of Urals fell last week for the second week in a row. The price fell another $3 a barrel, leading to even lower revenues for Russia despite rising seaborne crude exports, Bloomberg’s Julian Lee notes.

Crude shipments from Russia’s export terminals averaged 3.21 million barrels per day (bpd) for the four weeks to Sept. 15, according to tanker tracking data and port agent reports compiled by Bloomberg. That’s 80,000 bpd higher than the four-week average through the week of Sept. 8.

Weekly seaborne exports — a more volatile figure given the nature of crude loadings and shipments — rose 110,000 bpd in the week to Sept. 15 from the previous week, the data showed.

However, higher export volumes were offset by lower oil prices, which reduced revenues for Russia.

Bloomberg estimates put four-week average oil earnings at their lowest level since February, falling to about $1.5 billion a week, Bloomberg’s Lee wrote.

Russia is cutting output as part of the OPEC+ deal, but has overproduced so far this year and has pledged to offset that overproduction next year.

By Tsvetana Paraskova for Oilprice.com

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