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•   Article by: FGE
•   Date Published: April 01, 2014
•   Who was cited: N/A

Russian oil exports total about 7 mmb/d (4 mmb/d crude, 3 mmb/d products); exports of natural gas to Europe about 160 bcm per annum.

The confrontation with Russia over its effective annexation of the Crimean peninsula in Ukraine has resulted in some speculation in international energy markets that oil/gas exports from Russia may be affected in some way. As it is, it is unlikely that any action by the “international community” would result in full-scale sanctions against Russian oil/gas exports in the short term, due to significant dependence of some European countries on Russian supplies – especially in the case of natural gas.

Russian crude exports, mainly to the West, total some 4 mmb/d – which is more than current spare OPEC output capacity of about 3 mmb/d (almost all in Saudi Arabia). In addition, Russia accounts for almost all of FSU products exports of just over 3 mmb/d. Key main products exports are naphtha (some 350 kb/d), gasoline (150 kb/d), gas/diesel oil (850 kb/d), VGO (250 kb/d) and fuel oil (1.4 mmb/d).

In terms of natural gas, Russian supplies are possibly even more significant, with gas exports to Europe last year of some 160 bcm accounting for about 30% of total European gas consumption (with Germany, Italy, Austria and Turkey particularly exposed, apart from the very high dependence of most countries in Eastern Europe).

Further information on FGE's FSU Oil Monthly report can be found online by clicking on the link below.

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