Russian Domestic Fuel Prices Stabilized: Novak

Russian fuel prices at domestic filling stations have stabilized according to Deputy Prime Minister Alexander Novak.

• It comes after an oil product export ban was put in place late September and tweaked a number of times since, but has now largely allowed seaborne exports of diesel since early October.
• Novak also recently ordered its refiners to boost production of winter diesel fuel to meet domestic demand.
• Prices in the small-scale wholesale sector continue to drop in line with prices on the exchange, according to a statement by the Russian government.
• Novak is having weekly meetings with refiners to stay on top of the situation and avoid surging prices at the pump again.
• Despite Europe banning imports of Russian diesel since Feb 5, the knock-on effect of Russian bans impacts global markets, increasing competition for US Gulf supplies for example.