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Russian Refineries Struggling for Parts Under Sanctions

REFINING

Western sanctions are making it hard for Russia to repair its damaged refineries after Ukrainian drone strikes according to Reuters sources.

  • Lukoil’s NORSI refinery lost a turbine for its gasoline producing unit which requires a US company to produce the parts and fit - no longer available under sanctions.
  • A catalytic cracker used to convert heavier hydrocarbons into gasoline at the refinery has also been out of production since January and it was not clear when it could be repaired due to a lack of expertise inside Russia according to the sources.
  • Gasoline production at the refinery is reported to be down 40%. The refinery has a capacity of 405,000 metric tons a month of gasoline or 11% of Russia's total.
  • Russian Deputy PM claims NORSI will be running within a month or two with Russian firms working to produce the spare parts.
  • Russian Minister Nikolai Shulginov said on Wednesday all refineries would be fixed by June, without providing further details.

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