Russia's crude exports fall to lowest level since February

Russia's crude oil shipments have dropped to their lowest level since February, as refinery processing outpaces production growth and trims available export volumes, Bloomberg reported on July 8.

Russia has used its revenues from energy exports to finance the war in Ukraine.

Seaborne crude flows averaged 3.12 million barrels a day over the four weeks to July 6, a 3% decline from the previous period ending June 29, according to tanker-tracking data compiled by Bloomberg. That's the lowest level recorded since the four-week period ending Feb. 23.

The gross value of Moscow's oil exports rose by about $100 million, or 8%, to $1.36 billion for the week ending July 6, Bloomberg said. That increase was due to higher volume, although average export prices declined for a second consecutive week.

Most of Russia's oil continues to head to Asia. Shipments to the region averaged 2.73 million barrels per day, slightly lower than the previous month. Flows to Turkey fell to 370,000 barrels a day, and shipments to Syria held steady at 25,000 barrels a day.

The European Union is seeking to tighten sanctions on Russia. Ambassadors have yet to approve the EU's 18th sanctions package due to opposition from Hungary and Slovakia. The bloc failed to adopt the new package on June 27.

The new package includes restrictions targeting Russia's energy and banking sectors, as well as transactions linked to the Nord Stream gas pipeline.