15 Jan 2024 20:03

Government considering ban on gasoline exports from Russia after NORSI accident - sources

MOSCOW. Jan 15 (Interfax) - The Russian government is considering a ban on gasoline exports following the shutdown of a unit at one of Lukoil's refineries, several sources familiar with the situation told Interfax.

The Russian Energy Ministry said on Monday that an unscheduled repair of one of the catalytic cracking units at Lukoil-Nizhegorodnefteorgsintez (NORSI) caused a drop in production of motor gasoline, and oil companies have drawn up measures to continue uninterrupted supply of fuel to the domestic market during the repair period.

"Members of the coordination headquarters emphasized that domestic market needs will be met by reducing export supplies and reorienting the available resources of other market participants," the Energy Ministry said in a statement.

According to Interfax sources, Lukoil asked the Energy Ministry to adjust the company's schedule of petroleum product production, as well as the volume of exchange sales.

Lukoil asked other oil companies to help supply up to 200,000 tonnes of Ai-95 gasoline in January and February. At the same time, Lukoil itself has already stopped exporting gasoline in order to direct the volumes to the domestic market, sources say.

Furthermore, sources said that the option of a temporary ban on gasoline exports is being discussed again. According to the sources, the Energy Ministry notes that this possibility remains and can be applied if necessary. One of the sources says that a regulation on the introduction of a ban on gasoline exports is already being prepared. Another source specifies that tools to prevent gasoline shortages on the domestic market are still under discussion.

The Ministry of Energy has yet to comment on this issue. The office of Deputy Prime Minister Alexander Novak and Lukoil have also not commented.