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products from the volatile world market, writes Bloomberg.
There is only one reason: no one believes that the ban will last even a month, despite the words of the first deputy head of the Ministry of Energy Pavel Sorokin that it will be indefinite.
Firstly, supplies will not be cut off at once - goods that have already been accepted for transportation by Russian Railways or sea carriers will be released for export. Secondly, Russia has limited storage capacity: after it is exhausted, it will either have to open exports or reduce refining at refineries. The latter can lead to a physical shortage of fuel and rising prices, which the government will try to prevent.
The ban “will last a couple of weeks until the end of the harvesting campaign in October,” Bloomberg quotes JP Morgan Chase & Co. analysts as saying. “Everything will depend on its duration,” says specialized consulting company FGE. “Russian refineries can operate for about a month before tank farms are filled.” The market also does not believe that the cessation of oil product exports will last long enough to cause a decrease in oil production in Russia. On Friday morning, oil prices rose only within a percentage point as they sought a balance between a possible decrease in supply and a drop in demand due to tightening monetary policy in the US and EU.
Russia is finishing laying out the route of the Sila Sibiri 2 gas pipeline to China, Deputy Prime Minister Alexander Novak said on September 6 in a story he contributed to journal Energeticheskaya Politika. "It is expected that the pipeline will run next to the cities of Achinsk, Krasnoyarsk, Kansk, Sayansk, Angarsk, Irkutsk and through the territory of the Buryatia republic (to the south of the lake Baikal) to reach the Russian state border near the town of Naushki," Novak said.
Greek shipowners have sold 290 oil tankers since the beginning of Russia's invasion of Ukraine. No one, not even Chinese companies, have sold more ships. Mostly, these oil tankers go to subsidiaries of oil giants, allowing crude and refined products to be sold worldwide
108 RUSSIA Country Report October 2023 www.intellinews.com