Russia's fuel export revenues doubled to $19B in March
What's the story
Russia's oil and fuel export revenues have almost doubled to $19.04 billion in March, a significant jump from February's $9.75 billion. The spike comes as global prices soar amid the ongoing conflict in the Middle East, according to the International Energy Agency (IEA). This marks a major recovery for Moscow after its oil revenues hit their lowest level since the Ukraine war began in 2022.
Revenue reliance
Rise in seaborne shipments
The sharp increase in oil revenues highlights the continued importance of energy exports in financing Russia's budget and its rising military expenditure. The IEA reported that Russia's crude oil exports rose by 270,000 barrels per day (bpd) month-on-month to 4.6 million bpd in March. This rise was mainly due to an increase in seaborne shipments, even as the flows through the Druzhba pipeline remained offline.
Export disruptions
Pipeline exports suspended
The IEA also noted that pipeline exports to Hungary and Slovakia through Ukraine have been suspended since late January due to attacks on key infrastructure. Despite these challenges, Russia's crude production rose from 8.67 million bpd in February to 8.96 million bpd in March, according to the agency. However, the IEA warned that further output increases may be difficult in the near term due to damage from ongoing attacks on ports and energy infrastructure.