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    Home > Chemicals Industry > Petrochemical News > Finding a stable export market will challenge the future of the Russian oil industry

    Finding a stable export market will challenge the future of the Russian oil industry

    • Last Update: 2021-07-20
    • Source: Internet
    • Author: User
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    The Russian "Kommersant" reported on May 31 that due to factors such as the decline in demand in major energy export markets such as Europe and the modernization of Russian refineries, the Russian oil industry may face urgent problems in energy exports
    .
    KPMG predicts that with the popularization of electric vehicles, the demand for diesel in Europe will decrease by 2030, and the volume of petroleum products to be exported from Russia will increase by at least 50%, reaching 60-70 million tons
    .


    According to a KPMG research report, in the context of steady growth in the output of light oil products, it may be difficult for Russian refineries to find a sufficiently large export market
    .
    In order to obtain government subsidies, the Russian refinery is promoting modernization as planned.
    By 2030, the annual output of Russian diesel may reach 110-120 million tons, while the domestic market demand in Russia will not exceed 40-50 million tons
    .
    Currently, nearly half of Russian diesel (40 million tons) is exported to European countries, accounting for 70% of European imports
    .
    However, due to the impact of the EU's environmental protection agenda and the transition to electric transportation, the demand for diesel in Europe will be greatly reduced.
    By 2030, or by 2019, it will be reduced by about 20% (60 million tons)
    .
    KPMG expert Zhirnov said that light oil products such as surplus diesel can be reprocessed to replace heavy oil fuels, but despite this, there will still be a surplus of about 20-30 million tons of diesel every year.
    It may be possible to find new markets in non-CIS countries Great challenges for Russian refineries
    .


    Regarding gasoline products, Russia's output will reach 45 million tons by 2030, with an estimated surplus of 5-7 million tons.
    Russian gasoline is mainly exported to Central Asia and other surrounding regions
    .
    Affected by factors such as slow economic recovery, limited transportation infrastructure capacity, and improved fuel efficiency, the growth of gasoline demand in Russia's domestic market will slow down, and growth may even stop in 2030-2035
    .

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