Russia’s Oil Sales: Record Discounts, Dim Future
The discount on Russian Urals crude versus Brent surged to $19.40 per barrel on November 10th, the highest in a year, according to Kommersant citing industry sources. This increase followed new US sanctions targeting Russian energy companies Lukoil and Rosneft. Previously, discounts had reached a peak of $31.90 per barrel in the second quarter of 2022. Key buyers like India and China are reportedly reducing Russian crude imports, and declines in exports have been the steepest since January 2024.
John Q. Hosedrinker