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Russia's Novorossiysk Oil Exports Rebound as Black Sea Berths Reopen, Bloomberg Analysis Says

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Russia's crude exports from the Black Sea port of Novorossiysk surged last week after all crude berths resumed operations for the first time since early April, a Bloomberg analysis citing tanker-tracking data and satellite imagery showed on Tuesday.

The increase was driven by the return of Berth 1A, which had been out of service since a Ukrainian drone attack damaged the port in early April. Satellite images from May 13 showed a tanker moored at the berth for the first time since April 2.

Russian crude exports averaged 3.67 million barrels per day in the week to May 17, up from 3.13 million barrels per day the previous week. A total of 34 tankers loaded 25.66 million barrels during the period, compared with 21.94 million barrels on 29 vessels a week earlier.

On a four-week average basis, exports stood at 3.61 million b/d, broadly unchanged from 3.64 million b/d in the period to May 10.

Kyiv has intensified attacks on Russian energy infrastructure, targeting Black Sea and Baltic export terminals, refineries, and pumping stations in an effort to disrupt oil revenues that help finance Moscow's war in Ukraine.

Russian crude has become increasingly important for buyers in China and India after Iran closed the Strait of Hormuz during the early stages of the Middle East conflict, disrupting roughly 15 million b/d of Persian Gulf oil flows.

Higher global oil prices and a US sanctions waiver have also supported Russian exports. The U.S. Treasury extended until June 17 a waiver covering purchases of Russian oil loaded before April 17, although most eligible cargoes have already been delivered.

The volume of Russian oil at sea climbed to about 118 million barrels by May 17, up roughly 20% in just over a month, tanker-tracking data showed.

Gross export revenues averaged about $2.3 billion a week in the four weeks to May 17, slightly below the previous period as lower Urals prices offset gains in ESPO crude.

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