Russia Asks Kazakhstan to Prepare 100,000 Tons of Gasoline Amid Refinery Woes

Moscow has requested that Kazakhstan stand ready to provide up to 100,000 tons of gasoline to Russia in the event of shortages, according to a Reuters report which cited industry sources. The sources say a deal has already been reached for Russia to access Kazakhstan’s reserves.

The reported request comes as drone attacks have put around 14% of Russia’s primary oil refining capacity offline as of late March. This has forced Russian oil companies to start importing fuel, a reversal of the country’s typical position as a net exporter.

Russia has already reached a similar agreement with neighboring Belarus to help shore up its gasoline supply. However, a spokesperson for Kazakhstan’s energy ministry stated they have not received such a request from their Russian counterpart.

The Kremlin has imposed a six-month export ban on gasoline, though this does not apply to countries in the Eurasian Economic Union, including Kazakhstan. Traders warn the ban could be expanded if the situation in Russia deteriorates further.

The disruptions come as Kazakhstan has also restricted its own fuel exports until the end of the year, apart from for humanitarian purposes. The country holds significant reserves of gasoline, diesel and jet fuel, which Russia may now look to access.

Information for this story was found via Reuters, and the sources and companies mentioned. The author has no securities or affiliations related to the organizations discussed. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.

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