The fire at the Permnefteorgsintez plant halted oil processing after a drone attack
The Permnefteorgsintez oil refinery, owned by Lukoil, suspended its operations following a fire caused by a drone attack. This marks the seventh incident of shutdowns of Russian enterprises in this sector this year.
On May 7, an emergency halt occurred at the plant, which processes over 12 million tonnes of oil annually, affecting the primary processing units AVT-5, AVT-1, and AVT-2. This equipment accounts for half of the plant’s total capacity. According to a source, the AVT-4 unit has been idle since April 30 due to a fire also caused by a drone attack. Last year, the plant produced 2 million tonnes of gasoline and over 5 million tonnes of diesel fuel.
The shutdown of Permnefteorgsintez is part of a larger issue in the Russian oil industry. In April and May this year, several significant oil refineries have already suspended their operations, including the Kiryshinefteorgsintez plant in the Leningrad region and the Syzran refinery. The overall oil processing volume at Russian refineries has decreased to 4.69 million barrels per day, the lowest level since 2009.
In response to the situation, the Russian government decided to strengthen control in the gasoline market. Agreements were signed with 11 major oil companies outlining monthly fuel production plans, domestic supply, and exports.
Prolonged shutdowns of the plants could lead to a gasoline shortage in the domestic market, as shipment timelines have already been extended by several weeks.
