Reuters reports that at least 3 Russian oil refineries are on the verge of closing.  

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** Oil Refineries **

The Russian oil industry is struggling due Ukraine’s drone attacks and Western sanctions. As a result, three refineries – Tuapse, , and Novoshakhtinsk – have reduced or suspended production.

These refineries were hit by Ukrainian earlier this year, causing them to run at lower capacities. Now, they are facing financial difficulties due to high interest rates and oil prices.

The state-owned Rosneft has even had to shut down its Tuapse plant several times this year because it was not profitable. The Ilyich and Novoshakhtinsk refineries have been operating at half capacity for months.

Low- refineries are being hit the hardest, with losses of up to 10,000 rubles ($102) per metric ton in recent months.

The crisis has led to a drop in fuel and lower revenues for companies. This means less money for the state budget at a time when inflation is high and energy markets are uncertain.

**Plant Closures Expected Next Year**

Sources say that actual plant closures may take place at the beginning of next year. This would be a major blow to ‘s oil industry, which is already struggling.

The crisis has been caused by a combination of factors, including Ukraine’s drone attacks, Western sanctions, and the rise in cost of oil.

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