(MOSCOW, RUSSIA) – Lukoil, Russia’s largest private oil company, has halted operations at all four of its major domestic refineries following successive Ukrainian drone strikes, according to Russian media reports.
The Russian oil refining industry is experiencing its worst crisis in more than 20 years, with 21 confirmed successful strikes on oil refineries in August alone.
The four major Lukoil refineries now offline are:
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NORSI (Lukoil-Nizhegorodnefteorgsintez) in Kstovo, Nizhny Novgorod Oblast, halted on 26th August. The facility is Russia’s fourth largest refinery by capacity, processing approximately 17 million tonnes per year, and is the country’s second largest producer of motor petrol. A drone strike and large fire damaged several key processing units.
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Permnefteorgsintez in Perm, Perm Krai, halted on 21st August. The plant is Russia’s seventh largest oil processing facility. Drone strikes heavily damaged its primary crude distillation units, AVT-4 and AVT-5, removing the majority of its processing capability.
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Volgograd Refinery in Volgograd Oblast, halted on 31st July. The southern facility completely ceased raw material processing after an earlier multi drone strike severely disrupted its production infrastructure.
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Ukhta Refinery in the Komi Republic, offline due to broader disruptions and upstream constraints from the total shutdown of Lukoil’s three larger refineries.
Lukoil also operates two smaller mini refineries in Uray and Kogalym in West Siberia, which mainly serve localised regional production and do not factor heavily into Russia’s national fuel export or commercial automotive market.
The company’s international refineries in Bulgaria, Romania and the Netherlands are not affected by the domestic strikes.
Lukoil now appears on Russian Forbes lists of debtors, alongside Gazprom and other major firms losing money, workers and offices.
Russian media reported that petrol shortages have reached Moscow, St Petersburg and other major cities, with drivers spending hours or days attempting to purchase fuel.
The shortage has also affected temporarily occupied Ukrainian territories, including Crimea.
The Russian army is experiencing serious problems with logistics and troop movements due to the lack of fuel.
Sanctions have compounded the crisis, as the majority of Russian oil refining systems were purchased outside Russia and replacement parts are no longer available.
The number of successful strikes on Russian refineries has increased from 17 in May to 19 in June and now 21 in August.
Russian authorities have prioritised fuel supplies for Moscow, diverting resources from other regions and deepening divisions within the Russian Federation.
The crisis has led to public anger, with Russians questioning why they must sacrifice for the sake of Moscow and the Kremlin’s decisions.
Political opposition has also grown, with parties such as Yablo gaining support before being barred from participation.
Banking concerns have added to public anxiety, with Russians withdrawing cash over fears that deposits will be frozen.
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