<p>Moscow: Russia will likely cut exports of naphtha by some 127,500 - 136,000 barrels per day, or around a third of its total exports, after fires disrupted operations at refineries on the Baltic and Black Seas, according to traders and LSEG ship-tracking data.</p><p>Asia's naphtha markets surged about 19% this week against the backdrop of supply disruption fears from Russia.</p><p>There are jitters in the market because Russia is a key exporter of naphtha to Asia, and this kind of short-term disruption could cause prompt tightness, a naphtha trader said.</p><p>Russian energy company Novatek was forced to suspend some operations at the huge Baltic Sea fuel export terminal and "technological processes" on Sunday at a nearby fuel-producing complex due to a fire, started by what Ukrainian media said was a drone attack.</p><p>Four days later, Rosneft's Tuapse oil refinery in southern Russia halted oil processing and output following a fire on Thursday, two industry sources familiar with the matter told Reuters.</p><p>Both plants are export-oriented and ship fuel via sea terminals mainly to China, Taiwan, Singapore and Malaysia.</p><p>According to the LSEG data, Russia exports of naphtha, used mainly as feedstock in petrochemical industry, amounted to around 17.1 million metric tons in 2023, or 400,000 barrels per day.</p><p>Of that, Ust-Luga Novatek's terminal accounts for just less than a quarter, or 95,000 bpd, Tuapse's refinery - 40,000 bpd.</p><p>This month, Novatek has already been able to ship some 300,000 tons of naphtha from its Ust-luga terminal this month before the fire broke out.</p><p>Some 150,000 tons of the fuel has also been exported from Tuapse in January.</p><p>Analysts have said Novatek's Ust-Luga producing complex may resume large-scale operations in weeks, while Kommersant newspaper, citing sources, has said it would require two months.</p><p>Industry sources said Tuapse refinery may stay idle until early March.</p>
<p>Moscow: Russia will likely cut exports of naphtha by some 127,500 - 136,000 barrels per day, or around a third of its total exports, after fires disrupted operations at refineries on the Baltic and Black Seas, according to traders and LSEG ship-tracking data.</p><p>Asia's naphtha markets surged about 19% this week against the backdrop of supply disruption fears from Russia.</p><p>There are jitters in the market because Russia is a key exporter of naphtha to Asia, and this kind of short-term disruption could cause prompt tightness, a naphtha trader said.</p><p>Russian energy company Novatek was forced to suspend some operations at the huge Baltic Sea fuel export terminal and "technological processes" on Sunday at a nearby fuel-producing complex due to a fire, started by what Ukrainian media said was a drone attack.</p><p>Four days later, Rosneft's Tuapse oil refinery in southern Russia halted oil processing and output following a fire on Thursday, two industry sources familiar with the matter told Reuters.</p><p>Both plants are export-oriented and ship fuel via sea terminals mainly to China, Taiwan, Singapore and Malaysia.</p><p>According to the LSEG data, Russia exports of naphtha, used mainly as feedstock in petrochemical industry, amounted to around 17.1 million metric tons in 2023, or 400,000 barrels per day.</p><p>Of that, Ust-Luga Novatek's terminal accounts for just less than a quarter, or 95,000 bpd, Tuapse's refinery - 40,000 bpd.</p><p>This month, Novatek has already been able to ship some 300,000 tons of naphtha from its Ust-luga terminal this month before the fire broke out.</p><p>Some 150,000 tons of the fuel has also been exported from Tuapse in January.</p><p>Analysts have said Novatek's Ust-Luga producing complex may resume large-scale operations in weeks, while Kommersant newspaper, citing sources, has said it would require two months.</p><p>Industry sources said Tuapse refinery may stay idle until early March.</p>