The value of Russian crude oil exports have sunk in May to the lowest level in over two years, data on shipments and Russian crude prices compiled by Bloomberg showed on Wednesday.
The volume of Russian crude oil exports in the four weeks to May 25 barely changed from the previous four weeks to May 18, but the value of the shipments dropped to the lowest level since April 2023, according to the data reported by Bloomberg’s Julian Lee.
In the four weeks to May 25, Russia exported on average 3.39 million barrels per day (bpd) of crude oil, per tanker-tracking data compiled by Bloomberg. This was down by just 10,000 bpd compared to the previous four-week period.
However, the prices of Urals and ESPO crude grades—the key Russian export blends – have been falling throughout May, thus reducing the revenues for the Kremlin.
The value of Russia’s crude oil exports was calculated by Bloomberg at $1.25 billion per week in the four weeks to May 25. This is the lowest estimated weekly revenue from oil exports for Russia since April 2023.
Russia’s revenues started to decline significantly last month with the crash in oil prices.
Significantly lower oil prices in April sent Russia’s oil export revenues down to the lowest level in nearly two years as the price of Russian grades fell alongside the benchmark international prices, which lost about $10 per barrel last month.
Russia’s revenues from oil exports slumped to $13.2 billion in April, the lowest level since June 2023, according to data in the Oil Market Report for May by the International Energy Agency (IEA).
Russian crude prices averaged $55.64 per barrel in April with all major export grades below the $60 a barrel price cap set by the West for Russian oil trade, the IEA’s estimates showed.
By Charles Kennedy for Oilprice.com
More Top Reads From Oilprice.com
