Russia has 40 percent of its oil exports blocked

At least 40 percent of Russia's oil export capacity is currently out of service after Ukrainian drone attacks, a disputed attack on a major oil pipeline and the seizure of tankers, according to Reuters estimates based on market data.

The outage represents the most serious disruption to oil supplies in the modern history of Russia, the world's second-largest oil exporter, and hit Moscow just as oil prices, due to the war with Iran, have exceeded $100 a barrel, according to Reuters.

Russian oil production is one of the main sources of revenue for the state budget and is crucial to the $2,6 trillion economy.

Ukraine this month stepped up drone attacks on Russian oil and fuel export infrastructure, hitting all three of Russia's main western oil export ports, including Novorossiysk on the Black Sea, as well as Primorsk and Ust-Luga on the Baltic Sea.

According to Reuters calculations, about 40 percent of Russia's crude oil export capacity - or about two million barrels per day - was down as of yesterday after the latest attack. This includes Primorsk and Ust-Luga, as well as the Druzhba pipeline, which runs through Ukraine to Hungary and Slovakia.

Kiev has also targeted oil pipeline pumping stations and refineries. Kiev says its aim is to cut off Moscow's oil and gas revenues, which account for about a quarter of Russia's state budget, and weaken its military power. Russia says the Ukrainian strikes are terrorist attacks and has tightened security across its 11 time zones.

Ukraine said part of the Druzhba oil pipeline was damaged in Russian strikes in late January, while both Slovakia and Hungary demanded that Kiev immediately restore supplies.

The Novorossiysk oil terminal, which can handle up to 700.000 barrels a day, has been loading oil below planned levels since it was damaged in a powerful Ukrainian drone attack earlier this month.

In addition, frequent seizures of Russian-linked tankers in Europe have disrupted Arctic oil exports from the port of Murmansk, which handles 300.000 barrels a day, traders said. With its export routes to the west under attack, Moscow has had to rely on oil exports to Asian markets, but those routes are limited by insufficient capacity, traders said.

Reuters reports that Russia continues uninterrupted oil pipeline deliveries to China, including the Skovorodino-Mohe and Atasu-Alashankou routes, as well as maritime exports of ESPO Blend oil via the port of Kozmino. Together, the three routes carry about 1,9 million barrels of oil per day.

Russia also continues to load oil from its two Far Eastern projects on Sakhalin, from where it ships about 250.000 barrels per day.

Traders also say that Russia supplies about 300.000 barrels of oil per day to refineries in neighboring Belarus.