The oil export duty of Russia will fall by $45.2 to $6.8 per ton from May 1, according to the website of the Ministry of Finance of the Russian Federation. The ministry reports that from March 15 to April 14 the average price of Russia’s main export oil blends, Urals, was $19 per barrel, or $138.7 per ton.
Considering the current prices for Russian crude oil blend Urals, projected export duty in June will be 0 USD/mt for the first time since duties were introduced. Export duty of bitumen is equal to export duty of crude oil. This means that the bitumen export duty will be less than 7 USD/Mt for May 2020 shipments.
The current situation makes the export of Russian bitumen to the neighboring CIS countries cost-effective for European customers. Russian refineries can deliver additional volumes to the European market due to a temporary decline in domestic demand because of the restrictive measures introduced in Russia in early April.
Legion Oil & Gas LLC offers both regular and polymer modified bitumen. All products are EN-certified.
