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Russia's January fuel oil exports down 15.6pc from December

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MOSCOW: Russian fuel oil exports fell 15.6 percent in January versus December 2015, while gasoline and gas oil export supplies grew 4.3 percent and 4.1 percent, respectively, Energy Ministry data and Reuters' calculations showed.

Domestic supplies of fuel oil rose 10.2 percent, but local shipments of gasoline and gas oil fell by 15.6 percent and 17.8 percent respectively on a monthly basis.

Russian oil refinery runs were down 4.7 percent, or 275,584 barrels per day (bpd), in January on lower prices for crude oil and oil products and weaker global and domestic demand for middle distillates.

January fuel oil exports shipments fell sharply due to lower output and other reasons, according to industry sources.

Also, some companies were looking to delay some exports until February to take advantage of a lower export duty - $42.60 per tonne vs $60.10.

At the same time, fuel oil demand among Russian utilities increased in January due to lower prices, making it more attractive than natural gas, which they receive predominantly under long-term contracts at a fixed price.

Taif-NK put all fuel oil shipments in January on the domestic market, while export supplies in the previous month totalled 124,023 tonnes.

Taneco refinery, owned by Tatneft, decreased its fuel oil export supplies by 91.3 percent to 9,628 tonnes from 110,570 tonnes in December 2015.

Year on year, Russia's January gasoline export supplies were up by 20.1 percent, while gas oil and fuel oil export shipments fell by 7.9 percent and 25.8 percent, respectively.

Local supplies of gasoline and fuel oil were down by 11.8 and 0.2 percent, respectively, while gas oil domestic shipments fell by 7.9 percent.

Gasoline output fell by 5.8 percent to 3.374 million tonnes, while gas oil and fuel oil production were down by 5.2 percent and 20.4 percent, respectively.

Russian oil refinery runs fell by 3.4 percent, or 195,711 bpd.

Copyright Reuters, 2016