The Kirishinefteorgsintez (Kinef) refinery in the Leningrad region — Russia’s second-largest by volume and the largest in the European part of the country — will be idle for approximately one month. According to Reuters, the plant owned by Surgutneftegaz, with a capacity of 20 million tons per year, suspended all operations following a precision drone strike on March 26.
Details of the Critical Damage:
- Total Standstill: The strike was so effective that all processing units at the refinery sustained damage. This is a rare case of a giant of this scale being completely paralyzed.
- Recovery Timeline: The plant is expected to resume operations only partially (at 60–75% capacity) in about a month.
- Heavy Losses: One of the two most powerful primary distillation units may require extensive repairs lasting several months.
- Strategic Role: Kinef is the primary supplier of fuel for Northwest Russia and a leading exporter of petroleum products via the port of Ust-Luga.
Analytical Summary:
The shutdown of Kinef marks the climax of a “Black March” for the Russian oil industry, shifting from systemic disruptions to a regional fuel crisis.
The Domino Effect: Kinef is not just a refinery; it is the main source of export-grade diesel and naphtha for Baltic ports. Its idling, coupled with the fires in Ust-Luga, effectively zeroes out export logistics in the northwest. This will lead to an even sharper drop in hard currency revenue than the 43% collapse recently reported by Bloomberg.
Technological Deadlock: The simultaneous damage to all units suggests that a quick “internal maneuver” to bypass broken sections is impossible. For Surgutneftegaz, repairing primary units under sanctions on imported equipment becomes a massive engineering challenge.
Domestic Market Impact: Despite its export focus, Kinef covers a significant portion of the gasoline and jet fuel needs for St. Petersburg and the surrounding region. A month-long shutdown of such a giant will inevitably spike wholesale fuel prices within the country, adding inflationary pressure to an already strained economy.