Ukraine Strikes Russia’s Fourth-Largest Oil Refinery, Disrupting 80,000 bpd Of Output

Russia’s Ryazan oil refinery—its fourth-largest and a key Rosneft asset southeast of Moscow—was forced to halt a major crude distillation unit after a Ukrainian drone attack set part of the facility ablaze this week, industry sources told Reuters.

The targeted unit, CDU-4, handles roughly 4 million metric tons of crude per year, or about 80,000 bpd—nearly a quarter of the refinery’s total capacity.

The stoppage, combined with secondary unit shutdowns including a reformer, vacuum gasoil hydrotreater, and catalytic cracker, has sharply reduced output.

Rosneft has not commented, but sources say the plant continues limited operations.

Ukraine said it hit the Ryazan refinery, one of a growing number of strikes on Russian fuel sites as U.S.-led peace efforts drag on.

Kyiv’s drones have been taking aim at the infrastructure feeding Russia’s war machine, and the Kremlin has been pointing to those same attacks to explain gasoline and diesel shortages at home.

Ryazan processed 13.1 million tons of crude last year, yielding 2.3 million tons of gasoline, 3.4 million tons of diesel, and 4.2 million tons of fuel oil.

A prolonged outage could pressure domestic fuel availability further just as Russia heads into winter, when heating demand peaks and logistical networks tighten.

For global markets, the direct supply hit is small, but the symbolism isn’t. Every successful strike deep inside Russia adds to the risk premium baked into oil prices and tests the Kremlin’s ability to protect the infrastructure that underpins its export revenues.

As the Ryazan blaze cools, markets are still watching for how Moscow will respond—possibly with another round of tightened export controls.