Global oil markets are facing increased instability as Ukrainian drones destroy key oil and gas infrastructure inside Russia. Despite reports of a possible oil glut, prices remain stable due to geopolitical threats. Ukrainian drones are targeting Russian refineries, impacting Putin’s war economy. The situation may lead to a bullish market shift, prompting strategic planning.

Russian fuel facilities are being hit by Ukrainian drones and maritime attacks. The Flamingo Missile poses a significant threat to key oil and gas infrastructure, impacting global oil markets. Over a million barrels per day of refining throughput is affected, leading to severe fuel shortages in Russia. The evolving geopolitical risks highlight the market’s vulnerability.

Severe fuel shortages in Russia are causing internal unrest and impacting the war economy. Russian refineries supplying the domestic market are affected, forcing increased crude oil exports. Asian markets will receive most of the seaborne volumes, while regional markets struggle to find supplies. Geopolitical risks may lead to higher oil prices globally, affecting product availability.

Increased geopolitical risks could tighten global markets, despite robust seaborne crude volumes. OPEC+ export increases may not make a significant difference, as spare production capacity shrinks. The market should not solely rely on OPEC+ to stabilize the situation, given potential confrontations in the Middle East or East Med. Strategic planning is crucial amid evolving geopolitical risks.

Read more at Yahoo Finance: Forget OPEC Warnings The Real Oil Shock Is Happening Inside Russia