A Ukrainian drone attack triggered a fire at the Petersburg Oil Terminal as Russian Vice Prime Minister Alexander Novak warned that global oil buffer reserves are nearly exhausted. Meanwhile, US special envoys urged European nations to resume large-scale Russian gas purchases, while Moscow extended refinery modernization agreements until July 2027.
Global market
ICE Brent crude futures for January 2027 trade at $102.59 per barrel, reflecting expectations of a prolonged Middle East conflict. Against this backdrop, US special envoys Steve Witkoff and Jared Kushner urged European nations to resume large-scale purchases of Russian gas, reported The New York Times. According to Russian Vice Prime Minister Alexander Novak, global capacity to use oil reserves to stabilize markets is virtually exhausted. In petrochemicals, Middle Eastern producers maintain long-term cost advantages in polymers despite Gulf supply constraints. In Asia, a major biofuel production plant utilizing food waste is set to launch in China’s Hainan province.
Russia & CIS
A Ukrainian drone strike caused a fire at the Petersburg Oil Terminal, confirmed Saint Petersburg Governor Alexander Beglov, while additional drones targeted regional infrastructure. In fuel regulation, Russian Prime Minister Mikhail Mishustin signed a decree extending refinery modernization agreements until July 1, 2027. In export operations, the first tanker carrying Russian diesel departed for global markets from the port of Dikson, and gas deliveries to China via the Power of Siberia pipeline will reach 39 billion cubic meters in 2026. At nuclear facilities, Zaporizhzhia NPP Communications Director Evgeniya Yashina stated equipment repairs at Zaporizhzhia Thermal Power Plant will take at least a week.
Armenia
US calls for European resumption of Russian gas imports and expanding Power of Siberia volumes signal shifting trade dynamics across the EAEU market. In regional integration, Russian Vice Prime Minister Alexei Overchuk highlighted the EAEU consumer market of 190 million people as highly attractive to international partners. Against this backdrop, retail prices for petrol, diesel, and compressed natural gas in Armenia remain stable. Uninterrupted natural gas imports from Russia and generation at the Armenian Nuclear Power Plant continue at full capacity under long-term EAEU agreements, shielding the domestic market from price volatility recorded by international market price assessments.