Russia faces a looming oil storage squeeze as exports decline

Russia’s available oil storage capacity is shrinking as exports fall due to new sanctions and pressure from U.S. President Donald Trump on India, Reuters reported, citing analysts at Kpler and Rystad Energy.

Onshore storage facilities in Russia can hold a total of about 32 million barrels — roughly three to four days of production. Around half of that capacity is already in use.

An additional 150 million barrels are being stored on tankers at sea as traders search for buyers.

Analysts estimate that the pipeline network operated by Transneft can accommodate about 100 million barrels, equivalent to roughly 11 days of output.

If exports fail to recover, Russian oil producers may be forced to cut production, analysts said.