Russian oil refineries suffered significant setbacks last year due to intensified Ukrainian attacks, with the country’s oil and gas industry reportedly losing around $13 billion. Direct damages alone totaled more than $1.3 billion, according to Yevgeny Borovikov, deputy CEO of insurance broker Mains.

Insurance claims surged as sabotage and terrorism incidents spiked, reflecting the escalating impact of drone strikes on Russia’s energy infrastructure. The attacks targeted refineries, depots, and export terminals, causing unplanned outages and maintenance delays across the sector.

Crude deliveries to Russian refineries fell to 228.34 million tons in 2025, marking the lowest level in over 15 years. This shortfall contributed to a 1.7% decline in processing rates compared to the previous year.

Analysts linked the disruptions to both infrastructure damage and unscheduled maintenance triggered by “external factors” during the latter half of 2025.

At one point, nearly 15% of Russia’s processing capacity was offline, according to market observers, though the Russian Energy Ministry has not publicly addressed the outages.

The attacks represent a major escalation in the ongoing energy conflict between Russia and Ukraine, which has also seen Russian strikes on Ukrainian gas production and distribution networks during harsh winter months.