Drone Strike Sparks Blaze at Key Russian Oil and Fuel Terminal
Ust-Luga, the top Russian port for exports of oil and other commodities from the Baltic Sea, caught fire early on Friday following an overnight drone attack from Ukraine. A fire was detected at the port of Ust-Luga as a result of damage from drones, Alexander Drozdenko, governor of Russia’s Leningra
Source: OilPrice.com
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DW NOTE
A drone strike on Russian energy infrastructure is exactly the kind of escalation markets are pricing as routine. The Hormuz closure has already gutted 4.3 million barrels per day from global supply. Another terminal fire moves the needle on Moscow's export capacity, not the structural shortage that has kept WTI 27% below its yearly high despite active war and the longest strait closure in modern history.