🥇 First rule of investing? Know when to save! Up to 55% off InvestingPro before BLACK FRIDAYCLAIM SALE

Russian oil and gas budget revenues up 15% in September m/m - official data

Published 04/10/2023, 11:03
Updated 04/10/2023, 11:27
© Reuters. FILE PHOTO: A view shows a flare stack at a facility of Rosneft energy company outside the town of Neftegorsk in the Samara Region, Russia September 1, 2023. REUTERS/Alexander Manzyuk/File Photo
USD/RUB
-

MOSCOW (Reuters) - The Russian state's oil and gas revenues rose by around 15% in September, month-on-month, to 739.9 billion roubles ($7.44 billion), finance ministry data showed on Wednesday, thanks to a rise in proceeds from the mineral extraction tax.

Revenues from oil and gas sales, crucial for Russia's commodity-oriented economy, were also up 7.5% compared to the same month in 2022.

This was broadly in line with Reuters' preliminary calculations.

Oil and gas revenues in the entire January-September period declined by 34.5% to 5.576 trillion roubles, year-on-year.

Russia's energy revenues have been squeezed by Western sanctions, such as price caps and an embargo on seaborne oil exports, and by the closure of the Nord Stream gas pipelines to Europe, which were blown up in September 2022. Investigators have yet to establish who was responsible for the blasts.

Gross proceeds from the mineral extraction tax rose to 1.09 trillion roubles in September from 874.8 billion roubles in August thanks to an increase in the prices of the commodities.

Payments to refineries under the so-called "damper mechanism" - introduced to stop companies capitalising on high fuel export prices and defend the domestic market - rose to 298.7 billion roubles last month from 185.9 billion roubles in August.

These payments will be stopped from next month, as the government seeks to tackle the budget deficit.

The prospective abolition of the damper payments contributed to fuel shortages that forced the government to introduce a ban on fuel exports on Sept. 21.

The scrapping of the payments is likely to significantly increase oil and gas revenues for the next month.

Budget subsidies to refining companies from an "oil reverse excise tax" also rose, to 138.9 billion roubles last month, from 113.8 billion roubles in August.

© Reuters. FILE PHOTO: A view shows a flare stack at a facility of Rosneft energy company outside the town of Neftegorsk in the Samara Region, Russia September 1, 2023. REUTERS/Alexander Manzyuk/File Photo

The finance ministry budgeted for a fall in oil and gas revenues by 23% this year to 8.94 trillion roubles. It expects a budget deficit of almost 3 trillion roubles, or 2% of gross domestic product (GDP).

($1 = 99.4925 roubles)

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.