Mar 29, 2026
Russian energy giant Novatek has suspended gas condensate processing and naphtha export loadings at its Ust-Luga complex after drone attacks triggered a major fire at the facility, three market sources told Reuters on March 27.
The attacks this week represent one of the most intense waves of drone strikes on Russia’s western energy corridor to date. The Baltic ports of Primorsk and Ust-Luga came under repeated fire, with explosions ripping through terminal infrastructure, igniting storage tanks, and forcing a suspension of oil and oil product loadings as emergency crews battled massive columns of smoke.
Sources familiar with the matter told Reuters that the fire at Novatek’s Ust-Luga complex specifically damaged processing units and a portion of its fuel storage tanks. The exact timeframe for repairs remains unknown and will only be established after a full assessment of the damage is completed. Novatek has not yet responded to requests for comment regarding the strike.
The Ust-Luga complex is a massive logistical node, featuring three processing units with a capacity of 3 million tons a year each. The facility refines stable gas condensate into light and heavy naphtha, jet fuel, ship fuel oil, and gasoil. In 2025 alone, the complex processed 8.0 million tons of gas condensate, according to company data.
Market analysts told Reuters that Novatek’s naphtha export cuts will have a direct impact on Asian markets, which are already grappling with an unexpected feedstock shortage following disruptions to Middle East fuel shipments caused by the ongoing US-Iran conflict.
The crippling of the Ust-Luga complex is part of a relentless and highly effective drone campaign systematically dismantling Russia’s energy and refining backbone.
Just days prior, drones bypassed Russian air defenses to strike the massive Yaroslavnefteorgsintez refinery—one of the country’s largest oil-processing plants located nearly 700 kilometers from the border—as well as the critical Kirishinefteorgsintez (KINEF) facility in the Leningrad region.
These deep-strike operations are designed to create a cascading effect of logistical failures and financial shortfalls, directly degrading the Kremlin’s ability to fund and fuel its war machine.
“Russian Energy Giant Novatek Suspends Baltic Gas Exports After Drone Attack Sparks Fire”
This is an interesting choice of words for huge explosions.
Yeah, they make it sound like it’s just a little camp fire.