Contractual difficulties with a Russian supplier and extended maintenance at a key refinery in Belarus could put the squeeze on diesel supplies to Ukraine. According to a Reuters report quoting traders, Russia’s Rosneft stopped supplying diesel through pipelines and rail on 1st April, with no plans to resume deliveries next month. New supplier Coral Energy has yet to take over. And the Mozyr refinery in Belarus plans to cut supplies by 37 percent next month during a period of maintenance. Ukraine consumes 7 million tonnes of diesel a year, importing two thirds from Russia and Belarus. In 2019, Ukraine bought four million tonnes of diesel from Belarus, paying $2.4 billion. Efforts to compensate with sea and rail shipments are not making up for the diesel shortfall, traders advised Reuters. Mozyr is expected to supply about 150,000 tonnes of diesel to Ukraine in May, down from the usual 240,000 tonnes a month, traders said. “We expect a deficit of around 270,000 tonnes in May,” one of the sources said. Another source estimated that the diesel shortages could be between 150,000 and 200,000 tonnes next month, when the sowing campaign gets underway |