Belarusian refineries sign deals with Rosneft

The Russian oil giant Rosneft and the Belarusian refineries have signed contracts to supply oil to Belarus, reports.

“Deliveries will be carried out under the conditions previously reported by the company — at a premium of $ 5 per ton,” the agency learned in Rosneft.

“We expect to get 2 million tons of oil. As for the premium, I can repeat what I said two weeks ago: the supply of Russian oil will be carried out without premium,” said Belarusian Prime Minister Siarhey Rumas on April 2.

De facto, the premium will be paid, but Russia is to reimburse the costs of the Belarusian side “through inter-budgetary relations. The amount of such compensation may reach about $90 million in 2020.

  • Previously, the cost of oil for Belarus was calculated by the formula “market price + premium to suppliers”. However, given the implementation of the next stage of the tax maneuver by Russia, the cost of Russian oil for Belarus has increased (according to Belneftekhim, now the price is about 83% of the world price). Under these circumstances, Minsk considered the old oil formula unfair and refused to pay the premium. Because of this, in late 2019, Belarus was unable to conclude oil contracts with the main Russian suppliers — Rosneft and Surgutneftegaz Gazpromneft.