War in Ukraine Enters New Phase That Puts Energy in Crosshairs

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International Energy Agency,Oil Refineries,Ukraine

(Bloomberg) -- Russia and Ukraine may have struggled to shift things significantly on the battlefield for more than 16 months, but a new phase of the war is ...

-- Russia and Ukraine may have struggled to shift things significantly on the battlefield for more than 16 months, but a new phase of the war is moving the needle in a way that’s having wider repercussions.Apple Plans to Overhaul Entire Mac Line With AI-Focused M4 Chips

Meanwhile, the Kremlin has launched three large-scale assaults on Ukraine’s electricity generation and directed drones and missiles at key gas infrastructure for the first time since its invasion more than two years ago. On Thursday, Russia destroyed the largest power plant in the Kyiv region in what President Vladimir Putin said was a tit-for-tat response for Ukraine’s attacks.

Ukraine’s recent strikes come amid a dire shortage of ammunition and manpower and gaps in its air defense following an unsuccessful counteroffensive last year. Russian forces have also had incremental gains in Ukraine’s east, though it remains to be seen whether the Kremlin will have enough resources to deliver a significant breakthrough.

Ukraine has targeted refineries with combined capacity of about 3.4 million barrels a day, Bloomberg calculations show. However, some of the affected facilities can deploy spare or underused processing units. Undamaged plants are also raising their throughput. For Ruslan Pukhov, head of the Moscow think tank Center for Analysis of Strategies and Technologies, it’s a reminder of the war between Iran and Iraq in the 1980s after an impasse on the battlefield. Cities and their infrastructure then became more embroiled in the conflict, he said.

 

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War in Ukraine Enters New Phase That Puts Energy in CrosshairsAs Russia and Ukraine trade blows against oil, gas and power facilities, the collateral damage is showing up in global markets.
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