The impact of international sanctions on the Russian oil and gas sectors

Abstract

An economy the size of Russia has never been placed under such a wide range of economic sanctions as those now imposed as a result of its invasion of Ukraine, As a result, exports from countries imposing sanctions on Russia declined by (60%) of their export rate in the second half of 2021.

The unequal dependence between Russia and Europe shows the extent to which Russia is affected by sanctions, Russian exports to Europe constitute about (83%) of Russia&39;s total exports, while Europe depends on Russia for only (46%) of its gas imports, On the other hand,Russia will lose the possibility of exploiting the infrastructure on which it spent a lot of money to transport gas to Europe from its pipelines connecting its western and northern fields, Russia must now abandon these pipelines and rely on the (Power of Siberia 1) transmission line,which delivers gas to China, but it has a capacity of only (38) billion cubic meters, and It only reaches limited fields (Kovykta and Chayanda).