Brent falls nearly 2% despite Middle East attacks U.S. temporarily authorizes transactions involving Russian diesel Analysts question Russia's 3.5-million-ton monthly export target Oil prices
Oil prices fell nearly 2% on Tuesday, October 13, as the United States eased sanctions on Russian diesel, raising hopes of additional fuel supplies despite continuing disruptions across the Middle East.
Brent crude futures declined $2.02, or 1.89%, to $104.63 per barrel at 10:49 GMT, while West Texas Intermediate fell 2.02% to $91.85. The retreat followed Monday's nearly $2 rally, which had pushed Brent to its highest settlement since September 15.
<iframe src=”https://widgets.coincodex.com/w/24e42b48-f0fd-489d-a2f1-29ce3973910a?site=coinpaper&mode=light” width=”100%” height=”420” frameborder=”0” referrerpolicy=”no-referrer-when-downgrade” style=”border:0;background:transparent;border-radius:0px;”></iframe>However, the prospect of additional Russian diesel shipments may provide less relief than the market initially anticipates.
U.S. Allows Russian Diesel Imports Until April 2027On October 9, the U.S. Treasury's Office of Foreign Assets Control issued General License 135, temporarily authorizing transactions involving the sale, delivery, unloading and importation of Russian-origin diesel.
The authorization runs until April 7, 2027, including imports into the United States. It does not lift all Russia-related sanctions or permit certain transactions involving restricted Russian government accounts.
The decision followed President Donald Trump's announcement of an agreement intended to increase Russian diesel supplies to international markets.
Moscow has suggested exports could reach 3–3.5 million metric tons monthly by year-end, but the figure represents a target rather than confirmed deliveries.
According to Reuters, PVM Oil Associates analyst Tamas Varga questioned whether Russia could meet that target given damage to its refining infrastructure.
The proposed volumes also face transportation, financing and logistical challenges.
Why Brent Remains Above $100 Despite New Supply HopesThe decline comes as energy traders balance potential Russian exports against continuing supply disruptions around the Persian Gulf.
Recent attacks on Saudi infrastructure and commercial vessels have renewed concerns about regional oil transportation, while insurance and freight expenses remain elevated.
Coinpaper previously reported that physical crude delivered to Asia can cost substantially more than benchmark futures prices because of shipping risks and regional supply premiums.
The Russian agreement addresses refined diesel availability rather than directly adding equivalent quantities of crude oil production.
That distinction matters because the global market faces separate shortages of raw petroleum, refinery capacity and finished fuels.
Earlier this month, Gulf oil exports recovered substantially, yet diesel supply constraints persisted.
The U.S. policy shift comes as energy markets remain sensitive to relatively small changes in available supply.
OPEC recently reduced its 2026 oil demand growth forecast, but weak demand growth has not eliminated physical-market shortages.
Russia's additional diesel could ease regional fuel tightness if shipments materialize, although analysts question whether damaged refineries can sustain the proposed export volumes.
