Russia May Raise Oil Export Tax in June, Nearing 2008 Record

Russia may raise its export duty on most crude shipments by 2.8 percent on June 1 as oil prices climbed toward the record set in 2008.

The standard duty will probably increase to between $463 and $466.40 a metric ton ($63.60 a barrel) from $453.70 a ton in May, according to Bloomberg calculations based on Finance Ministry data. Oil taxes reached a high of $495.90 a ton in August and September 2008.

The discounted rate on oil pumped via Russia's East Siberian-Pacific Ocean pipeline to Asia and from the Caspian Sea may reach within a range of $218.20 to $220.50 a ton from $211.70 in May.

Brent and Urals, Russia's benchmark export blend, rose above $100 a barrel in February as unrest in northern Africa and the Middle East disrupted some oil flows. Russia sets its export duties based on the average Urals price from the 15th day of one month to the 14th day of the next. Urals will probably be $116.43 to $117.14 during this monitoring period, Alexander Sakovich, a Finance Ministry adviser, said by phone.

Prime Minister Vladimir Putin must sign the draft for the rates to come into effect.

A special gasoline tax that Putin imposed starting May 1 to fight domestic shortages may be raised to $418 to $420 a ton, Sakovich said. That is about 90 percent of the crude duty.

The export tax on light oil products may be increased to $310.20 to $312.40 a ton from $304. The duty on heavy products may rise to $216.20 a ton to $217.80 from $211.80 a ton.

OAO Rosneft's Vankor field, TNK-BP's Verkhnechonsk deposit and OAO Surgutneftegas's Talakan project lost discounts and have had to pay full taxes since May 1, under the previous order signed by Putin.