Oil prices retreated on Tuesday, losing close to 1%, after Russia restored crude loadings at a major export terminal that had been briefly knocked offline by a Ukrainian drone and missile attack. With the immediate disruption resolved, traders shifted their attention back to the broader implications of Western sanctions on Moscow’s energy flows.
By early London trade, Brent crude slipped 0.9% to $63.64 a barrel, while U.S. WTI also fell 0.9% to $59.37.
Loadings at Russia’s Novorossiysk port resumed over the weekend following a two-day halt, according to industry sources and LSEG data.
Analyst Tony Sycamore of IG said crude was under pressure “as reports indicate that loadings have resumed sooner than expected at Novorossiysk.”
Exports from Novorossiysk and the adjacent Caspian Pipeline Consortium terminal — together equal to roughly 2% of global supply — had been frozen since Friday, sending prices higher during the prior session.
Washington has argued that sanctions rolled out in October targeting Rosneft and Lukoil are already squeezing Russia’s export revenues, with expectations that volumes will fall over time.
ANZ Research added that Russian barrels are now trading at a notable discount to international benchmarks.
Vivek Dhar of Commonwealth Bank of Australia said “market worries centre around the build-up of oil on tankers as buyers assess the risk of potentially breaching sanctions,” but he also noted Russia’s track record of adapting: “We expect any disruption from U.S. sanctions will prove temporary as Russia finds ways to circumvent sanctions once again.”
In the U.S., geopolitical considerations added to market caution. A senior White House official said President Donald Trump would sign new sanctions legislation on Russia provided he keeps final authority over how it is applied. Trump also said Republicans are preparing a bill to penalize any country conducting business with Russia, potentially including Iran.
Forecasts from Goldman Sachs on Monday pointed to weaker oil prices through 2026 due to a wave of additional supply, though the bank said Brent could push above $70 a barrel in 2026–27 if Russian output sees a steeper drop.
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