Due to war and sanctions, Russian oil and gas giants have record losses
While kremlin talks about a “resilient economy” and the futility of EU sanctions, russia’s oil and gas giants are facing escalating problems.
▫️ In Q1 2025, one of russia’s largest oil and gas companies, surgutneftegas, reported a record loss of 439.7 billion rubles (approximately $5.5 billion). As a result, the company was forced to lay off nearly three thousand employees.
Oil production and sales are a key element of russia’s budget. However, sanctions and the crisis in the russian economy are causing serious problems for this sector, leading to a significant drop in budget revenues, which makes it more difficult for remlin to finance the war in Ukraine.
russia’s unwillingness to end the war is having a devastating impact even on the most profitable sectors of the russian economy.
