Representatives of the refinery stated the need to work below the profitability threshold.

Russian independent oil refineries (refineries), which account for about 14% of the market, are forced to operate below the profitability threshold. The reasons are the lack of exports, the complexity of domestic pricing, the rising cost of logistics and the high key rate.

Oil prices: how the flows of Russian raw materials will change amid the US tariff wars

The possible lifting of the ceiling on our fuel will increase its competitiveness and simplify negotiations with importers.

"We are facing a number of serious challenges, including export restrictions, complex internal pricing for our products, a high key rate, and rising logistics costs. All these factors negatively affect our profitability and force us to reconsider our work strategies," a representative of one of the mini-refineries told Izvestia.

According to him, enterprises have to buy oil at Argus quotes, and sell finished products at monopolistically low prices on the domestic market.

"For example, we buy oil at 45 rubles per liter, and sell straight—run gasoline at 36 rubles to SIBUR's subsidiaries," the source said.

He stressed that companies have to explain to the tax authorities why they are trading below cost. While buyers complain about the lack of an export alternative and set their prices.

In addition, as an industry source told Izvestia, logistics services have doubled over the past three years, and the high key rate makes it difficult to attract working capital.

Read more in the exclusive Izvestia article:

The vice of profitability: independent refineries are on the verge of ruin