Price of Urals oil in December 2025
The price of Russian Urals oil in December 2025 decreased to $39.18 per barrel, which is a 13% decline compared to November and a 41% drop since the beginning of the year. This is marked by record discounts that resulted from US sanctions. In November 2025, the price of Urals was $44.87 per barrel, while at the beginning of the year, in January, the price reached $67.66 per barrel.
Discounts and their consequences
The discount on Urals oil relative to Brent in the Baltic Sea ports is $28 per barrel, and in the Black Sea – $26 per barrel. Such discounts indicate significant difficulties faced by the Russian oil industry. In May 2020, the average price of Russian oil was $31.03 per barrel, which also reflects significant price fluctuations.
It is noted that the level set in the Russian budget for 2026 is $59 per barrel. However, from January to November 2022, the federal treasury of the Russian Federation lost 20% of oil and gas revenues, and in December 2022, the decline in oil and gas revenues year-on-year was 49%. This underscores the challenging situation in the country's economy, which relies on oil exports.
“The situation in the Russian oil market indicates serious challenges for the country's economy, which largely depends on export revenues from oil.” - Source unknown
In the face of such challenges, the drilling rigs named after Filanovsky, Yuri Korchagin, and Valery Graifer are under threat, which may indicate a further decline in oil production and a negative impact on the economy of Russia.
The situation in the Russian oil market indicates serious challenges for the country's economy, which largely depends on export revenues from oil. The decline in Urals prices and record discounts point to a decrease in demand and difficulties faced by the Russian oil industry due to international sanctions. This may lead to further economic troubles and reduced production, adversely affecting the budget process in Russia in the coming years.