Russia’s oil revenue plummets to five-year low in January

Vlad Schepkov

Wed, February 4, 2026 at 7:33 AM PST 1 min read

 

Investing.com -- Russian oil revenues fell to their lowest level in more than five years in January, as the nation faced a triple challenge of lower global prices, deeper discounts, and a stronger ruble.

Oil-related tax income dropped by half to 281.7 billion rubles ($3.7 billion) compared to January 2025. The combined revenue from oil and gas sectors also declined by 50% to 393.3 billion rubles.

 

These two industries contribute approximately roughly a quarter of Russia’s budget.

Brent oil futures were 15% lower year-on-year for the fiscal period, but the impact on Russia was magnified by U.S. sanctions. January’s oil revenue marked the lowest point since June 2020.

Russia’s flagship Urals crude traded at approximately $26 per barrel below Dated Brent at export points. This discount has more than doubled from about $12 below the benchmark a year earlier, according to data from Argus Media.

The widening price gap followed the U.S. blacklisting of Russia’s two largest producers, Rosneft PJSC and Lukoil PJSC, which was announced in October.

Russia’s finance ministry calculated oil revenue based on Urals averaging $39.18 per barrel in December, representing a 38% drop from the previous year. This figure falls significantly below the government’s budgetary assumption of $59 per barrel for 2026.