Russia was expecting a windfall from soaring oil prices, but relentless Ukrainian drone attacks are devastating nearly half its export capacity

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The U.S. war on Iran set up Russia’s economy for a major rescue when oil prices soared after the closure of the Strait of Hormuz. But if President Vladimir Putin was expecting a huge windfall, that view may literally be going up in smoke.

With one-fifth of the world’s oil supplies cut off, Russian oil suddenly became much more valuable. After trading at a steep discount to Brent crude, Urals oil nearly reached parity with the global benchmark.