A drone strike on 10 October put more than half of the large fuel tanks out of action at an oil-loading terminal in Russia’s Rostov-on-Don, Russian news Telegram channel Astra found. The terminal loads fuel onto river and sea tankers for export, and it burned for two days while a local channel wrote that reeds might be on fire. Neither Kyiv nor Moscow has officially acknowledged the hit. It came hours after US President Donald Trump announced a diesel deal with Russian leader Vladimir Putin.

Russia has spent the autumn hammering Ukraine’s power grid ahead of winter. Ukraine’s long-range drones keep hitting the refineries, depots, and terminals that fuel Russia’s army and earn it export revenue. Every burned tank turns that revenue into repair bills, while Moscow is already subsidizing its own fuel pumps. A refinery-only truce of the kind the White House described a day after the strike would shield the Russian plants that feed terminals like this one.

Seven of 12 tanks out of action

Astra’s analysts concluded from eyewitness footage that at least seven of the terminal’s 12 large tanks had been knocked out. Ukrainian monitoring channel Supernova+ counted seven burned-out tanks and one more scorched by the fire.

The fire was still burning in the early hours of 12 October. Local channel Rostov Glavny posted video of the burning tank farm, passing on rumors that reeds were on fire and noting the city’s second day under smoke, The Moscow Times reported. Footage filmed in the daytime on 12 October showed no more open flames, only gray smoke, according to Astra.

A terminal that loads fuel for export

The site is the oil-loading terminal of the Novoshakhtinsk Oil Products Plant, formerly known as Yug Rusi, in Rostov-on-Don’s Zheleznodorozhny District. It receives, stores, and transships fuel onto river and sea tankers, including for export, Ukrainian monitoring channel Exilenova+ said.

The terminal also supplies fuel to the Russian army and earns Moscow hard currency, ZN reported. The Moscow Times put its loading capacity at 3.5 million tons a year and its tank farm at about 60,000 cubic meters, roughly 16 million gallons.

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The refinery itself stands in the town of Novoshakhtinsk near the border with Russian-occupied Luhansk Oblast. The terminal sits on the Don River with access to the Sea of Azov, Ukrainian military outlet Militarnyi noted. Ukraine hit the refinery in June, and Ukraine’s General Staff reported striking the Yug Rusi terminal on 9 July, placing it in Bataysk.

A night of drones over the region

Exilenova+ posted images of the burning terminal in the early hours of 10 October. It presented them as the site after Trump’s phone call with Putin. The channel later shared NASA satellite fire data showing the blaze.

Rostov Oblast Governor Yuri Slyusar claimed the attack injured six people. Slyusar further stated air defenses downed more than 100 drones over the region. Radio Liberty’s Russian Service noted that neither side had officially confirmed the hit on the terminal.

Hours after the US-Russia diesel deal

The strike came hours after Trump announced on 9 October that Russia had agreed to supply diesel to US and global markets. The US Treasury then cleared the trade with a sanctions license.

On 11 October, Trump declared an “energy ceasefire” between Russia and Ukraine. Under it, he expects Ukraine to stop striking Russian refineries, a White House official told Axios.

Ukrainian President Volodymyr Zelenskyy said that evening that Ukraine’s armed forces had received all relevant orders. Neither Ukrainian monitoring channels nor Russian officials have reported a new strike on a Russian oil facility since. On 13 October, Zelenskyy said Ukraine was ready to guarantee an energy ceasefire if Russia took matching steps.

More than 50 Russian companies could default on their bonds this year, the most since 2009, a rating-agency analyst told Russian newspaper Izvestia, which reported it on 6 October.

Russia's wartime economy is straining under high interest rates, and the budget is too: the 2026 deficit has nearly doubled from the earlier forecast to a record $88 billion, with more deficits planned for the next three years as Moscow raises taxes to fund the war and plans its biggest defense budget since the full-scale invasion began.

A default is a situation in which a company cannot make promised interest payments to investors on time or repay borrowed money. If a payment is not made by the agreed deadline, the company becomes delinquent, which under certain conditions is recognized as a default.

So far this year, 20 companies have defaulted for the first time, compared with 24 in all of 2025, said Mikhail Nikonov of the Expert RA rating agency. Most of the companies that missed payments are small issuers of high-yield bonds, Izvestia reported.

In 2026, Russian companies have missed payments totaling 41 billion rubles (about $490 million), compared with 34 billion rubles (about $410 million) the previous year, according to investment bank Sinara.

Russia faces a new wave of corporate defaults

By the end of 2026, the number of Russian companies unable to service their ruble-denominated debt on time could reach 40–50, the highest level since 2010, said Pavel Zholobov, junior managing director at the NRA rating agency.

The number of bond defaults in 2026 has already reached its highest level in a decade, Zholobov said. Similar figures were recorded in the mid-2010s: in 2014, 35 companies missed payments; in 2015, 52 did so; and in 2016, there were 44 issuers. This occurred in part after Western sanctions were imposed on Russia over its annexation of Crimea and its war in Donbas, as well as amid a halving of oil prices and a sharp weakening of the ruble.

There were more defaults only in 2009. At the time, amid the fallout from the global financial crisis, more than 100 issuers faced payment problems, while the volume of distressed debt reached nearly 200 billion rubles, Zholobov noted.

High interest rates put pressure on companies

This time, the main reason for companies' difficulties in making bond payments has been the prolonged period of high interest rates, which has continued since 2023. Companies are raising financing at high interest rates but are unable to refinance their debt on more favorable terms, explained Ekaterina Sidorova, head of the Foreign Exchange, Commodities and Debt Markets Department at SberCIB Investment Research.

At the same time, the situation does not yet resemble a systemic debt crisis: defaults are primarily being recorded among companies with low credit ratings and high debt burdens, Sidorova said.

If a company fails to repay bond debt, it is given 10 business days to meet its obligations. If it fails to do so, the company may offer investors a restructuring—for example, by postponing payments in exchange for a higher interest rate.

The number of defaults will remain high in 2027, Sidorova believes.

High interest rates were a response to accelerating inflation in Russia. Domestic demand was outpacing production, Russia's Central Bank said in October 2023. Sanctions over the war and rising defense spending had also hit the economy and the ruble, which had lost about 25% against the dollar that year. The bank raised its key rate from 7.5% in the first half of 2023 to 15% by the fall.

Ukraine targets Russia's oil industry to weaken its war economy

Ukraine is also seeking to weaken Russia's economy as part of efforts to reduce its ability to finance the war. In particular, Defense Minister Yevhenii Khmara said strikes on oil refineries are aimed at "bleeding the Russian war machine" and destroying its military and economic potential. According to the ministry, the attacks have knocked out more than 51% of Russia's oil refining capacity.

In the first half of July, Russian oil refineries processed about 3.9 million barrels of oil per day—the lowest level since March 2005. Due to the production cuts, Moscow was also forced to restrict fuel exports.