Russian offensive slows, says Ukraine, as residents flee bombed-out cities

Highlights:

• Russia warned that oil prices could surge to $300 a barrel and it might close the main gas pipeline to Germany if the West halts oil imports 
• Oil prices hit 14-year highs and Wall Street fell after US says it may go alone on import ban
• Washington said it was talking to European allies about banning imports of Russian oil
• Ukraine's military intelligence said on Tuesday that Ukrainian forces have killed a Russian general near the besieged city of Kharkiv, the second Russian senior commander to die in the invasion.
• Ukraine says its forces have killed more than 11,000 Russian troops while Russia has confirmed about 500 losses. 
• Neither side has disclosed Ukrainian casualties
• The World Bank approved $723 million in loans and grants for Ukraine to be transferred in the next few days.
• US congressional negotiators neared a deal to provide Ukraine billions of dollars in emergency aid. The White House requested $10 billion
• Russian negotiators said they did not have positive developments to report following talks with Ukraine and warned not to expect the next round to bring a final result
• Ukraine's negotiator Mykhailo Podolyak said some small progress had been made on agreeing logistics for the evacuation of civilians, but no agreement was reached that significantly improves the broader situation
• The Russian and Ukrainian foreign ministers are expected to meet in Turkey on Thursday.
• A Russian air strike hit a bread factory in northern Ukraine and killed at least 13 civilians, Ukrainian officials said
• As many as 5 million Ukrainians could flee the country if Russia's invasion continues, the EU's top diplomat said, while UN said over 1.7 million have left so far
• The United States and its allies at a UN meeting urged Russia to allow safe passage for civilians stuck in areas of active hostility
• While promising humanitarian aid to Ukraine, China's foreign minister hailed Beijing's friendship with Russia as "rock solid"
• Police detained 5,020 people at Russia-wide protests against the invasion of Ukraine, according to an independent monitoring group
• Russia will not use any conscripted soldiers in Ukraine, President Putin said
• For foreign fighters, Ukraine offers purpose, camaraderie and a cause

Russia's offensive in Ukraine continued but at a significantly slower pace on Tuesday and a second senior Russian commander had been killed, Ukrainian military and intelligence said, as frightened residents fled bombed-out cities.

In the city of Irpin, on the northwest edge of Kyiv, residents ran with their young children in strollers, or cradling babies in arms, while others carried pet carriers and plastic bags and suitcases.

"It's like a disaster, the city is almost ruined, and the district where I'm living, it's like there are no houses which were not bombed," said one young mother, holding a baby beneath a blanket, while her daughter stood by her side.

"Yesterday was the hardest bombing, and the lights and sound is so scary, and the whole building is shaking."

Ukraine's military intelligence said on Tuesday that Ukrainian forces killed a Russian general near the besieged city of Kharkiv, the second Russian senior commander to die in the invasion.

Major General Vitaly Gerasimov, first deputy commander of Russia's 41st army, was killed on Monday, the Chief Directorate of Intelligence of Ukraine's defence ministry said in a statement.

Ukraine's general staff of the armed forces said the Russian offensive continues although at a significantly slower pace.

Russia's defence ministry could not be immediately reached for comment and Reuters could not verify the reports.

Russia's invasion, the biggest attack on a European state since World War Two, has created 1.7 million refugees, a raft of sanctions on Moscow, and fears of wider conflict as the West pours military aid into Ukraine.

Russia calls its actions in Ukraine a "special operation" that it says is not designed to occupy territory but to destroy its southern neighbour's military capabilities and capture what it regards as dangerous nationalists.

Kyiv has rejected Moscow's offer of possible humanitarian corridors to Russia and Belarus.

However, Moscow has since proposed giving the residents of the cities of Sumy and Mariupol the choice of moving elsewhere in Ukraine on Tuesday, setting a deadline in the early hours for Kyiv to agree, Russian news agencies reported.

After the third attempt to ease the bloodshed at talks in Belarus, negotiators warned not to expect the next round to bring a final result. The Russian and Ukrainian foreign ministers are expected to meet in Turkey on Thursday.

Kremlin spokesman Dmitry Peskov told Reuters Moscow would halt operations if Ukraine ceased fighting, amended its constitution to declare neutrality, and recognised Russia's annexation of Crimea and the independence of regions held by Russian-backed separatists.

RUSSIAN WARNING

Fears of an energy war between Russia and the West grew on Tuesday after the United States pushed its allies to ban Russian oil imports as punishment for Moscow's invasion of Ukraine.

Russia warned it could stop the flow of gas through pipelines from Russia to Germany in response to Berlin's decision last month to halt the opening of the controversial new Nord Stream 2 pipeline. Russia supplies 40% of Europe's gas.

"We have every right to take a matching decision and impose an embargo on gas pumping through the Nord Stream 1 gas pipeline," Russian Deputy Prime Minister Alexander Novak said on Monday.

Novak also warned that oil prices could more than double to $300 a barrel if the United States and its allies banned imports of Russian oil, a crucial source of revenue after the country was effectively frozen out of Western financial markets.

Analysts at Bank of America however said that if most of Russia's oil exports were cut off there could be a shortfall of 5 million barrels per day (bpd) or more, pushing prices as high as $200.

Oil prices see-sawed near 14-year highs on Tuesday, with Brent crude futures up $1.06, or 0.9%, at $124.27 a barrel at 0223 GMT, after trading as high as $125.19.

US President Joe Biden held a video conference call with the leaders of France, Germany and Britain on Monday as he pushed for their support to ban Russian oil imports.

But if need be, the United States was willing to move ahead without allies in Europe, two people familiar with the matter told Reuters. Many countries on the continent are heavily reliant on Russian energy.

Japan tightened its sanctions on Tuesday, freezing the assets of an additional 32 Russian and Belarusian officials and executives of companies with close ties to the government.

Estee Lauder Companies Inc joined a long list of firms exiting Russia, suspending all commercial activities and closing all its stores in the country.

A senior US defence official said Putin had now deployed nearly 100% of the more than 150,000 forces that he had pre-staged outside Ukraine before the invasion.

A Russian strike on a bread factory killed 13 in the town of Makariv in the Kyiv region, Ukrainian officials said. Reuters could not verify the details. Russia denies targeting civilians.

In the encircled southern port city of Mariupol, hundreds of thousands of people remained trapped without food and water under regular bombardments.