Russia's Oil Production Nears Record High

By On September 03, 2018

Russia's Oil Production Nears Record High

  1. Home
  2. Energy
  3. Energy-General
Tsvetana Paraskova

Tsvetana Paraskova

Tsvetana is a writer for the U.S.-based Divergente LLC consulting firm with over a decade of experience writing for news outlets such as iNVEZZ and…

More Info

Share

Trending Discussions

Russia’s Oil Production Nears Record High Moscow

Russia’s oil production in August was virtually flat compared to July as Moscow kept output at near post-Soviet record, after having reversed most of its production cuts under the OPEC+ deal the previous month.

Russia’s oil production in August stood at 11.21 million bpd, according to data by its energy ministry emailed to Bloomberg over the weekend.

After the OPEC meeting in June decided to ease compliance rates, Russia opened the spigots in July and pumped at its highest level since the OPEC/non-OPEC agreement came into force in January 2017. At 11.215 million bpd, Russia’s oil production in July was very close to the post-Soviet record-high of October 2016, the month used as a baseline for the production cuts.

Russia’s oil production in July had surged by 148,000 bpd from June, according to government data.

Before the decision to reverse some of the cuts â€"or as OPEC and its Moscow-led allies put it, to stick to 100-percent compliance ratesâ€"Russia’s pledge in the pact was to cut 300,000 bpd of its oil production from the October 2016 level, which was the country’s highest monthly production in almost 30 yearsâ€"11.247 million bpd.

Production in July was just 40,540 bpd lower than the October 2016 level.

In August, production was little changed from July, but Russian producers benefited from the record level of oil in rubles after the Russian currency significantly weakened due to new U.S. sanctions and expectations for more sanctions coming, and a sell-off across the emerging markets and currencies after the Turkish crisis. Related: Saudi Oil Income Could Reach $161B This Year

Last month, all major Russian oil firmsâ€"including the two biggest companies Rosneft and Lukoilâ€"increased their production compared to July, but the rise was offset by declines of smaller producers and foreign comp any-led projects under production sharing agreements (PSA) such as the ExxonMobil-operated Sakhalin-1.

Saudi Arabia, Russia’s key partner in the production cuts pact, will report to OPEC that its crude oil production rose to 10.424 million bpd in August, S&P Global Platts reported on Friday, quoting an OPEC source.

By Tsvetana Paraskova for Oilprice.com

More Top Reads From Oilprice.com:

  • Analysts: Iran May Use Secret Oil Shipments To Skirt U.S. Sanctions
  • Can We Expect An Oil Price Spike In November?
  • The Biggest Threat To The Oil And Gas Industry

Back to homepage

Trending Discussions


Oilprice.comThe most vital industry information will soon be < br/>right at your fingertips

Join the world's largest community dedicated entirely to energy professionals and enthusiasts

Join Today Tsvetana Paraskova

Tsvetana Paraskova

Tsvetana is a writer for the U.S.-based Divergente LLC consulting firm with over a decade of experience writing for news outlets such as iNVEZZ and…

More Info

Related posts

Russia’s Oil    Companies Thrive Amid Sanctions

Russia’s Oil Companies Thrive Amid Sanctions

China’s Natural Gas Imports Soar Despite Domestic Output Growth

China’s Natural Gas Imports Soar Despite Domestic Output Growth

The Bearish Case For Oil

The Bearish Case For Oil

Leave a comment
Source: Google News Russia | Netizen 24 Russia

Next
« Prev Post
Previous
Next Post »