Russia’s crude oil production edged up in October, but remained below its OPEC+ quota as international pressure mounted on the country’s energy sector.
Russia pumped an average 9.411 million barrels a day last month, people with knowledge of the data said, asking not to be identified discussing confidential information. While that’s 43,000 barrels a day higher than in September, it’s 70,000 a day below a quota that includes compensation cuts for previous overproduction, Bloomberg calculations show.
Oil watchers are closely following Russian production data to assess the impact of sanctions — and Ukrainian drone strikes — against the country’s energy industry. The latest US penalties on the sector, which hit oil giants Rosneft PJSC and Lukoil PJSC, have already eroded crude exports as some refiners in India, China and Turkey prove less willing to take sanctioned barrels.
Meanwhile, Ukrainian attacks have intensified, putting pressure on Russia’s crude-processing sector even as refinery owners rush to repair infrastructure.
If Moscow eventually finds itself unable to find buyers for oil from its sanctioned producers, and struggles to restore refining, it’ll be forced to halt output at some fields, risking damage to wells.
The Energy Ministry didn’t immediately respond to a request for comment on the production data.
Deputy Prime Minister Alexander Novak said last month that the nation has capacity to raise oil production further, but will do it gradually, according to Tass news service.
Compensation Cuts
Russia, historically one of the biggest laggards in complying with OPEC+ output agreements, has agreed to make additional cuts to compensate for previous overproduction. The monthly schedule for those curbs has been regularly revised, with the latest plan published earlier this month.
It shows that October was the last month when Russia had to make such cuts. Moscow’s pledge to reduce daily output by 10,000 barrels below a quota of 9.491 million barrels brings the required level to 9.481 million barrels.
October’s production was closer to Russia’s OPEC+ target under the previous compensation schedule, published Oct. 1 though submitted to the OPEC secretariat on Sept. 7. Under that plan, Russia’s permitted daily output was 9.457 million barrels, according to Bloomberg calculations.
Generated by readers, the comments included herein do not reflect the views and opinions of Rigzone. All comments are subject to editorial review. Off-topic, inappropriate or insulting comments will be removed.
element
var scriptTag = document.createElement(‘script’);
scriptTag.src = url;
scriptTag.async = true;
scriptTag.onload = implementationCode;
scriptTag.onreadystatechange = implementationCode;
location.appendChild(scriptTag);
};
var div = document.getElementById(‘rigzonelogo’);
div.innerHTML += ” +
‘
‘ +
”;
var initJobSearch = function () {
//console.log(“call back”);
}
var addMetaPixel = function () {
if (-1 > -1 || -1 > -1) {
/*Meta Pixel Code*/
!function(f,b,e,v,n,t,s)
{if(f.fbq)return;n=f.fbq=function(){n.callMethod?
n.callMethod.apply(n,arguments):n.queue.push(arguments)};
if(!f._fbq)f._fbq=n;n.push=n;n.loaded=!0;n.version=’2.0′;
n.queue=[];t=b.createElement(e);t.async=!0;
t.src=v;s=b.getElementsByTagName(e)[0];
s.parentNode.insertBefore(t,s)}(window, document,’script’,
‘https://connect.facebook.net/en_US/fbevents.js’);
fbq(‘init’, ‘1517407191885185’);
fbq(‘track’, ‘PageView’);
/*End Meta Pixel Code*/
} else if (0 > -1 && 67 > -1)
{
/*Meta Pixel Code*/
!function(f,b,e,v,n,t,s)
{if(f.fbq)return;n=f.fbq=function(){n.callMethod?
n.callMethod.apply(n,arguments):n.queue.push(arguments)};
if(!f._fbq)f._fbq=n;n.push=n;n.loaded=!0;n.version=’2.0′;
n.queue=[];t=b.createElement(e);t.async=!0;
t.src=v;s=b.getElementsByTagName(e)[0];
s.parentNode.insertBefore(t,s)}(window, document,’script’,
‘https://connect.facebook.net/en_US/fbevents.js’);
fbq(‘init’, ‘1517407191885185’);
fbq(‘track’, ‘PageView’);
/*End Meta Pixel Code*/
}
}
// function gtmFunctionForLayout()
// {
//loadJS(“https://www.googletagmanager.com/gtag/js?id=G-K6ZDLWV6VX”, initJobSearch, document.body);
//}
// window.onload = (e => {
// setTimeout(
// function () {
// document.addEventListener(“DOMContentLoaded”, function () {
// // Select all anchor elements with class ‘ui-tabs-anchor’
// const anchors = document.querySelectorAll(‘a .ui-tabs-anchor’);
// // Loop through each anchor and remove the role attribute if it is set to “presentation”
// anchors.forEach(anchor => {
// if (anchor.getAttribute(‘role’) === ‘presentation’) {
// anchor.removeAttribute(‘role’);
// }
// });
// });
// }
// , 200);
//});
