• 4 minutes Energy Armageddon
  • 6 minutes "How to Calculate Your Individual ESG Score to ensure that your Digital ID 'benefits' and money are accessible"
  • 12 minutes "Europe’s Energy Crisis Has Ended Its Era Of Abundance" by Irina Slav
  • 6 mins GREEN NEW DEAL = BLIZZARD OF LIES
  • 12 hours Is Europe heading for winter of discontent with extensive gas shortages?
  • 13 hours "False Flag Planted In Nord Stream Pipeline, GFANZ, Gore, Carney, Net Zero, U.S. Banks, Fake Meat, and more" - NEWS in 28 minutes
  • 5 days Wind droughts
  • 2 hours ""Green" Energy Is a Scam. It Isn't MEANT to Work." - By James Corbett of The Corbett Report
  • 3 days Kazakhstan Is Defying Russia and Has the Support of China. China is Using Russia's Weakness to Expand Its Own Influence.
  • 9 days "Natural Gas Price Fundamental Daily Forecast – Grinding Toward Summer Highs Despite Huge Short Interest" by James Hyerczyk & REUTERS on NatGas
  • 1 day Xi Is Set To Be Re-Elected As China’s Leader
  • 7 days Oil Prices Fall After Fed Raises Rates
  • 8 days Oil Stocks, Market Direction, Bitcoin, Minerals, Gold, Silver - Technical Trading <--- Chris Vermeulen & Gareth Soloway weigh in
  • 2 days 87,000 new IRS agents, higher taxes, and a massive green energy slush fund... "Here Are The Winners And Losers In The 'Inflation Reduction Act'"-ZeroHedge
  • 12 days Beware the Left's 'Degrowth' Movement (i.e. why Covid-19 is Good)
Germany Unveils €200 Billion Package To Cap Soaring Energy Costs

Germany Unveils €200 Billion Package To Cap Soaring Energy Costs

German Chancellor Olaf Scholz announced…

Nigeria Has Failed To Capitalize On High Oil Prices

Nigeria Has Failed To Capitalize On High Oil Prices

Despite oil prices sitting well…

Researchers Take A Deep Dive Into Solar Cell Efficiency

Researchers Take A Deep Dive Into Solar Cell Efficiency

Shanghai Polytechnic University researchers are…

Irina Slav

Irina Slav

Irina is a writer for Oilprice.com with over a decade of experience writing on the oil and gas industry.

More Info

Premium Content

Russia Reaches 2/3 Of Oil Output Cut Target

Russia has cut crude oil production by 200,000 barrels daily, Energy Minister Alexander Novak said. That’s two-thirds of the amount it agreed to cut under the OPEC-non-OPEC agreement closed at the end of last year.

The 300,000-bpd reduction that Russia agreed to represents 2.7 percent of its October output, which exceeded 11 million bpd. This went up to 11.23 million bpd in November – the month that was taken as the basis, from which individual cut quotas were assigned.

The country, which was the largest non-OPEC producer that signed up for the cut agreement, said it would reduce production gradually, raising suspicions about whether it will try to find a way around it. Still, the amount is small compared to its total daily output, and the cut will be helped by the start of maintenance season.

Together, OPEC and the 11 non-OPEC producers that signed up for the cut were supposed to take off 1.8 million barrels from the global daily average supply. Despite high compliance rates, especially among OPEC members, the cuts have failed to raise prices in any substantial way, and now some OPEC members are talking about an extension of the agreement beyond the June 30 deadline. Related: Maduro’s Last Stand: Military Takes Over Struggling Oil Sector

The main reason for the extension is rising U.S. shale production, which last week hit 9.13 million barrels daily. The Energy Information Administration expects this to climb further to 9.73 million bpd in 2018.

Considering U.S. production and current inventories of crude, even a compliance rate of 100 percent among OPEC members will not drive prices high enough, with or without an extension. Not everyone is on board with such a move. Saudi Arabia, for one, said it will only agree to an extension if global inventories continue to exceed the five-year average. Russia said it needed more production and inventory data before it considered signing up for another six months of cuts.

By Irina Slav for Oilprice.com

More Top Reads From Oilprice.com:


Download The Free Oilprice App Today

Back to homepage





Leave a comment
  • MrGreat on March 31 2017 said:
    History shows Russia cannot be trusted.

Leave a comment




EXXON Mobil -0.35
Open57.81 Trading Vol.6.96M Previous Vol.241.7B
BUY 57.15
Sell 57.00
Oilprice - The No. 1 Source for Oil & Energy News