• 3 minutes CoV-19: China, WHO, myth vs fact
  • 6 minutes Trump reinvented tariffs and it worked
  • 9 minutes IEA Sees First Global Oil Demand Drop in a Decade on Coronavirus
  • 12 minutes Question: Why are oil futures so low through 2020?
  • 5 hours Is Pete Buttigieg emerging as the most likely challenger to Trump?
  • 5 hours Don't sneeze. Coronavirus is a threat to oil markets and global economies
  • 2 days "For the Public's Interest"
  • 2 days Natural Gas from Cow Poop Used to Save the Environment and Help Farmers
  • 8 hours Has Trump put the USA at the service of Israel?
  • 10 hours Solar Cells at 25 Cents Apiece (5 cents per watt)
  • 22 hours The New Class War Exposes the Oligarchs and Enablers
  • 22 hours Foxconn cancelled the reopening of their mfg plants scheduled for tomorrow. Rescheduled to March 3rd. . . . if they're lucky.
  • 2 days Coronovairus, Phase One Agreement, Lower for Longer
  • 2 days Is cheaper plastics feedstock on the horizon?
  • 9 hours Cheap natural gas is making it very hard to go green
  • 2 days Weekly U.S. Imports of Crude Oil. No, the U.S. is NOT oil & gas self-sufficient.
Do Oil Drillers Need A New Business Model?

Do Oil Drillers Need A New Business Model?

Exploration and production companies in…

Is The Permian Basin Getting Gassier?

Is The Permian Basin Getting Gassier?

In a recent report Rystad…

Russian Oil Firms Ready To Cut Production

Russia Oil Companies

At an energy ministry meeting earlier this month, Russia’s oil majors confirmed that they would be sticking to the production cuts that Russia had pledged in the OPEC+ deal, Vagit Alekperov, president and CEO of Russian oil producer Lukoil, said on Tuesday.

At the meeting on March 1, Russian oil firms unanimously agreed that they would fulfill their commitments and will cut production as agreed, Russia’s TASS news agency quoted Alekperov as saying on the sidelines of the CERAWeek in Houston today.

There was some “special opinion” among the Russian oil companies previously, Alekperov said, reminding reporters of the letter of Rosneft’s chief executive Igor Sechin to Vladimir Putin in which the Rosneft boss criticized the OPEC+ deal.

The firms have not discussed production plans for the second half of the year and have decided that they would do so after April, Lukoil’s boss said.

The current OPEC+ deal expires in June.

Alexander Dyukov, CEO at Gazpromneft, told TASS that it was too early to draw any conclusions about how the deal would proceed after June. The fate of the agreement should be reviewed after all countries will have achieved their respective reductions, Dyukov said, noting that some countries—including Russia—have not yet reached their quota under the deal.

Russia will speed up its oil production cuts this month and plans to reach its share of the OPEC/non-OPEC output reduction by end-March or early April, Russian Energy Minister Alexander Novak said last week.

Related: Blackout Shuts Down Venezuela’s Oil Exports

As part of the OPEC+ production cuts, Russia is taking the lion’s share of the non-OPEC cuts and pledged to reduce production by 230,000 bpd from October’s post-Soviet record level of 11.421 million bpd, to 11.191 million bpd.

Moscow, however, has repeatedly said that due to weather and geological conditions in the cold Russian winter, it cannot cut its oil production too quickly.

In mid-January, Khalid al-Falih, the energy minister of Saudi Arabia—the OPEC kingpin and key Russian ally in all OPEC/non-OPEC production policy deals since early 2017—had said that Russia was moving with the cuts “slower than I’d like.”

By Tsvetana Paraskova for Oilprice.com

More Top Reads from Oilprice.com:



Join the discussion | Back to homepage


Leave a comment

Leave a comment

Oilprice - The No. 1 Source for Oil & Energy News