The Council of Ministers plans to partially restore oil production in May 2022 after the decline in April. Russian Deputy Prime Minister Alexander Novak said that as of the first days of this month, the situation has stabilized.
“If you look at the early May indicators, they are better than April. The situation is stable. Production increased compared to April. We hope that the indicators in May will partially improve and become better,” he said.
He added that Russia has begun to sell oil to a number of new buyers, the volume of Russian oil supply has increased in various directions.
“Certainly, Russian oil companies are looking for new directions in the new situation by building new supply chains. “Of course, we see new buyers, including an increase in oil exports to other regions, including the Asia-Pacific region,” Novak said. Said.
According to him, Moscow is considering a number of new infrastructure projects to diversify its oil supply. One option is to extend the pipeline to the Chinese ESPO. [«Восточная Сибирь — Тихий океан»]. We are also talking about the construction of new port facilities. The deputy prime minister said that a working group has been set up to discuss these issues.
It should be noted that the European Union continues to discuss the parameters of the sixth package of sanctions against the Russian Federation, which envisages an embargo on Russia’s oil supply.
as transmitted BloombergRussia is ready to offer huge discounts on oil sales directly to India due to international pressure and low demand for raw materials. In particular, Moscow offers to pay for Ural oil at a discount of up to $35 per barrel.
Russian oil is currently under US and UK sanctions.
From 1 to 29 April 2022, the average daily oil and gas condensate production in Russia reached 1.372 million tons, down about 9% from March when the average daily oil production was 1.504 million tons.
“The decrease in production in March compared to February was only 0.33 percent. The decline, which reached 6% in the first ten days of April, accelerated to 7.5% in the middle of the month. Since the spring of 2021, Russia has increased its oil production mostly smoothly. However, in March 2022, Russia faced extensive international sanctions. situation in Ukraine.
The sanctions prohibit investments in crude oil exploration, production and processing in Russia. In addition, many Western companies and traders have already refused to buy Russian oil.
Russian Finance Minister Anton Siluanov confirmed that Russia could lose 17 percent of its oil production in 2022 due to sanctions. TASS.
In response, First Deputy Minister of Energy Pavel Sorokin announced that he has begun to compose a list of promising infrastructure oil and gas facilities that could be built to diversify the supply. However, he did not specify when this work could be completed.
Russian President Vladimir Putin had previously requested to accelerate the implementation of infrastructure projects for the export of energy resources to the Southern and Eastern markets: railway, pipeline, port. According to him, together with oil and gas companies it is necessary to draw up a plan to expand the export infrastructure to Africa, Latin America, the Asia-Pacific region, to ensure the construction of new oil and gas pipelines. from the areas of Western and Eastern Siberia.
Source: Gazeta
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