Russia Signals OPEC Should Raise Output

Monday, April 8, 2019

One of the key Russian officials to foster a supply pact with OPEC, Kirill Dmitriev, signaled on Monday Russia wanted to raise oil output when it meets with OPEC in June because of improving market conditions and falling stockpiles.

Dmitriev, head of the Russian state's direct investment fund, was the first Russian official to predict a deal with OPEC in 2016 and since then became a key defender of the pact despite pressure from domestic oil firms to drop the agreement.

Dmitriev, an envoy for Moscow in the Middle East in general and Saudi Arabia in particular, had in recent months said it was still too early to terminate output cuts, echoing the position of OPEC's de facto leader, Saudi Arabia.

But in an apparent change of position, Dmitriev said on Monday supply cuts may not be required after June.

"It is quite possible that given the improving market situation and falling stocks, (OPEC and its allies) could decide in June this year to abandon supply cuts and subsequently increase output," Dmitriev said.

"This decision will not mean the end of the deal but a confirmation that participants continue their coordinating efforts when it is important not only to cut but to increase output depending on market conditions," he said.


(Reporting by Dmitry Zhdannikov and Olesya Astakhova; Editing by Dale Hudson)

Categories: Middle East Russia Production

Related Stories

All Gas from Conrad’s Mako Field to be Sold to Indonesia’s PLN

SLB Names Raman CSO, CMO

ADNOC Secures LNG Supply Deal with India's BPCL

Abu Dhabi's NMDC Group Gets $1.1B Subsea Gas Pipeline Job in Taiwan

BP Targets 44% Oil, 89% Gas Increase from India’s Mumbai High Field

Europe's Gas Uncertainty Help Drive Asian LNG Spot Prices Higher

CNOOC’s South China Sea Oil Field Goes On Stream

ADES’ Fourth Suspended Jack-Up Rig Gets Work Offshore Thailand

Flare Gas Recovery Meets the Future

China’s CNOOC Brings Bohai Sea Oil Field On Stream

Current News

Jadestone Submits Field Development Plan for Assets Off Vietnam

Woodside Inks Long-Term LNG Supply Deal with China Resources

CNOOC Starts Production at Two New Oil and Gas Projects

Argentina YPF to Shed Offshore Exploration Projects

Cairn India Might Invest in US Oil Servicing Firms to Increase Production

All Gas from Conrad’s Mako Field to be Sold to Indonesia’s PLN

ORE Catapult and Japan’s FLOWRA to Jointly Advance Floating Wind

Shell Hires Noble’s Drillship for Work in Southeast Asia

Second Hai Long Substation Heads to Project Site Offshore Taiwan

Shell Launches Next Phase of Malaysia's Deepwater Project with First Oil Production

Subscribe for AOG Digital E‑News

AOG Digital E-News is the subsea industry's largest circulation and most authoritative ENews Service, delivered to your Email three times per week

https://accounts.newwavemedia.com