Russia's Lukoil Expects OPEC+ Oil Output Rollover in January

Reuters
Friday, December 17, 2021

Leonid Fedun, a vice president of Russian oil major Lukoil, said on Friday he expected OPEC+ to stick to its decision to raise oil production by 400,000 barrels per day (bpd) each month at its meeting in January.

OPEC and allies including Russia, known as OPEC+, are faced with a potential dent to demand from the fast-spreading Omicron coronavirus variant, and a decision by key oil consumers to release crude from stockpiles to try to curb fuel prices.

The group still stuck to its plans to raise combined oil production by 400,000 bpd at its meeting in early December. OPEC+ ministers are scheduled to meet next on Jan. 4.

"I don't see any deviations from the program," Fedun told reporters when asked about his expectations for the next OPEC+ meeting.

He also said Lukoil would not reach pre-pandemic oil output levels in April, when the OPEC+ deal is due to be phased out.

Earlier on Friday, Fedun said the company planned to increase its hydrocarbon production by 1.4-1.5% a year over the next 10 years.

Lukoil had said it expected output growth of 4% in 2021 without the West Qurna-2 project in Iraq.

Fedun reiterated Lukoil is aiming to achieve carbon neutrality by 2050 and planned to modernize its oil refineries in Europe in order to reach that target.

He also said an oil price of $60-$80 per barrel was comfortable for producers and consumers.

Separately, Interfax news agency quoted Lukoil's head Vagit Alekperov as saying the company would have used up its spare production capacity by April next year. 

(Reporting by Olesya Astakhova Writing by Vladimir Soldatkin Editing by Mark Potter)

Categories: Energy Industry News Activity Europe Production

Related Stories

Eni Enlists OneSubsea for Deepwater Umbilical Supply off Indonesia

Eni and Petronas JV Extend Ventura Offshore’s Drilling Job in Indonesia

Dolphin Drilling’s Blackford Dolphin Secures More Work for Oil India

SBM Offshore, SWS Sign Deal for Seventh FPSO Hull

Floating Nuclear: A New Offshore Energy Frontier

Markets: Oil Majors Reload Exploration Hoppers Across Sub-Saharan Africa

IEA Expects Gradual Hormuz Recovery, Oversupplied Market in 2027

Kuwait Sees 70% Oil Output Recovery within Two Months of Hormuz Reopening

Indonesia Targets Higher Oil and Gas Output in 2027

Azerbaijan’s Absheron Gas Project Advances with New Sales Agreement

Current News

Eni Enlists OneSubsea for Deepwater Umbilical Supply off Indonesia

EnQuest Clears Key Hurdle for $833M Malaysia Offshore Deal

ONGC Plans Major New Indian Oil Reserve

LNG Tankers Resume Hormuz Crossings Amid Tensions

Hormuz Standoff Risks Chronic Instability for Gulf Oil Flows

From Fixtures to Values: Where the Jackup Recovery Is Already Being Priced

Eni and Petronas JV Extend Ventura Offshore’s Drilling Job in Indonesia

Dolphin Drilling’s Blackford Dolphin Secures More Work for Oil India

Oil Surges 3% on Renewed US-Iran Strikes

Offshore Vessel Pair Ordered from Grandweld Shipyard

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