Russia Implements Production Cuts to Align with OPEC+ Goals

Monday, 25 March 2024, 15:04

Russia's government has directed oil companies to decrease production in the second quarter to reach a target of 9 million barrels per day by June's end, aligning with OPEC+ commitments. The decision follows conflicting statements from Russia about the nature of the cut, potentially reducing output to slightly above 9mbpd from earlier levels. WTI crude oil prices are on the rise, indicating global market impact.
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Russia Implements Production Cuts to Align with OPEC+ Goals

Russia Orders Oil Companies to Cut Output

Russia's government has issued directives to oil companies to reduce production levels in the second quarter to meet a target of 9 million barrels per day by June's close. This move, in line with OPEC+ agreements, signifies an adjustment from previous outputs to align with international production goals.

Specific Targets Set by Russian Authorities

The government has provided individual production targets to companies, ensuring compliance with the overall objective of 9mbpd by the specified deadline. While there has been ambiguity surrounding the clarity of the cut—whether it's a novel mandate or a reaffirmation of existing commitments—this action aims to bring production closer to international standards.

  • Russia's output to be reduced from 9.5 mbpd earlier this year
  • Targeting production just above 9mbpd from a peak of 11.7 mbpd in 2019

This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.

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