Russian Crude Output For 2023 In Line With Cuts

Russian crude oil output this is year is on track to reach 9.6mbpd, in line with the planned output cuts of 500kbpd, a Russian government source familiar with the data told Reuters.

• Russian crude oil output this is year is on track to top 480mn tonnes, or 9.6mbpd. Oil and gas condensate output seen at 520mn tonnes, or 10.4mbpd, in 2023, with oil output seen in line with the country’s pledged production cuts.
• In 2022, Russia's combined oil and gas condensate production rose to 535 million tonnes 10.7mbpd. Condensate is excluded from the production quotas used by the OPEC+ producers group for Russia.
• That is significantly higher than official forecasts which put Russia's expected 2023 oil and gas condensate production at between 490-500mn tons.
• “Russian oil demand has largely stabilised after the initial shock at the start of the war. We believe demand is almost back to pre-war levels” JP Morgan analysts said earlier this month.
• Russia’s crude and condensate production likely fell by 250kbpd in March and by another 500kbpd in the first half of April according to JP Morgan.
• Russia’s energy minister said output was cut by 700kbpd in March.