Page 11 - FSUOGM Week 44 2021

FSUOGM POLICY FSUOGM

Russian oil output inches

up in October

RUSSIA PRELIMINARY data from Russia’s energy quota of 9.8mn bpd.
ministry shows that the country increased pro- Russia and its OPEC+ partners have agreed
Gas production was up duction of oil and condensate by 1% month on to release a further 400,000 bpd of oil onto
4.6% month on month. month in October to 45.86mn tonnes (10.84mn the market in November. Russia’s share of this
barrels per day). increase is 100,000 bpd.
This also marks an 8.4% year-on-year Breaking down oil and condensate supply per
increase from the level in October 2020, accord- company, Russia’s two leading producers, Ros-
ing to the ministry’s CDU-TEK research centre. neft and Lukoil, increased flow by 0.4% and 1.7%
OPEC+ cuts only apply to oil production and respectively month on month. Surgutneftegaz
not condensate, and as CDU-TEK has not yet meanwhile ramped up supply by 1.4%, Gazprom
reported a figure for condensate only, Russia’s Neft by 0.4%, Bashneft by 5.3%, Slavneft by 4.3%
compliance with its quota cannot be assessed. and Russneft by 0.3%.
However, analysts at VTB Capital (VTBC) note Novatek and Neftegazholding meanwhile
that if the same figure for condensate flow in reduced flow by 1.3% and 0.3% respectively.
September was applied to October, then Russia Gas production in Russia amounted to
produced 10mn bpd of crude. But if it is assumed 65.81bn cubic metres (bcm) in October, mark-
that condensate flow increased, in line with ing a 4.6% increase month on month. During the
higher gas output, the brokerage estimates that first ten months of the year, output rose by 11.1%
output was broadly in line with Russia’s October to 625.67 bcm. ™

Russian gasoline output now

above pre-crisis level

RUSSIA RUSSIAN oil refiners increased gasoline pro- respectively in the two previous years.
duction by 4% in the first nine months of the year At the same time, the premium AI-100 and
Premium blends have to 30.1mn tonnes, energy ministry data shows, AI-98 blends have grown in popularity, although
also continued to grow meaning that supply has bounced back to the they remain a niche. They accounted for 1.4% of
in popularity. pre-coronavirus (COVID-19) level. production in January to September, versus 1.1%
They produced 2.6% more than in the corre- a year earlier and 1% in the corresponding peri-
sponding period of 2019, according to the minis- ods of 2019 and 2018.
try’s CDU-TEK think-tank. Production of AI-80 Russia began producing AI-100 in 2017, and
gasoline was lower year on year in 2021, but this since then, refiners have focused on expand-
was offset by a growth in output of AI-95, AI-100 ing output of this brand, while production of
and AI-98 brands. Over 95% of the gasoline pro- AI-98 has stagnated. AI-100 output was 294,500
duced in Russia is AI-92 or AI-95, and the share tonnes in January to September, 39% higher than
of AI-95 increased to 39% of the total in January the corresponding period of 2020. The growth
to September, compared with 34% and 32% in was partly thanks to the start of production at
the corresponding periods of 2020 and 2019. Gazprom Neft’s refinery in Moscow in October
The share of AI-92 meanwhile decreased to 59% 2020 and at Slavneft’s Yaroslavl refinery in Janu-
in the nine-month period, versus 63% and 64% ary 2021.™

Week 44 03•November•2021 www. NEWSBASE .com P11