Page 87 - Russia OUTLOOK 2023

OPEC+ countries in November 2022 reduced oil production by 480,000
bpd instead of the planned 2mn bpd, the IEA said in its December report.
The real reduction in oil production by the alliance amounted to only a quarter
of the planned volume. However, Russia was able to increase oil output
(excluding gas condensate) by 90,000 bpd to 9.81mn bpd, but still produces
670,000 bpd less than the target. Meanwhile, Saudi Arabia reduced production
by 420,000 bpd to 10.48mn bpd, having fully fulfilled its obligations under the
OPEC+ deal.

At a meeting on October 5, the countries participating in the OPEC+ deal
agreed to reduce output by 2mn bpd from November, and also extended the
deal until the end of 2023. The countries’ production volumes in August 2022
were taken as the basis for calculating the reduction in oil output.

The next meeting of the OPEC+ monitoring committee will take place on
February 1, 2023, and the general meeting of the alliance is scheduled for
June 4, 2023.

OPEC has maintained its forecast for the growth of world oil demand in
2022 at 2.5mn bpd to 99.6mn bpd, the organisation said in a report in
December.

The forecast for demand growth for 2023 was also kept at 2.2mn bpd, and the
figure is expected to reach 101.8mn bpd.

Export by sea and oil pipelines to non-CIS countries in November
decreased by 4%, to 615,000 tonnes per day. This was partly compensated
by the growth of primary oil refining at Russian refineries (by 2%, to 785,000
tpd). There are no export restrictions on petroleum products, but only for now –
they come into force on February 5.

87 Russia OUTLOOK 2022 www.intellinews.com