Page 109 - RusRPTDec21

respectively. Novatek’s consolidated production was down 1% y/y. Rosneft’s gas production increased 16.3% y/y. At Surgutneftegas, production declined a marginal 0.5% y/y, while at Lukoil it was down 7.1% y/y.
The data on the production of gas condensate in October is not available yet. If we assume it at 105kt/d (September’s level), then the production of oil without gas condensate in October could have been some 10.0mmbbl/d (although condensate output might have grown m/m on the back of 4.8% higher gas production). Thus, we believe that crude oil output in October was broadly in line with the 9.8mmbbl/d Russian OPEC+ quota for October. In November and December, the production of OPEC+ is to grow an additional 400kbbl/d monthly, while Russia’s quota is to increase 100kbbl/d monthly. This schedule might result in a liquids output increase of 2.2% y/y to 10.5mmbbl/d, on average, in 2021 (523mnt), we calculate.
Gazprom's production has increased 45bcm y/y YTD (4.4%). Generally, gas production in Russia continues to grow. Gazprom is to continue pumping gas into Russian underground gas storage facilities until 8 November, after which it might actively begin injecting gas into its own European storage facilities, according to a suggestion by President Vladimir Putin. We expect that, against the background of fulfilling contract obligations and building up gas stocks in storages, the company will continue to increase gas production in the remaining two months of 2021.
109 RUSSIA Country Report December 2021 www.intellinews.com