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Russia reaches oil output reduction target: minister

Source: Xinhua| 2019-05-02 22:23:41|Editor: Yamei
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MOSCOW, May 2 (Xinhua) -- Russia reached full conformity as of the end of April with the Organization of the Petroleum Exporting Countries (OPEC)-non-OPEC output cut pact, Energy Minister Alexander Novak said Thursday.

In December 2018, the OPEC and non-OPEC producers agreed to slash crude oil production by a total of 1.2 million barrels per day (bpd) from the October level starting January 2019 for an initial period of six months.

To curb an oversupply and stabilize prices, OPEC members would contribute 0.8 million bpd and non-OPEC members would contribute 0.4 million bpd. Russia agreed to gradually cut its volume by 228,000 bpd.

At the end of April, Russia reduced its oil production by 229,000 bpd excluding output under the Production Sharing Agreements (PSA) and 223,000 bpd including PSA, Novak said.

In April, Russia's average oil production declined by 213,000 bpd without the PSA and by 197,000 bpd with the PSA, Novak added.

Russia, whose economy heavily depends on the energy industry, will keep its oil production in May at the level agreed on in the deal, the minister said.

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