By Dina Khrennikova and Olga Tanas
That trend has continued in December, with Russia pumping 11.252 million barrels a day so far this month, about 62,000 a day above target, according to official data seen by Bloomberg.
The country has come up with various explanations for its lack of compliance — from the limitations of a harsh climate to technical issues resulting from the Druzhba oil-contamination crisis. The nation’s largest oil producer, Rosneft PJSC, has criticized the OPEC+ deal, saying it serves the interests of Saudi Arabia — the de facto leader of OPEC — and the U.S.
In a revision to the deal in early December, Russia and its OPEC+ partners agreed to deepen their curbs in the first quarter of 2020 to 1.7 million barrels a day. Russia is set to enlarge its cuts by 70,000 barrels a day to about 300,000 a day.
Nevertheless, the nation requested that condensate be excluded from its target. Novak has denied that the change is a loophole allowing Russia to pump more oil and claim compliance. While Russia’s official statistics don’t provide a breakdown for crude and condensate, the Energy Ministry will regularly inform analysts, the media and OPEC about the composition of its output, Novak said.
OPEC+ will meet in early March to discuss options for future cooperation on supply.