Russian Oil Output Stagnant But Remains Above Quotas

Russian oil output was stagnant at 10.97 million barrels per day (MMbbl/d) for a third month in a row in May, again exceeding quotas set under a global deal, Energy Ministry data showed on June 2.

Russia, one of the world’s largest crude producers, and the Organization of the Petroleum Exporting Countries (OPEC) agreed to cut its combined output by 1.8 MMbbl/d in order to smooth out bloated oil inventories and prop up prices. Russia has undertaken to cut its production by 300,000 bbl/d from 11.247 MMbbl/d reached in October 2016, the baseline for the agreement.