What oil market anticipating in 2024?

Russian Deputy Prime Minister Alexander Novak expects the Brent oil price at $80-$85 per barrel next year, broadly in line with current levels..

He told Rossiya-24 state TV that Russia expects that the export of oil and petroleum products to Europe will account for no more than 4% to 5% of total supplies in 2023 from about 40-45%.

According to the deputy PM, in the current circumstances, China and India became Russia’s major partners instead, with China’s share amounting to 45% to 50%. 

"The main partners in the current situation are China, whose share has grown to approximately 45-50%, and, of course, India...Earlier, there basically were no supplies to India; in two years, the total share of supplies to India has come to 40%," Novak said.

Novak noted that agreements were being finalised with China on the Power of Siberia 2 pipeline project, which would increase the capacity for such supplies. The price, terms of supplies and payment are being defined.

"Agreement in principle that the project will be implemented, has been reached with Chinese. The approval of economic terms, commercial terms of the implementation of the project by Gazprom and China National Petroleum Corporation is being finalized now," Novak said.