Russia warns of risk of oil shortage

Russia sees global oil demand increasing, and in 2025 it is expected to reach 104.6 mln barrels per day, but in 2024, it amounted to roughly 1.3 mln barrels per day, Russian Deputy Prime Minister Alexander Novak said at the 7th Russia-China Energy Business Forum in Beijing.

According to him, insufficient investment in the oil industry could result in a shortage of oil and a broader market imbalance

"In this regard, there are risks of underinvestment in the oil sector. We are now seeing traditional accessible reserves being depleted, while hard-to-recover reserves require significantly higher costs," Novak said.

According to him, if investment in the oil industry is not renewed in the near future, consumption will outpace supply and we will face a market imbalance.

The deputy PM noted that leading global energy agencies have issued similar warnings.

Novak added that the coal industry plays a significant role in the two countries' cooperation, and there are good opportunities for expanding this partnership.