Russia’s oil production in July kept at June’s level under OPEC+ deal

Russia’s oil production in July remained at June’s level, as agreed under the OPEC+ deal, the Russian energy ministry said.

"Under the OPEC+ agreements, Russia kept oil output in July at June’s level. The compliance rate will be close to that in June," TASS cited the ministry as saying.

Russian Energy Minister Alexander Novak said earlier that Russia’s compliance rate in June had been 99%.

Under the OPEC+ deal that came into force on May 1, the member nations are to cut oil production by 9.7 million barrels a day in May-July. Russia and Saudi Arabia however are to cut output by 2.5 million barrels a day from the level of 11 million barrels a day. The deal will stay in force for two years but daily cuts in a period from August to December 2020 are to be 7.7 million barrels, and 5.8 million barrels in a period from January 2021 to April 2022. The deal’s parameters may be revised in December 2021.

According to Novak, Russian oil companies are decreasing production under the OPEC+ deal proportionally. Production is expected to be down by about 19% on February.