“We expect the level (of oil production) to be slightly lower in 2023, partly due to voluntary reductions in crude oil extraction,” Russian Energy Minister Nikolai Shulkovinov said in a statement to the Russian Duma (lower house of parliament). .
“The level of gas production will continue its downward trend because the European market refuses to buy it and because of the diversion of energy flows to the East,” Shulkovinov said.
The Russian minister recalled that in 2022, Russia cut gas production after explosions in the Nord Stream and Nord Stream 2 pipelines that transport Russian gas to Germany. Russia is expected to extract 535.1 million tons of crude oil in 2022, up from the previous year’s production of 524.5 million tons.
In early 2023, Russia announced it would voluntarily cut production by 500,000 barrels per day to balance supply and demand after a Western price cap on Russian oil and Russia’s refusal to budge on those terms.
In 2022, Russia extracted 674 billion cubic meters of gas, down from 736 billion cubic meters produced in 2021. By 2023, Russian gas production is expected to decrease to 620 billion cubic meters.
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