[rtl]
[rtl]Date: Edit: 2019/11/27 19:44 • 65 times read[/rtl]
Russia is in the process of modernizing OPEC + to change the method of calculating oil production
[/rtl][rtl]Date: Edit: 2019/11/27 19:44 • 65 times read[/rtl]
[rtl]
Russia is likely to call on other oil producers to change the way it calculates Moscow's production when most of the major oil-producing countries meet in Vienna next month, Russian OPEC sources have said.
OPEC and other producers have been curbing oil production for three years to balance the market and boost prices, but Russia measures its output differently.
Unlike Saudi Arabia and other OEC producers, Russia introduces condensate - a light, high-quality type of crude oil often extracted during gas production - into its crude oil production figures.
This has not been a problem for Moscow in the past, but with Russia launching new gas fields in the Arctic and eastern Siberia and opening a pipeline to transport gas to China, its gas condensate production is increasing.
This means that it does not comply with its quota under the agreement between OPEC and other producers, which they want to avoid, according to sources.
"Russia will inevitably raise the issue of condensate at the December meeting because its production will grow," said one source familiar with the Russian position.
OPEC and other producers are due to meet in Vienna on December 5 and 6.
The sources did not say whether Russia would make other deals with OPEC conditional on the group's approval to change Moscow's quota, such as extending or deepening oil production cuts next year.
But the debate could further complicate the meeting of OPEC and its allies, known as OPEC +, which coincides with the launch of Saudi Aramco shares.
"The idea of excluding condensates was entirely the result of increased gas production in Russia and hence the associated gas condensate," said a second source familiar with the Russian position, adding that Russia was definitely moving to raise the issue.
Russian Energy Minister Alexander Novak said on Wednesday that the OPEC + meeting might discuss amending output quotas, but gave no further details. Novak did not respond to a request for comment.
Russia launched a major field in eastern Siberia in September to feed the new gas pipeline to China. Gazprom, which monopolizes Russian gas pipelines and supplies a third of Europe's gas needs, faces a surge in demand from Europe over the winter.
With Gazprom supplying its European customers in near-record quantities this winter, it is forced to produce more condensate.
“It is difficult to increase gas production without increasing condensate production. In short, capacitors come from our gas and not from our oil sector. If you try to reduce condensate production while increasing gas production, it will hurt the field. ”
Russia has cut its crude oil production along with OPEC since 2017 to help support prices at around $ 50 to $ 70 a barrel despite a US production boom.
For 2019, Russia has agreed to cut its oil production by 228,000 bpd to around 11.18 million bpd, as part of a total OPEC + cut of 1.2 million bpd, equivalent to 1.2 percent of global demand.
Despite this, Russia's production this year averaged 11.25 million barrels per day, which means excess production by about 70 thousand barrels per day, according to Reuters calculations.
Data from the Russian Energy Ministry shows that most of the excess production is related to condensate, which increased production by 4 percent in the period from January to October 2019 to about 770 thousand barrels per day.
Gazprom and Novatek, Russia's second-largest gas producer, contributed most of the increase.
In comparison, the UAE produces about 700,000 bpd of condensate, while Saudi Arabia and Nigeria produce about 400,000 bpd each.
https://alforatnews.com/modules/news/article.php?storyid=220451
[/rtl]
Russia is likely to call on other oil producers to change the way it calculates Moscow's production when most of the major oil-producing countries meet in Vienna next month, Russian OPEC sources have said.
OPEC and other producers have been curbing oil production for three years to balance the market and boost prices, but Russia measures its output differently.
Unlike Saudi Arabia and other OEC producers, Russia introduces condensate - a light, high-quality type of crude oil often extracted during gas production - into its crude oil production figures.
This has not been a problem for Moscow in the past, but with Russia launching new gas fields in the Arctic and eastern Siberia and opening a pipeline to transport gas to China, its gas condensate production is increasing.
This means that it does not comply with its quota under the agreement between OPEC and other producers, which they want to avoid, according to sources.
"Russia will inevitably raise the issue of condensate at the December meeting because its production will grow," said one source familiar with the Russian position.
OPEC and other producers are due to meet in Vienna on December 5 and 6.
The sources did not say whether Russia would make other deals with OPEC conditional on the group's approval to change Moscow's quota, such as extending or deepening oil production cuts next year.
But the debate could further complicate the meeting of OPEC and its allies, known as OPEC +, which coincides with the launch of Saudi Aramco shares.
"The idea of excluding condensates was entirely the result of increased gas production in Russia and hence the associated gas condensate," said a second source familiar with the Russian position, adding that Russia was definitely moving to raise the issue.
Russian Energy Minister Alexander Novak said on Wednesday that the OPEC + meeting might discuss amending output quotas, but gave no further details. Novak did not respond to a request for comment.
Russia launched a major field in eastern Siberia in September to feed the new gas pipeline to China. Gazprom, which monopolizes Russian gas pipelines and supplies a third of Europe's gas needs, faces a surge in demand from Europe over the winter.
With Gazprom supplying its European customers in near-record quantities this winter, it is forced to produce more condensate.
“It is difficult to increase gas production without increasing condensate production. In short, capacitors come from our gas and not from our oil sector. If you try to reduce condensate production while increasing gas production, it will hurt the field. ”
Russia has cut its crude oil production along with OPEC since 2017 to help support prices at around $ 50 to $ 70 a barrel despite a US production boom.
For 2019, Russia has agreed to cut its oil production by 228,000 bpd to around 11.18 million bpd, as part of a total OPEC + cut of 1.2 million bpd, equivalent to 1.2 percent of global demand.
Despite this, Russia's production this year averaged 11.25 million barrels per day, which means excess production by about 70 thousand barrels per day, according to Reuters calculations.
Data from the Russian Energy Ministry shows that most of the excess production is related to condensate, which increased production by 4 percent in the period from January to October 2019 to about 770 thousand barrels per day.
Gazprom and Novatek, Russia's second-largest gas producer, contributed most of the increase.
In comparison, the UAE produces about 700,000 bpd of condensate, while Saudi Arabia and Nigeria produce about 400,000 bpd each.
https://alforatnews.com/modules/news/article.php?storyid=220451
[/rtl]
Today at 5:11 pm by Rocky
» Sudanese advisor criticizes Kuwaiti analyzes regarding the development road project
Today at 2:21 pm by Rocky
» Al-Mandalawi stresses the need to strengthen economic and trade cooperation between Iraq and Poland
Today at 2:04 pm by Rocky
» Power maneuvers: America provides defensive weapons to Kurdistan in exchange for withholding from Ba
Today at 10:26 am by Rocky
» Kuwait is drilling an oil well near Umm Qasr, towards Iraqi territory
Today at 10:24 am by Rocky
» In the document... the first Iraqi ministry identifies the obstacles to changing the new official wo
Today at 10:22 am by Rocky
» Italian Institute: Iraq is stuck in its own crises, including Baghdad’s efforts to undermine the “au
Today at 10:21 am by Rocky
» The head of the Integrity Commission announces the holding of an international Interpol conference i
Today at 10:18 am by Rocky
» Planning: Iraqi companies are not efficient in conducting the population census
Today at 10:14 am by Rocky
» utube MM&C 4/24/24 Support - USA- Turkey - Timing- Currency Value - Tabled
Today at 8:08 am by Rocky
» MM&C 4/25/24 National Bank of Iraq goes live with Temenos core banking and payments
Today at 8:06 am by Rocky
» A banking official indicates a "danger" to Iraq by depriving more than half of its banks of dollars
Today at 7:55 am by Rocky
» With the participation of the Association of Private Banks, investment opportunities are on the tabl
Today at 7:45 am by Rocky
» Within a month... an Iranian border crossing recorded a noticeable increase in exports of goods to I
Today at 7:44 am by Rocky
» The Association of Private Banks appreciates the efforts of the government and the Central Bank to c
Today at 7:43 am by Rocky
» Al-Maliki's coalition presents a third candidate for the position of governor of Diyala
Today at 6:57 am by Rocky
» Arab gathering: The Kirkuk problem is getting complicated and the Sudanese must intervene
Today at 6:56 am by Rocky
» Next week.. a Kurdish delegation will visit Baghdad to meet with the Minister of Finance
Today at 6:54 am by Rocky
» Under the pretext of salaries... Al-Party refrains from handing over port revenues to Baghdad
Today at 6:53 am by Rocky
» Association of Banks: For the first time, we are witnessing a clear targeting of depriving half of t
Today at 6:51 am by Rocky
» Parliament does not know the reason for the delay in sending the 2024 budget schedules: Voting takes
Today at 6:49 am by Rocky
» Applicants for the 2024 Hajj are demanding that the Central Bank secure the dollar for them through
Today at 5:09 am by Rocky
» Governmental and private banks will showcase their services tomorrow during Financial Inclusion Week
Today at 5:08 am by Rocky
» Iraq's oil exports rise despite OPEC+ cuts
Today at 5:06 am by Rocky
» A study explodes a "surprise"... Iraq is among the countries that export oil to "Israel": How is the
Today at 5:04 am by Rocky
» Al-Araji emphasizes working to strengthen national identity
Today at 5:02 am by Rocky
» Al-Sudani visits Saudi Arabia to participate in the World Economic Forum in Riyadh
Today at 5:01 am by Rocky
» Iraq is talking about producing one million additional liters of gasoline
Today at 4:59 am by Rocky
» The Council of Ministers approves the implementation of the Baghdad Metro project
Today at 4:56 am by Rocky
» Minister of Commerce: We formed a joint economic committee with Türkiye
Today at 4:55 am by Rocky
» Resources: Government measures have contributed to improving the water situation in Iraq
Today at 4:53 am by Rocky
» Parliamentary Finance: Baghdad will continue to send salaries to the region’s employees until settle
Today at 4:51 am by Rocky
» A parliamentarian describes the corruption of Iraqi ports as “ghouls” and reveals the involvement of
Today at 4:49 am by Rocky
» Obelisk Hour: Basra is the subject of political conflict and ambiguity over the fate of the funds al
Today at 4:48 am by Rocky
» Turkmen leader: An agreement on the local government of Kirkuk is near
Today at 4:45 am by Rocky
» Anbar calls for the operation of its factories despite financial obstacles
Today at 4:44 am by Rocky
» Turki: The crisis of the Presidency of Parliament prompted the Sunnis to amend the Council’s interna
Today at 4:43 am by Rocky
» The Agriculture Committee confirms the existence of Iraqi-Turkish-Iranian discussions on water
Today at 4:42 am by Rocky
» Resources diagnose the challenges facing the water file in Iraq
Today at 4:38 am by Rocky
» Parliament pledges to the Interior Ministry: We will transfer money to buy weapons from citizens
Today at 4:33 am by Rocky
» Al-Issawi is the closest.. Parliament sets the date for deciding the choice of the new president
Today at 4:31 am by Rocky
» Deputy: Iraq's investments have risen and need a comprehensive review of previous years
Today at 4:30 am by Rocky
» Iraqis consume 7 billion eggs annually and import about $900 million
Today at 4:28 am by Rocky
» The Iranian role complicates attempts at open cooperation between Iraq and Turkey. Turkey is trying
Today at 4:26 am by Rocky
» Move in Iran to obtain $242 billion from Iraq in compensation for the eight-year war
Today at 4:25 am by Rocky
» 12 decisions from the Council of Ministers regarding the Baghdad Metro and Najaf-Karbala train proje
Today at 4:23 am by Rocky
» Sudanese Advisor: The path to development has begun... the Baka and the militias “we silence them wi
Today at 4:21 am by Rocky
» Not from Kurdistan.. How did Iraq become a source of oil for “Israeli tanks”?
Today at 4:19 am by Rocky
» Parliamentary Agriculture criticizes the Sudanese and Erdogan agreement: Türkiye will control water
Today at 4:16 am by Rocky
» The Iraqi government issues new decisions
Yesterday at 2:35 pm by Rocky
» The story of “reduced oil” to Jordan, from “compulsion” to mutual benefit.. Is there a loss?
Yesterday at 2:33 pm by Rocky
» The Council of Ministers takes 12 decisions for the Baghdad Metro and the Najaf-Karbala train
Yesterday at 2:32 pm by Rocky
» utube MM&C 4/23/24 Iraqi Dinar - IQD Update - Development Road Project - Saviour of Global Banking
Yesterday at 10:18 am by Rocky
» Kidney from pig transplanted into deathly ill New Jersey woman — and begins working almost immediat
Yesterday at 10:15 am by Bama Diva
» The most difficult option.. Warnings of the danger of floating the Iraqi dinar without achieving an
Yesterday at 9:48 am by Rocky
» Trade from the “Economic Committee” with Türkiye: It will overcome all obstacles facing the traders
Yesterday at 9:46 am by Rocky
» Washington's hope for stable relations with Baghdad clashes with Iraqi parties' rejection of the Ame
Yesterday at 9:41 am by Rocky
» Karim Badr: Development is America’s will to kill silk
Yesterday at 9:36 am by Rocky
» Oil: Opening of a new port for liquid gas for vehicles in Baghdad
Yesterday at 9:33 am by Rocky
» A media advisor warns of corruption in a draft law on the Parliament’s agenda
Yesterday at 9:21 am by Rocky
» Economist: There is serious work to lift US sanctions on Iraqi banks
Yesterday at 9:16 am by Rocky
» Will the agreements signed with the US Treasury reflect positively on the exchange rates?
Yesterday at 7:52 am by Rocky
» Iraq continues its quest to join the World Trade Organization
Yesterday at 7:51 am by Rocky
» Iraq completes the completion of the files for the initial offer of goods and services to join the W
Yesterday at 7:50 am by Rocky
» Economist: Travelers' dollars are leaking into the parallel market...and this is what the Central Ba
Yesterday at 7:32 am by Rocky
» President of the Federal Court: It is not permissible to force anyone to join any party, and the pol
Yesterday at 7:30 am by Rocky
» The Council of Ministers holds its session headed by Al-Sudani
Yesterday at 7:27 am by Rocky
» America weakens Baghdad...and increases Kurdistan's military capabilities
Yesterday at 7:26 am by Rocky
» The Iraqi government plans to build 10,000 schools throughout the country
Yesterday at 7:23 am by Rocky
» American threats close the Iraqi Stock Exchange at a loss
Yesterday at 7:21 am by Rocky
» Increase in external transfers at the Central Bank
Yesterday at 7:20 am by Rocky
» Al-Maliki calls on Britain to cancel restrictions on the entry of its companies into Iraq
Yesterday at 7:18 am by Rocky
» Planning and the European Union are discussing signing a number of agreements in the development, en
Yesterday at 7:16 am by Rocky
» Parliament talks about the mechanism for recovering smuggled funds and hints at the next stage
Yesterday at 7:13 am by Rocky
» Interior Ministry: The number of completed national cards reached 37 million cards
Yesterday at 7:06 am by Rocky
» Amnesty International: Violations of freedom and human rights continue in Iraq and the Kurdistan Reg
Yesterday at 7:04 am by Rocky
» Parliamentary Oil: The government is proceeding with the decision to raise the price of improved gas
Yesterday at 7:03 am by Rocky
» A parliamentary committee in Basra to investigate violations of the port company and the local gover
Yesterday at 7:00 am by Rocky
» Revealing the 10 most important American exports to Iraq
Yesterday at 5:31 am by Rocky
» A noticeable increase in the rate of Iraq's import of Chinese cooling devices
Yesterday at 5:30 am by Rocky
» Prime Minister: Working on projects without completing the infrastructure is a waste of money
Yesterday at 5:28 am by Rocky
» Iraq.. Extending the deadline for registration procedures on plots of land
Yesterday at 5:27 am by Rocky
» What is the main purpose of conducting the population census in Iraq?
Yesterday at 5:25 am by Rocky
» A plan to transform Iraq from a barren land to green with 5 million trees
Yesterday at 5:24 am by Rocky
» The Housing Fund announces the acceptance of more than 11 thousand loans through the Ur platform
Yesterday at 5:23 am by Rocky
» The Bank of Baghdad is moving to increase its capital to 400 billion dinars
Yesterday at 5:20 am by Rocky
» The electronic payment system will soon be adopted on Iraqi buses
Yesterday at 5:19 am by Rocky
» “It threatens our interests and destroys our economy.” An Iraqi project “irritates” the Kuwaiti stre
Yesterday at 5:18 am by Rocky
» Warning from the Central Bank about “misuse of electronic payment cards”
Yesterday at 5:17 am by Rocky
» Iraq and the Sultanate of Oman are discussing sending capacities through the Gulf countries
Yesterday at 5:16 am by Rocky
» The fact that a decision was issued to deport Syrian workers from Iraq
Yesterday at 5:14 am by Rocky
» Rice comes first... America exports 10 foodstuffs worth more than 350 million dollars to Iraq
Yesterday at 5:14 am by Rocky
» A sixth licensing round for gas exploration
Yesterday at 5:12 am by Rocky
» Baghdad is preparing to host the 50th session of the Arab Labor Conference
Yesterday at 5:11 am by Rocky
» Scientific symposium on the future vision of the tripartite budget
Yesterday at 5:09 am by Rocky
» Five conversion power stations enter service in Najaf
Yesterday at 5:08 am by Rocky
» Planning: Conduct a population census next November
Yesterday at 5:07 am by Rocky
» Experts: Spreading misleading information harms development and investment
Yesterday at 5:03 am by Rocky
» Economists call for tightening money laundering laws and port controls
Yesterday at 5:02 am by Rocky