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IEA says Russia did not deliver its announced 500 kb/d supply cut

In April, Russia’s crude output remained at March level of 9.6 mln barrels per day, according to the IEA’s calculations

MOSCOW, May 16. /TASS/. The International Energy Agency (IEA) believes that Russia did not deliver its announced supply cut by 500,000 barrels per day, the agency said in its ‘Oil Market Report’ on Tuesday.

In April, Russia’s crude output remained at March level of 9.6 mln barrels per day, according to the IEA’s calculations. In its previous report, the agency said that Russia only reduced production by 270,000 barrels per day in March.

"By our estimates, Moscow did not deliver its announced 500 kb/d supply cut in full," the report said.

Russia started voluntarily reducing crude output by 500,000 barrels per day in March. Later it extended the term of production cut by June and then by the end of the year. Deputy Prime Minister Alexander Novak explained that the output reduction was aimed at reducing the discount on Russian oil and ensuring stable supplies.

Novak said in late April that Moscow had already reached the announced volumes of voluntary output reduction. He did not specify the level of production after its reduction though.

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