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Russia satisfied with current oil price, feels it adequately reflects market — Novak

According to the Russian Deputy prime minister, oil demand in 2024 may rise by 2 mln barrels per day, at least judging by the consensus forecast given by experts

MOSCOW, January 31. /TASS/. The current oil price adequately reflects the situation on the market, Russian Deputy Prime Minister Alexander Novak told reporters.

"The price currently on the [oil] market adequately reflects the current situation," he noted.

According to Novak, oil demand in 2024 may rise by 2 mln barrels per day, at least judging by the consensus forecast given by experts.

"[Oil demand in 2024] will largely depend on the growth of the global economy. Experts have various estimates, they change throughout the year, quarterly. The consensus is that there will be an increase in demand of about 2 mln barrels per day in 2024," Novak noted.

Energy Minister Nikolay Shulginov told reporters earlier that the Russian Ministry of Energy expects the level of oil production in 2024 to remain at the level of 2023. "Oil production in 2024 is still forecast at last year’s level," he said. Regarding fuel supply, he noted that the country has slightly reduced exports, but increased production.

At the same time, Head of the System Operator of the Unified Energy System Fyodor Opadchy told reporters that the growth in energy consumption in Russia since the beginning of the year reached 4.9% against the backdrop of severe cold. "Growth reached 4.9% <...>. So far, against the backdrop of cold weather, we see such a large increase in the cumulative total to date [from the beginning of the year]," he said.

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Alexander Novak

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