Russia Assures No Friction with OPEC+ Despite Overproduction

Russian Deputy Prime Minister Alexander Novak stated that Russia will compensate for its overproduction of crude oil, affirming there is no friction with OPEC+. Despite exceeding quotas in June, Russia commits to adhering to set output levels. Speculation arose about tension with Saudi Arabia, which was addressed in Novak's remarks.

Russian Deputy Prime Minister Alexander Novak asserted on Thursday that there was no friction with OPEC+ after Russia overproduced crude oil in June. Novak assured that Russia would compensate for the excess and adhere to agreed output levels.

Speculation emerged among oil traders about potential tension between Saudi Arabia, the leading exporter in the Organization of the Petroleum Exporting Countries, and Russia. Despite this, Novak held a call with Saudi officials who expressed concerns over the overproduction.

OPEC+ estimates showed Russia produced 9.14 million barrels per day (bpd) in June, exceeding its quota. The group plans to make up for overproduction between January and June 2024 through monthly cuts until September 2025.

(With inputs from agencies.)