By Dina Khrennikova and Olga Tanas
Despite the initial market skepticism, oil prices have leaped nearly 65% in the past four weeks as the OPEC+ cuts have taken hold and economies including China start to reopen.
Russia has reached the output level pledged in the OPEC+ deal, cutting 2 million barrels a day, RIA reported, citing Novak’s speech. While the nation agreed to reduce its crude-only production in May and June by 2.5 million barrels a day, it also includes condensate — a hydrocarbon similar in quality to light crude — in its total production figures. Russia can produce about 700,000 barrels a day of condensate.
While Saudi Arabia, Kuwait and the U.A.E. pledged additional voluntary cuts earlier this month, Russia so far has not signaled it would follow suit. The nation aims to strictly follow the conditions of the OPEC+ deal, Novak told Bloomberg last week.