Russia plans to change the supply deal with the Organization of the Petroleum Exporting Countries (OPEC) and increase its oil output upon meeting OPEC in June, Head of Russian Sovereign Wealth Fund RDIF, Kirill Dmitriev, signaled on April 8, Reuters reported.
“This decision will not mean the end of the deal, but a confirmation that participants continue their coordinating efforts when it is important not only to cut but to increase output depending on market conditions,” Dmitriev said in a conference in Moscow.
Dmitriev pointed out that Russia can increase its oil output by around 228,000 barrels per day, “and maybe even further”.
Russia’s decision to change the supply pact comes in line with the improving market conditions and falling stockpiles.
Therefore, the supply reductions may not be needed anymore, according to Dmitriev.