Exclusive: Rising Russian Sakhalin-1 oil output may threaten OPEC deal compliance

28 Nov 2017   Russia

Oil output from Russia’s Sakhalin-1 project is set to rise by about a quarter to 250,000-260,000 barrels per day (bpd) from January, sources with knowledge of the plan said, signaling Moscow may find it hard to comply with an extended OPEC output cut. Russia and the Organization of the Petroleum Exporting Countries will meet in Vienna on Thursday to discuss an extension of the pact to curb output, possibly to the end of 2018. The Sakhalin-1 project, operated by ExxonMobil off the coast of Sakhalin island in Russia’s Far East, currently produces about 200,000 bpd. Sponsored “From January, total oil production from Sakhalin-1 and a small stream from Rosneft’s separate block will be about 250,000 bpd,” said one of the sources. A second source said production will increase to 260,000 bpd in the March quarter from about 190,000 bpd in 2017. A third source said […]

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