Challenges for Russian oil production

Following a pause as the country complied with the recent OPEC/Non-OPEC deal Russia is set to expand its oil output again. Fields currently under development will see production rise consistently until the early 2020s, but the key question will be whether this can be sustained for the longer term. Existing fields in West Siberia and European Russia will go into natural decline and plans to develop new assets on the continental shelf, in the Arctic and in the expansive shale reservoirs have been undermined by sanctions. East Siberia remains an area of great potential, especially as Russia continues its pivot to Asia, but may not compensate for declines elsewhere. This research will therefore explore whether Russian oil companies have the capability to exploit new regions without traditional western partners or whether Russian oil production is set for inevitable decline from 2023 onwards.

By: James Henderson , Ekaterina Grushevenko


Oil , Oil & Middle East Programme