Russia will reduce its oil exports by half a million barrels per day in August

Russia announced Monday that it will cut its crude oil exports by half a million barrels per day in August in order to balance the market, as it confirmed.

Deputy Prime Minister Alexander Novak, whose statement was reported by Russian news agencies, said, “As part of efforts to achieve balance in the market, Russia will voluntarily reduce supplies to oil markets by 500,000 barrels per day in August by reducing exports by the same amount”.

The announcement of this decision comes after the announcement of extending the oil production cut by one million barrels per day by Saudi Arabia, Russia’s ally within OPEC Plus, the alliance that includes the most prominent oil exporting countries and their partners.

Such measures aim to reduce the supply of oil in the markets to stimulate prices.

In February 2023, Russia announced a reduction in its oil production by 500,000 barrels per day, a measure it said it wanted to maintain until the end of 2024.

The decision announced on Monday relates to exports, not production.