Russia could reduce oil output by 20-30% amid sanctions

TASS Russian News Agency | May 30, 2022 at 10:50 AM

ECONOMY: LUKOIL-OIL-VOLUME

Russia could reduce oil output by 20-30% amid sanctions - Lukoil Vice President

MOSCOW, May 30. /TASS/. Russia could effectively consume and export 7-8 mln barrels of oil per day without losses to the state budget, Vice President of Lukoil Leonid Fedun said in an interview with the RBC newspaper.

"Why does Russia need to ensure production of 10 mln barrels of oil per day, if we can effectively consume and export 7-8 mln without losses to the state budget, domestic consumption, and imports? Let's return to the discussion that happened on the eve of the OPEC+ agreement. What is better - sell 10 barrels of crude oil at $50 or seven, but at $80? Is it necessary to try to maintain pre-crisis export volumes, agreeing to 30%, and sometimes even 40% discounts," Fedun told the newspaper.

According to the vice president of Lukoil, it is important to keep OPEC+, and all future steps to optimize oil supplies should be coordinated with partners under the agreement.