Energy Fact Sheet: Why does Russian oil and gas matter?

One of the world’s top oil producers and exporters

Russia is a major player in global energy markets. It is one of the world’s top three crude producers, vying for the top spot with Saudi Arabia and the United States. Russia relies heavily on revenues from oil and natural gas, which in 2021 made up 45% of Russia’s federal budget.

In 2021, Russian crude and condensate output reached 10.5 million barrels per day (bpd), making up 14% of the world’s total supply. Russia has oil and gas production facilities throughout the country, but the bulk of its fields are concentrated in western and eastern Siberia. In 2021 Russia exported an estimated 4.7 million bpd of crude, to countries around the world. China is the largest importer of Russian crude (1.6 million bpd) , but Russia exports a significant volume to buyers in Europe (2.4 million bpd).

Russia produces several different types of crude oil, but its main export blend is Urals, which is a medium sour crude. It also exports large volumes of ESPO blend crude crude to Asia, via the East Siberia-Pacific Ocean (ESPO) pipeline. Other grades include Siberian light, Sokol, Sakhalin blend, Arctic oil and Novy Port.

While the Russian oil industry has seen a period of consolidation in recent years, several major players remain. Rosneft, which is state-owned, is the largest oil producer in Russia. It is followed by LUKOIL, which is the largest privately owned oil company in the country. Gazprom Neft, Surgutneftegaz, Tatneft and Russneft also have significant production and refining assets.

Russia has extensive crude export pipeline capacity, allowing it to ship large volumes of crude directly to Europe as well as Asia. The roughly 5,500 km Druzhba pipeline system, the world’s longest pipeline network, transports 750,000 bpd of crude directly to refiners in east and central Europe. At present, Russia supplies rougly 20% of total European refinery crude throughputs.

In 2012, Russia launched the 4,740 km 1.6 million bpd ESPO pipeline, which sends crude directly to Asian markets such as China and Japan. The pipeline was part of Russia’s general energy pivot to Asia, a strategy focused on shifting export dependence away from Europe, and taking advantage of growing Asian demand for crude. Russia also ships crude by tanker from the Northwest ports of Ust-Luga and Primorsk, as well as the Black Sea port of Novorossiysk, and Kozmino in the Far East. In addition, Russia also exports crude by rail.

Russia has an estimated 6.9 million bpd of refining capacity, and produces a substantial amount of oil products, such as gasoline and diesel. Russian companies have spent the last decade investing heavily in primary and secondary refining capacity in order to take advantage of favourable government taxation, as well as growing global diesel demand. As a result, Russia has been able to shift the vast majority of its motor fuel production to meet Euro 5 (10 ppm) standards. Russia’s energy strategy has prioritized self-sufficiency in gasoline, so it tends to export minimal volumes. However, Russian refiners produce roughly double the diesel needed to satisfy domestic demand, and typically export half their annual production, much of it to European markets. In addition, Russia is a major exporter of vacuum gasoil and heavy fuel oil. In 2021 Russian refineries processed 5.6 million bpd of crude and exported 2.8 million bpd of oil products. Europe remains a major market for Russian oil products. In 2021 Russia exported 750,000 bpd of diesel to Europe, meeting 10% of demand. 

Rekomendasi Kumpulan Daftar Situs Agen Judi Slot Online Gacor Terbaik Gampang Menang Deposit Receh via DANA dan Pulsa Tanpa Potongan
Situs Slot Gacor Gampang Menang
Situs Slot Online
Situs Slot Online Deposit Pulsa
Situs Slot Online Modal Receh
Situs Judi Slot Gacor Terbaik
Info RTP Slot