Russian Oil Output Set to Dive in 2023 Amid EU Ban, EIA Says
- Fuel supplies from Russia could drop nearly 20% by next year
- More sanctions could lead to further upward swing in prices
This article is for subscribers only.
The European Union’s ban on seaborne imports of Russian petroleum in response to Russia’s invasion of Ukraine will lead to an 18% drop in the country’s fuel output by the end of next year.
Production of Russian liquid fuels is set to reach 9.3 million barrels a day in the fourth quarter of 2023 from 11.3 million in the first quarter of this year, the Energy Information Administration said in a monthly report. The drop assumes the European Union’s move to halt crude oil imports will be imposed in six months and the petroleum product import ban in eight months, and excludes any restrictions on shipping insurance, the agency said.