Russia Oil Production Jumps to a New Post-Soviet Record

(Bloomberg) — Russia’s crude production has jumped to a new post-Soviet record as it prepares for talks with OPEC on further cooperation, according to a government official.

The country’s oil output is currently fluctuating between 1.54 million to 1.55 million tons a day, driven mainly by state-run giant Rosneft PJSC, the official said, asking not to be named as the information isn’t public yet. That equates to 11.29 million to 11.36 million barrels a day, beating the previous record of 11.25 million set in October 2016 before Russia agreed with the Organization of Petroleum Exporting Countries to cut production.

Russia’s output boost comes just days before it meets in Algeria with other members of the group known as OPEC+. The producers agreed in June to start rolling back their production cuts to offset losses in other countries including Venezuela and Iran, while also responding to calls from U.S. President Donald Trump to ease pressure on prices. This weekend, ministers will discuss supply and demand forecasts for the fourth quarter and the potential for cooperation extending into next year.

While Russia could boost its production by about 300,000 barrels per day above the October 2016 record within a year, there’s still no decision on tapping this spare capacity and the size of the increase will depend on talks with the partners, Russian Energy Minister Alexander Novak said last week.

Russia’s Energy Ministry and Rosneft declined to comment.

Russia produced about 11.21 million barrels a day in August, with Rosneft pumping more than 40 percent of the nation’s supply. The highest level reached by the country during the Soviet era, on an annual-average basis, was 11.416 million in 1987, according to BP (LON:) Plc data.

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