Russia’s oil producers told to cut output by fifth

Bloomberg

Russia’s oil producers have been told by the Energy Ministry to cut their production by about a fifth to comply with the new Opec+ deal starting May 1, said two people with knowledge of the matter.
After days of consultations on how to divide the supply curbs, companies were instructed to split Russia’s 2.5 million barrel-a-day cut proportionally, the people said, asking not to be named because the information wasn’t public.
Under those terms, Rosneft PJSC would implement about 40% of the country’s total reduction.
During the negotiations Rosneft disagreed with the principle of pro-rata cuts, according to two people
familiar with company’s position.
The company didn’t respond to a Bloomberg request for comment.
Russia agreed a collective 9.7 million barrel-a-day output cut earlier this month with the Organization of Petroleum Exporting Countries and its allies.
In the fourth quarter, Rosneft pumped around 4.67 million barrels of crude oil and condensate a day, or nearly 42% of nation’s daily output, making it the country’s biggest producer.