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Market Chatter: Russian Deputy PM Acknowledges Crude Oil Production Dip

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Russian oil production has fallen since the start of 2026, Deputy Prime Minister Alexander Novak said on Thursday, attributing the decline to unplanned refinery maintenance, Reuters reported.

The comments are the first official acknowledgement of a decline in output this year, the article said.

Russia, the world's No. 3 oil producer, ceased publication of oil production data in April 2023, a little more than a year after the start of its full-scale invasion of its neighbor, Ukraine.

Novak did not provide further details on the refinery maintenance, but Ukraine has intensified attacks on Russian refineries this year, causing fires and damage.

"Current production is indeed somewhat lower than it was at the beginning of the year, Novak told reporters at the St Petersburg International Economic Forum, the article said.

"This is due to the fact that a number of our oil refineries are currently undergoing unscheduled maintenance."

"Naturally, we are utilising our export infrastructure to its maximum capacity. As the refineries return to full operational mode, production will increase and return to its previous levels," he said.

Hours before the Economic Forum event opened, Ukraine carried out drone strikes near St. Petersburg, hitting the oil terminal and naval base in the town of Kronstadt, the BBC reported.

International Energy Agency data puts Russian crude oil output in April at 8.8 million barrels per day, down about 460,000 bpd from a year earlier, the story said.

Commenting on the departure of the UAE from the OPEC+ group, Novak said the remaining members continued to play an important role in the market.

"In any case, OPEC and our agreements, which have proven their effectiveness, help smooth fluctuations and volatility in global markets," he said, according to the article.

(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)

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