Barents Observer: Russia’s oil and gas production sharply down in 2020, but here comes a new Arctic offshore platform. Hundreds of workers at yards in Severodvinsk are engaged day and night with construction of Russia’s second ice-resistant platform for Arctic waters.
Oil production was down 8,6% in 2020 and gas production was down 6,2%, online newspaper Lenta reports.
This is the first year since 2008 Russia sees a drop in petroleum production. The decrease is partly explained by last year’s agreement with OPEC to cut production due to decreased demand in a world seriously hit by the pandemic.
The drop in oil production in 2020 came after two consecutive years of production records in the country’s post-Soviet history.
In December, and this Tuesday, Russia reached a new deal with OPEC to modestly raise oil production, but uncertainties are still high in regards to gas demand in Europe. Especially in the longer run, as the European Union aims at dramatically boosting climate-friendly green energy sources by 2030.