HDRO - Russia Increases Oil Market Share In January Despite OPEC+ Pledges
2024-02-05 21:50:00 ET
Summary
- Russia seems to have taken advantage of the drop in Iran’s oil exports.
- Saudi Arabia, Kuwait and Iraq deepened their cuts.
- Non-OPEC members of OPEC+ (excl. Russia) did not improve their compliance.
- Leaking tendency among non-OPEC producers of OPEC+ is preventing the market to be tighter.
Russia seems to have taken advantage of the drop in Iran’s oil exports
During Aug-Dec 2023, Iran’s crude exports had consistently averaged approx. 1.5 mb/d. However, in January, there is a drop of almost 400 kb/d on the back of disruptions in the Red Sea based on Bloomberg Tanker Tracker (Chart 1). It seems that Russia has taken advantage of this by not materially lowering oil exports and thereby gaining market share, which is contrary to its assurances to OPEC+. Overall Russia's oil exports (crude + refined fuel) in January are almost flat MoM....
Russia Increases Oil Market Share In January Despite OPEC+ Pledges