Russia's Fuel Export Revenue Drops 14 Percent from Last Year
The International Energy Agency said that Russia's June revenue from sales of crude oil and oil products fell by about 14 percent compared to the same month last year, to $13.57 billion.
However, the IEA reported that Russia's oil loadings remained steady at 4.68 million barrels per day while its crude output remained relatively unchanged at 9.2 million barrels per day last month.
Its oil product exports decreased by 110,000 barrels per day to 2.55 million barrels per day.
In June, crude and product volumes stayed close to a five-year low.
"The deterioration in exports has persisted over most of 2024 and 2025 to date and raises questions about Russia's ability to sustain its upstream production capacity," the IEA said in a monthly paper.
It stated that although Russian crude prices trended over the $60 per barrel price cap set by the West for ten days in June, they were below it on average. Due to tight sour crude markets and supply concerns that encouraged crude buying, price increases outpaced those for North Sea Dated.
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According to reports, as part of a new draft sanctions package, the European Commission is anticipated to suggest a floating cap on the price of Russian oil.
Kazakhstan has consistently surpassed its agreed-upon limitations, while Russia is meeting its OPEC+ output target.
Kazakhstan's oil production increased by 70,000 barrels per day, month over month, reaching 1.9 million barrels per day in June, according to the IEA. This was about 500,000 barrels per day above its OPEC+ objective and virtually in line with the output of 1.88 million barrels per day.
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Russia promised in February to voluntarily reduce oil production by 500,000 barrels per day beginning in March. The action came after a $60 per barrel price cap set by the West, which Moscow finds intolerable and sees as a non-market mechanism.
After Saudi Arabia made a similar announcement earlier this month, Russia announced additional 500,000 bpd cuts beginning in August. Riyadh announced that it would extend its voluntary 1 million barrel per day crude output cut for one additional month, through August. Approximately 1.5 percent of the world's supply will be curtailed.
Data shows that Moscow's crude and petroleum product shipments dropped 600,000 barrels per day (bpd) in June to 7.3 million bpd, the lowest since March 2021. Last month, export earnings almost fell to $11.8 billion from $20.4 billion in June 2022.