Russian oil companies drill wells at fastest pace in 5 years

Russian oil producers have ramped up drilling to a five-year high in anticipation of OPEC+ easing output restrictions and a potential rollback of some Western sanctions, according to Bloomberg.

Meanwhile, the Russian oilfield service industry has largely adapted to sanctions by finding alternatives to Western technology. In early 2025, the country’s oil producers drilled an average of 2,370 kilometers per month, surpassing figures from the previous three years.

Several international oilfield service companies, including SLB and Weatherford, continue operating in Russia, although on a smaller scale, while others have exited the market entirely by transferring their assets to local firms. According to Dmitry Kasatkin, a partner at Kasatkin Consulting, Russian energy firms have achieved notable import substitution over the past three years securing alternative equipment suppliers while simultaneously developing domestic alternatives. This approach has significantly decreased their reliance on foreign technology.

Yet Russia has seen some regression in drilling technology, notes Sergey Vakulenko of the Carnegie Endowment. Still, he notes that Western sanctions have had a milder impact on the country's oil industry than many anticipated three years ago.