Decrease in Russian oil supplies led to decline in export value to the lowest in two years

According to Bloomberg, over the four weeks through June 1, the volume of Russian oil supplies to other countries averaged 3.24 million barrels per day. That's 170,000 barrels less compared to the period through May 25. The decline in exports, as noted in the agency, offset the influence of a slight rise in prices over the period.

At the same time, there was no single factor behind the latest drop in supply volumes. In the seven days before June 1, none of the key Russian ports had any disruptions in loading, and many of them were operating at almost maximum capacity.

Against this backdrop, the value of Russia's seaborne oil exports maintained a downward trend. Since April 21, 2024, the price of Russian crude has fallen 39% and shipments are down about 12%, according to Bloomberg estimates. In the week to June 1, the gross value of Russian oil exports fell 24% to $990 million.

The agency said Russia opposed a third major increase in oil production at the OPEC+ meeting on Saturday. However, its arguments failed to make an impact and overall production targets were raised. This position may indicate possible difficulties in increasing oil production for Russia, the agency's experts conclude.