• Home
  • News
  • Over 80% of Russia’s oil exports and 75% of petroleum products to go to friendly countries - Alexander Novak
  • 2023 February 13 15:59

    Over 80% of Russia’s oil exports and 75% of petroleum products to go to friendly countries - Alexander Novak

    In 2022, Russia’s oil exports rose by 7.6%, LNG – by 7.9%

    Russia continues searching new sales markets for oil and petroleum products. Over 80% of oil exports and 75% of petroleum products is planned to be sent to friendly countries in 2023, according to the article by Alexander Novak, Deputy Prime Minister of the Russian Federation,  "Russian Fuel and Energy Complex 2022: Challenges, Results and Prospects" published in the Energy Policy magazine.

    According to the article, the Russian fuel and energy complex (FEC) faced a number of "unprecedented external challenges" in 2022, but "despite the pessimistic forecasts, the Russian energy industry is coping with the restrictions successfully." In 2022, oil production in Russia totaled 535.2 million tonnes, up 2%, year-on-year. Exports rose by 7.6% to 242 million tonnes. 38 hydrocarbon fields with the total recoverable oil reserves of 96.4 million tonnes were discovered in 2022.

    When referring to the embargo on transportation of oil and petroleum products imposed by the Europe, the Deputy Prime Minister said: “All this has already led to volatility in the global oil markets and adverse economic consequences for the countries that had initiated the restrictions.”

    In order to redirect the flow of Russian oil and petroleum products to friendly countries, a project to increase transportation to the port of Kozmino was implemented in 2022. In the result, annual transportation to the APR countries increased to 42 million tonnes. While the peak production registered in March-April last year was down by about 1.2 million barrels per day, the middle of the year saw the recovery of production to the level of January-February - about 10 million barrels per day.

    In 2022, gas production in Russia totaled 673.8 billion cubic meters, exports fell by 25.1% to 184.4 billion cubic meters. However, gas supplies to China were growing throughout the year.

    “We give special importance to the development of LNG production. LNG exports rose by 7.9% and reached 45.7 billion cubic meters last year. The world gas market is becoming as global as possible, so the demand for liquefied gas will grow in the future due to its mobility,” the Deputy Prime Minister believes.

    According to him, the economic performance of Russian LNG production projects “are among the most competitive worldwide due to the low cost of production and low costs of logistics operations in the Asia-Pacific Region,” therefore, “implementation of all the planned LNG projects remains a priority task."

    Alexander Novak emphasizes that the Government is working on the technological development of the industry, first of all, on the creation of domestic gas liquefaction facilities. RUB 1 billion have been allocated for these purposes. “The launching and partial financing of 4 projects on creation of LNG equipment for mid- and large-scale production will be ensured. A  total of 18 projects are planned for implementation in Russia. Russian LNG complex Arctic Cascade is already in operation at the Yamal LNG plant. Essential focus is on the development of the Northern Sea Route with LNG accounting for the bulk of its cargo flow,” reads the article.

    In 2022, coal production in Russia totaled 443.6 million tonnes which is slightly more than in the previous year. Over the year, exports decreased by 7.5% (210.9 million tonnes). The Deputy Prime Minister notes that the efforts of the state and coal companies are aimed at further shift of Russian coal exports to the APR countries, as well as at boosting the growth of demand for coal in the domestic market. Modernization of the Eastern Polygon of railways is planned for that purpose (Phase 2). It is to result in the increase the BAM and the Transsib export capacity to 180 million tonnes per year. Underway is the construction of the Elga-Chumikan railway line, which is to ensure an increase in annual coal shipments to 10 million tonnes in 2025 and up to 30 million tonnes in 2030. The development of the Elginsky coal complex will result in the production increase up to 50 million tonnes.

    The Deputy Prime Minister refers to China and India as Russia’s main foreign economic partners: those states continue to build up imports of Russian coal. Over the past year, Russia exported 59.52 million tonnes of coal to China (+11.2% vs 2021), and 16.7 million tonnes to India (+147.8% vs 2021). “We expect coal exports to the countries of the Asia-Pacific region to rise 1.5-2 times by 2030,” writes Alexander Novak.

    He also reminds about a roadmap for the development of the high-tech segment, “Hydrogen Energy Development” approved in the end of 2022. In January of 2023, an agreement on implementation of the roadmap was signed between the Russian Government, Rosatom and Gazprom. Allocation of RUB 9.3 billion from the federal budget is foreseen for the period up to 2024 as part of the federal project “Clean Energy”.

2023 December 9

16:41 Maersk adds emergency risk surcharge to Israel container shipments
14:33 BIMCO adopts portfolio of four ETS clauses
12:07 LBCT awarded for its investment in zero-emission technologies, cargo-handling efficiencies, and carbon-slashing strategies
10:17 Pacific Basin closes new US$150m 3-year sustainability-linked unsecured revolving credit facility

2023 December 8

18:00 Norway’s largest zero-emission ferry launched in Turkey
17:06 VTTI and Höegh LNG sign agreement to jointly develop energy terminal in Zeeland, Netherlands
16:57 LASH Sevmorput to be replaced by a diesel-powered vessel next year, vessel operator says
16:35 ABB supplies world-first maritime megawatt charging system for Auckland Transport’s new electric ferries
16:13 ORNL, Caterpillar collaborate to advance methanol use in marine engines
15:27 MOL and Maersk issue joint statement on decarbonization in the shipping industry
14:55 Jiangnan Shipyard unveils design for the ‘world’s largest’ nuclear-powered containership
14:20 Avance Gas agrees to sell two newbuildings for $240 million at a $73 million estimated profit
13:45 Iran seizes two more vessels in Persian Gulf for 'fuel smuggling'
13:25 Pacific International Lines and DP World sign MOU to jointly develop green solutions for global supply chains
12:11 NYK secures time charter contract with SINOPEC for LNG transportation
11:43 Gunvor partners with ClearShift on zero carbon diesel and chemicals
11:15 Masdar signs Joint Study Agreement for supply of green hydrogen to the Port of Amsterdam
10:51 GTT enters into strategic cooperation agreement with the major Chinese ship-building group CSSC
10:24 Teck and Oldendorff to install Flettner Rotors system on the vessel Dietrich Oldendorf
09:53 Rosatom: Shipping on the Northern Sea Route does not have a negative impact on the Arctic environment
09:18 Hayfin to acquire up to $1bn of shipping assets through Maritime Yield strategy
08:25 Euronav orders 1 VLCC and 2 Suezmaxes

2023 December 7

18:02 Maersk to deploy first large methanol-enabled vessel on Asia - Europe trade lane
17:48 Hapag-Lloyd, Maersk and CMA CGM sign an agreement for alternative fuels with Nestlé
17:15 Ecomotus’ EcoPro fuel catalyst system awarded RINA’s approval
16:45 Adani Ports looks to buy SP Group's Gopalpur port in Odisha
16:24 Singapore and Tianjin sign MoU to establish the Singapore – Tianjin Green and Digital Shipping Corridor
15:54 Alfa Laval to provide the fuel supply system to Maersk in industry’s first methanol retrofit project for a container vessel
15:31 MABUX: Bunker Weekly Outlook, Week 49, 2023
15:14 COSCO signs contract with MAN for the methanol retrofit of four main engines from COSCO Line’s vessels
14:41 COSCO SHIPPING and bp sign MoU
14:22 Fluxys, OGE and Wintershall Dea sign a cooperation agreement for CO2 transport
13:52 ClassNK awards AiPs for SDARI’s three green fuels powered vehicle carriers
13:12 ABS publishes industry-leading best practices for ESG reporting
12:41 MOL and DP World sign MoU to explore auto logistics and decarbonization business opportunities
12:15 DEME and FARIA enter agreement to explore and co-develop offshore wind farms in Greece
11:52 Jan De Nul signs first two contracts with TenneT under 525 kV HVDC cable system frame cooperation
11:24 GTT receives an order from HD Hyundai Heavy Industries for the tank design of two new Very Large Ethane Carriers on behalf of the ship-owner Purus
11:13 Russian Far East shipyards’ backlog of orders hits three-year high, says Central Bank
10:51 Jiangnan Shipyard and Bureau Veritas sign a cooperation agreement on shipyard digitalization and 3D design reviews
10:29 Singapore, Norway and IMO unveiled LR's report at the Voyage to Net-Zero Forum

2023 December 6

18:02 NYK concludes time charter agreement for fuel ammonia transport
17:35 Japan’s Tsuneishi Shipbuilding orders 3 × MAN B&W 7G50ME-C9.6-LGIM main engines
17:19 LR awards CSBC Approval in Principle for methanol-fuelled 2,500 TEU feeder design
16:20 Maritime and Port Authority of Singapore, Port of Los Angeles and Port of Long Beach unveil Partnership Strategy on green and digital shipping corridor
15:59 ClassNK awards AiPs for SDARI’s green fuels powered vehicle carriers for ammonia ready LNG dual fueled
15:24 DNV awards AiP for world’s largest car carrier design by Сhina Merchants
14:45 Nuclear-powered container ship Sevmorput finalized the 2023 shipping season's short-sea voyages on the NSR
14:03 Fish product exports from Russia rose year-to-date by 13% to 2.1 million tonnes
13:42 World’s largest ammonia carriers for Naftomar Shipping to be built by Hanwha Ocean and classed by Bureau Veritas
13:22 Steerprop to deliver tunnel thrusters and retractable combi thrusters for Finnish Border Guards’ multi-purpose vessels
12:51 Fuel cell manufacturer Blue World Technologies closes financing round with Maersk Growth and EIFO
12:11 MOL and Bapco Energies sign MoU for development of cross border CO2 transport and sequestration
11:41 ABP invests £4.2 million in a new Liebherr LHM 420 mobile harbour crane for the Port of Hull
11:10 Sumitomo Corporation and Hoegh Autoliners sign LoI to collaborate on the supply of clean ammonia for upcoming Aurora Class PCTC vessels
10:47 ROSATOM successfully completes production of RITM 200 reactors for Project 22220 universal nuclear icebreakers
10:32 Seaspan enters new market segment with strategic order of new dual-fuel LNG Pure Car and Truck Carrier vessels
10:09 ERMA FIRST awarded AiP from DNV for onboard carbon capture system
09:35 KPI OceanConnect, Titan Clean Fuels, and SFL сollaborate on the company’s first LNG bunkering operation

2023 December 5

18:00 Kongsberg Maritime to provide design, engineering, and equipment on pair of methanol ready, chemical tankers for Sirius Rederi AB
17:38 APM Terminals and DP World launch Zero Emission Port Alliance at COP28
17:16 Blue Mediterranean Partnership to start operating in early 2024
16:49 Global Ports Holding announces integration of shore power at Valletta Cruise Port
16:14 Meratus Line starts calling at East Java Multipurpose Terminal
15:21 OOCL announces new China Indonesia Philippines services
14:42 CNC and COSCO sign vessel sharing agreement for KCS and China 1 services
14:23 Methanol-ready ECOaster vessel design wins DNV’s green light
13:52 DSIC lays keel for first CMES LNG carrier
13:12 Middle East War risk insurance rates edge up after surge in Red Sea ship attacks
12:45 Iberdrola and Masdar sign global alliance to co-invest up to €15 billion in offshore wind and green hydrogen projects in Germany, UK and the USA