Report: Supplies to Sibur restricted over OPEC+ deal

MOSCOW, Jan 23 (PRIME) – Supplies to Russian petrochemical company Sibur have become insufficient as companies fulfill the OPEC plus nonmember output reduction agreement, CEO Dmitry Konov told channel CNBC in an interview broadcast Tuesday.

“We have seen some decrease of oil production in Russia over the last six months in accordance with the (OPEC plus nonmember) deal. Sibur is a company whose activities are connected with supplies by all largest Russian oil and gas producers,” Konov said.

“We see a fall in production on some deposits. This is real, this has happened and we, on our side, experience some supply restrictions (due to the OPEC deal).”

OPEC agreed to reduce production by 1.2 million barrels daily to 32.5 million barrels in November 2016. In December 2016, 11 non-OPEC countries including Russia agreed to cut their combined output by 558,000 barrels. In November 2017, the agreement was prolonged until the end of 2018.

End