Overview of Russia’s oil sector in 2025, covering production, infrastructure, exports, and refining amid Western sanctions.

Analysis

Russia

Analyst, Europe & CIS

Lukian De Boni

Refining

Infrastructure 

<p class="MsoNormal" style="text-align: justify;"><span lang="EN-US">In 2025, Russia remains one of the world&rsquo;s energy superpowers. In 2024, it produced 516 million tons of crude oil, ranking among the top three global producers alongside the United States and Saudi Arabia. Crude oil exports reached 240 million tons. Russia&rsquo;s current recoverable reserves stand at 19 billion tons of oil and 2.2 billion tons of gas condensate, enough to sustain production at current rates for over three decades. It also holds vast untapped potential: the Bazhenov formation in Western Siberia is estimated to contain 5&ndash;17 billion tons of oil, making it one of the world&rsquo;s largest shale plays, while the Chonsky cluster in the Far East holds an estimated 1.7 billion tons. Additional resources remain underexplored in the Arctic shelf and other remote areas.<o:p></o:p></span></p>
<p class="MsoNormal" style="text-align: justify;"><span lang="EN-US">On Jan. 10, 2025, the U.S. imposed its most severe sanctions yet on Russia&rsquo;s oil and gas sector, targeting major producers like Gazprom Neft (Gazprom&rsquo;s oil-producing subsidiary), Surgutneftegaz, and key infrastructure including refineries, offshore projects, and LNG plants. The sanctions also extended to over 180 oil tankers, energy service providers, and individuals, significantly tightening restrictions on any dealings with Russia&rsquo;s energy industry.<o:p></o:p></span><span lang="EN-US"></span></p>
<h2><em><a href="~/members/members?ContentID=79488" title="" target="">Read more &gt;&gt;</a></em></h2>
<h2><em>_________________</em></h2>
<h3><em>Related services:</em></h3>
<p><em><a href="~/services/macro---forecasting-services/services?ContentID=190" title="" target="">Short-Term Outlook</a></em></p>
<p><em><a href="https://www.stratasadvisors.com/services/services?ContentID=195" title="" target="_blank" rel="noopener">Global Hydrocarbon Supply</a></em></p>
<p><em><a href="https://www.stratasadvisors.com/services/services?ContentID=286" title="" target="_blank" rel="noopener">Global Refining and Products</a></em></p>

Russia’s Oil & Gas Sector in 2025: A Strategic Shift East – Part 1: Oil 

<h2>Key Points</h2>
<ul>
<li>Russia ranks 8th globally in proven oil reserves, with current recoverable reserves estimated at 19 billion tons;</li>
<li>Since March 2023, Russia has suspended publication of official oil and gas production statistics, with data now released primarily through official statements and the ban in place until at least April 2026;</li>
<li>Russia produced 516 million tons of oil in 2024, marking a second consecutive annual decline, which it attributes to voluntary OPEC+ cuts;</li>
<li>The annual increase in recoverable oil reserves declined from 600 million tons in 2022 to 516 million tons in 2024;</li>
<li>Hard-to-recover reserves account for 52% of Russia&rsquo;s total oil, with a 32% share in current production, and Western sanctions have significantly constrained their development;</li>
<li>Production remains concentrated in Western Siberia but is increasingly shifting to the Arctic, Eastern Siberia, and the Far East;</li>
<li>The US$125 billion Vostok Oil project, aimed at boosting exports via the Northern Sea Route, has been delayed from 2024 to 2026, with further delays possible;</li>
<li>Exports through the Druzhba pipeline have fallen by three-quarters since before the war and may end entirely by 2027 under EU plans;</li>
<li>Rising exports to China and India have nearly offset the loss of the European market, with China increasing imports by about 50% and India by twentyfold;</li>
<li>Russia&rsquo;s refining capacity stands at 6.6 million barrels per day, with a refining depth of 84.4%, ensuring a full domestic supply of petroleum products;</li>
<li>In 2024, Russia exported 113.7 million tons of refined products by sea, with buyers increasingly located in Africa, the Middle East, and Asia rather than Europe;</li>
<li>Rosneft, LUKOIL, and Gazprom Neft have weathered Western sanctions relatively well, though their shareholder net profits declined significantly in 2024.</li>
</ul>
<p>This content is available to members only. Contact us for more information.</p>

Crude Oil 

Refined Products 

Stratas Energy Perspectives,Global Hydrocarbon Supply,Global Refining and Products,Short-Term Outlook