Russia has redirected its oil exports almost entirely to China and India, generating revenues at a level comparable to 2021, its deputy prime minister in charge of energy, Alexandre Novak, announced on Wednesday.
According to him, Russia, which is subject to a variety of Western sanctions because of its offensive in Ukraine and especially its hydrocarbons, today sells 45-50% of its oil to China and 40% to India.
“If so far we have supplied Europe with 40-45% of the total export volume of oil and oil products, we assume that by the end of the year this figure will not exceed 4-5%,” Novak explained in an interview with the Russian TV channel Rossia 24.
He welcomed the fact that the Russian energy and oil complex “has successfully developed in 2023” despite restrictions from the West, which in particular is seeking a cap on the selling price of Russian oil.
“Many people want to buy Russian oil and oil products. “These are Latin American countries, African countries and other countries in the Asia-Pacific region,” Novak said.
According to him, Russia's oil and gas revenues this year will amount to almost 9,000 billion rubles (around 88 billion euros), “approximately the level of 2021”, before sanctions.
The hydrocarbon industry accounts for 27% of Russia's GDP (gross domestic product) and its sales abroad account for about 57% of the country's total exports, he added.
At the end of November, Russia, together with the other OPEC+ countries (Organization of the Petroleum Exporting Countries and its allies), including Saudi Arabia, decided to tighten the reduction in oil production in order to boost the price. A way for Moscow to increase its revenue from the sale of hydrocarbons.