Data from traders and Refinitiv Eikon showed Russian oil exports to Europe are set to hit their lowest levels in two decades in July. The output cut deal prompts other suppliers to fill the gap left by Russia
Russia is set to slash seaborne Urals supplies to Europe to 3.8 million tonnes (900,000 bpd) in July, its lowest since 1999. Refinitiv Eikon data showed light oil flows from the US to Europe were close to 3 million tonnes in both May and June, just 1 million tonnes lower than a record high in March.
As oil prices have plummeted due to overproduction and the fallout from the coronavirus crisis, supplies from the US to Europe remain ample despite oil production decrease in the US by 2.1 million bpd from March.
Due to the global oil output cut deal, Russia produced 2 million bpd less through May to July. Russian crude sales have also been hit by recovering oil production in Europe, where output had been stagnant for decades until Norway launched the huge Johan Sverdrup oilfield last year.
