Oil Reserves in Russia

There are several different estimates of proven oil reserves in Russia. Most estimates include only Western Siberian reserves, which have been exploited since the 1970s and supplying two-thirds of Russian oil. Figures do not include potentially huge reserves elsewhere. In 2005, the Russian Ministry of Natural Resources estimated that another 4.7 billion barrels (0.75×10^9 m3) of oil exist in Eastern Siberia.

Following the collapse of the former Soviet Union, Russia’s petroleum output fell sharply, and has rebounded only in the last several years. Russia reached a peak of 12.5 million barrels per day (1.99×10^6 m3/d) in total liquids in 1988, and production had fallen to around 6 million barrels per day (950×10^3 m3/d) by the mid-1990s. A turnaround in Russian oil output began in 1999, which many analysts attribute to the privatization of the industry. Higher world oil prices, the use of Japanese technology, and the rejuvenation of old oil fields also helped. By 2007 Russian production had recovered to 9.8 million barrels per day (1.56×10^6 m3/d), but was growing at a slower rate than 2002-2004. In 2008, production fell 1 percent in the first quarter and Lukoil vice president Leonid Fedun said $1 trillion would have to be spent on developing new reserves if current production levels were to be maintained. The editor-in-chief of the Russian Petroleum Investor claims that Russian production had reached a secondary peak in 2007.

In 2007, Russia produced roughly 9.8 million barrels per day (1.56×10^6 m3/d) of liquids, consumed roughly 2.8 million barrels per day (450×10^3 m3/d) in liquids, and exported (in net) around 7 million barrels per day (1.1×10^6 m3/d). Over 70 percent of Russian oil production was exported, while the remaining 30 percent was refined locally. In early 2008 Russian officials were reported to be concerned because, after rising just 2% during 2007, oil production started to decline again in 2008. The Russian government proposed tax cuts on oil in an attempt to stimulate production.

By 2011, Russian oil production had increased to 10,540,000 bbl/day. It is the largest producer and exporter of oil in the world.