(Adds detail)
MOSCOW, Feb 21 (Reuters) - A 500,000 barrel-per-day cut
to Russian oil production announced this month will apply only
to March output for now, Deputy Prime Minister Alexander Novak
said on Tuesday, according to news agency reports.
"We will watch how the situation on the market develops, and
decisions... will be made from this. Now, the decision is for
March," the TASS news agency reported him as saying.
The cut will be made from January output levels, Novak
added. He has said production stood at 9.8 million-9.9 million
bpd last month.
A European Union ban on purchases of Russian oil products
from Feb. 5 and price caps on oil and oil products are
complicating Moscow's efforts to sell its oil globally.
Russia's decision to cut oil production was announced only
nine days after oil producer group OPEC+ - of which Russia is a
member - agreed to leave production cuts agreed last year in
place.
Novak said earlier this month that Russia had not held any
formal consultations on its output cuts, though the Kremlin has
said that Russia had held talks with some members of OPEC+
regarding its decision.
Russia's seasonal plans to crank up refinery maintenance in
spring, cutting demand for crude as feedstock, should help the
country to weather the production cuts.
According to maintenance plans, Russia's primary idle
refining capacity is set to almost double in March to 947,000
tonnes from 493,000 in February. That will rise further in April
and May, to 3.108 million and 3.907 million tonnes respectively.
The rise in spare refining capacity is in line with usual
seasonal patterns.
(Reporting by Vladimir Soldatkin; Editing by Jan Harvey)
@vsoldatkin;))
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