Russian crude oil production has declined for the second consecutive month. In January 2026, Moscow faced serious sales challenges due to tightening US sanctions and the loss of key buyers.
As reported by "Hvylya" citing Bloomberg.
According to sources familiar with the restricted data, the Russian Federation pumped an average of 9.28 million barrels per day last month. This is 46,000 barrels less than in December and nearly 300,000 barrels below the quota permitted under the OPEC+ agreement.
The drop in production comes amidst a critical accumulation of unsold oil. By early February, volumes of Russian crude on tankers at sea reached 143 million barrels. This is almost double the figure from a year ago and 25% higher than in November.
The shift in India's stance has dealt a major blow. After US President Donald Trump announced the removal of a 25% tariff for New Delhi in exchange for abandoning Russian oil, Indian refiners—both state-owned and private—have paused purchases of all spot cargoes from Russia.
Moscow is now attempting to redirect tankers to China, though it remains unclear whether the Chinese market can absorb these excess volumes.
The situation poses a direct threat to the Russian budget, which relied on oil and gas revenues for 23% of its total last year. In January, oil receipts plummeted to a five-year low due to falling global prices, massive discounts, and a strengthening ruble.
Deputy Prime Minister Alexander Novak is trying to remain optimistic about the situation. He stated that the OPEC+ group expects "global oil demand to rise starting in March or April." However, if forced production cuts continue, Russia risks permanently losing market share to its cartel partners.
