Lukoil crude output continues recovery in Q1 as OPEC+ cuts ease

London (Quantum Commodity Intelligence) - Russian energy major Lukoil produced 2.152 million boe/d of oil and gas in the first quarter this year, up 4.2% from Q4 but down 7.6% on the year due to OPEC+ related cuts to crude oil output, the company said Friday.

Changes to its refinery throughput were more dramatic, as volumes were up 9.9% on the quarter and down 15.5% year-on-year at 14.44 million mt.

The annual change was driven by scheduled maintenance and "throughput optimization at some of the refineries driven by the changes in macro environment," said the company.

The fall in upstream production was entirely down to falling oil output, with production excluding the West Qurna-2 project in Iraq at 2.152 million barrels per day, down 11.2% from Q1 2020, although the daily figure has been consistently rising since May last year when OPEC+ cuts started to be relaxed.

Gas production was up on the quarter and the year at 8.789 million cubic meters, rises of 9.2% and 5.6% respectively.

A domestic output increase was driven by a change in the output mixture due to the curtailment of crude oil, while production outside Russia was due to a recovery of gas production in Uzbekistan following a temporary decline in demand from China for Uzbeki gas amid the Covid pandemic.