Russian oilfield service companies set a drilling record for the second year.
Based on data from Bloomberg, in 11 months of 2023, 28,100 kilometers of oil wells were drilled in the Russian Federation — this is slightly less than the record set in Soviet times. Moreover, a record number of new oil wells in the Russian Federation is accompanied by a parallel recovery in the volume of oil exports and its price.
Ronald Smith, an analyst at BCS Global Markets in Moscow, believes that the Russian Federation has much greater independence in the field of oil production services than previously thought. According to Kpler and the Moscow-based consultant Yakov & Partners, the volume of drilling of new production wells in Russia is expected to be more than 30 thousand kilometers.
The main reason for the increase in the number of new wells in Russia is a decrease in oil production at existing facilities due to natural depletion of deposits, according to Gennady Masakov, director of the analytical center of Yakov and Partners.