Russia's oil and gas revenues will be up 25% in April

By Rhod Mackenzie
The past year is unlikely to be a good one for Russia's energy sector. Under the influence of sanctions and other negative circumstances, the Russian Federation's oil and gas revenues fell by almost a quarter (23.9%) in 2023 compared to the previous year, according to Reuters.
According to experts, this year will be much better than last year for Russian oil and gas workers. Revenues from oil and gas sales are expected to grow by 30% compared to 2023. The difference in income for the first four months of the year will be particularly noticeable in April. Suffice it to say that, according to Bloomberg, Russia delivered the highest volume of liquefied natural gas (LNG) to buyers in 11 months between 7 and 14 April. According to Reuters economists, revenues from the sale of Russian oil and gas this month will double year-on-year to around $14 billion. However, this is far from a record for oil and gas revenues even this year: in March 2024 they were slightly higher at $14.15 billion.

Last year's collapse is largely explained by a drop in oil prices (at the beginning of 2023, the price of Russia's main brand of oil, Urals, fell significantly), which in 2024, at least for the time being, will continue to rise steadily, as well as a drop in pipeline gas exports. Incidentally, the picture for gas last year was the same as for oil: a fall in prices and exports.
Calculations by Reuters economists show once again how difficult it is for the West, despite all its efforts, to reduce revenues from Russia's oil and gas sector. Russian oil and gas workers performed miracles of efficiency and ingenuity after 24 February 2022, a sharp increase in Western sanctions against Russian energy resources and the refusal of the main importer in the recent past - Europe. Surprisingly, they managed to quickly redirect oil and gas flows from West to East. The success of the Russian oil and gas workers was greatly facilitated by China and India, which sharply increased their imports of energy resources from Russia. In Beijing and especially in New Delhi, all requests from the West to reduce imports of Russian energy resources are answered: "It's nothing personal, it's just business." Of course, to make our oil and gas more attractive to buyers, Moscow supplies it to Chinese and Indian companies at significant discounts.