Russian Federation Oil & Gas Market Size
| Study Period | 2021 - 2029 |
| Base Year For Estimation | 2023 |
| Forecast Data Period | 2024 - 2029 |
| Historical Data Period | 2021 - 2022 |
| CAGR | > 3.00 % |
| Market Concentration | Low |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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Russian Federation Oil & Gas Market Analysis
The Russian Federation oil and gas market is expected to record a CAGR of more than 3% during the forecast period.
The Russian Federation oil and gas market was negatively affected by COVID-19 due to the oil price crash and regional lockdowns. However, the impact of COVID-19 was almost negligible in 2022.
- Over the medium term, factors such as a 40% reduction in offshore drilling costs and an increase in the country's LNG exports are expected to drive the Russian Federation oil and gas market.
- On the other hand, several sanctions imposed on Russia due to the Russia-Ukraine conflict and the exit of international oil companies may restrain the market.
- However, increasing exploration and production activities in the offshore deep and ultra-deepwater areas are expected to create several opportunities for the Russian Federation oil and gas market in the future.
Russian Federation Oil & Gas Market Trends
This section covers the major market trends shaping the Russian Federation Oil & Gas Market according to our research experts:
Upstream Segment Expected to be the Fastest-growing Market
- For the past several years, Russia has been among the top three oil and gas producers in the world. Most of the country's oil and gas is exported to other countries, making oil and gas a significant source of revenue generation.
- Russia, with the most abundant gas reserve in the world, comprising 19.8% of the global gas reserve, is also the second-largest gas producer, behind the United States. With countries worldwide aiming to reduce carbon emissions by phasing out coal-based power plants, the growing electricity demand and the natural gas demand for power generation are expected to increase.
- In 2021, the total crude oil production in Russia was 10.944 thousand barrels per day, which was higher than that of 2020, i.e., 10.667 thousand barrels per day. The increasing production of oil and gas in the country may positively impact the Russian Federation oil and gas market.
- The ban on technology purchases from the United States has made it hard to develop complex shale and offshore projects. This factor has led to a shift from western technological partners to south and east for assistance and technological support. In recent years, Chinese companies have been active in Russia in the exploration activities in offshore fields. Gazprom Neft has also been in active talks with Chinese companies to develop the Chona project in Eastern Siberia.
- Therefore, owing to such factors, upstream is likely to be the fastest-growing segment for the Russian Federation oil and gas market during the forecast period.
Increasing Downstream and Midstream Projects Expected to Drive the Market
- Oil and gas pipelines, storage, LNG, RLNG facilities, oil refineries, and raw natural gas purifying facilities are the significant midstream and downstream sectors. The growing oil and gas production and export and aging pipeline infrastructure have driven the demand for new midstream investments. The increasing oil and gas production and a rising number of expansion and modernization projects have driven the demand for the downstream segment of the Russian oil and gas market.
- Russia has been planning to launch several new projects over the next few years, aiming to capitalize on the downstream sector's rapid growth. The Russian government is also planning to take further measures to encourage the petrochemical industry development, with a target of doubling production to around 20 million metric ton per year by 2030.
- In 2021, the total LNG exported from Russia was 39.6 billion cubic meters (bcm), significantly higher than the country's exported value of 2011, i.e., 14.3 bcm. This increase exhibits a rise in the demand for LNG in the international market, which may positively impact the country's oil and gas market.
- However, due to the various sanctions imposed on Russia by the European Union and the United States, the future of LNG in the country is highly uncertain. Several international companies like TotalEnergies SE, BP PLC, Shell PLC, and ExxonMobil have ceased all operations in the country.
- The increasing number of projects in the downstream and midstream segment are expected to drive the Russian Federation oil and gas market during the forecast period.
Russian Federation Oil & Gas Industry Overview
The Russian Federation oil and gas market is moderately fragmented. Some of the key players in the market include (in no particular order) Rosneft Oil Company PJSC, PJSC Gazprom, PJSC Lukoil Oil Company, Transneft Group, and PJSC ANK Bashneft.
Russian Federation Oil & Gas Market Leaders
Rosneft Oil Company PJSC
PJSC Gazprom
PJSC Lukoil Oil Company
Transneft Group
PJSC ANK Bashneft
*Disclaimer: Major Players sorted in no particular order
Russian Federation Oil & Gas Market News
- In October 2022, ExxonMobil Corp. announced that it left Russia completely after President Vladimir Putin expropriated its properties following seven months of discussions over an orderly transfer of its 30% stake in a major oil project.
- In September 2022, Shell PLC walked away from Russia's Sakhalin-2 liquefied natural gas project after President Vladimir Putin transferred the major facility to a new operating company. The President also issued a decree that blocks ExxonMobil Corp. from selling its interest in the Sakhalin-1 oil project until the end of the year.
Russian Federation Oil & Gas Market Report - Table of Contents
1. INTRODUCTION
1.1 Scope of the Study
1.2 Market Definition
1.3 Study Assumptions
2. EXECUTIVE SUMMARY
3. RESEARCH METHODOLOGY
4. MARKET OVERVIEW
4.1 Introduction
4.2 Crude Oil Production and Consumption Forecast in thousand barrels per day, till 2027
4.3 Natural Gas Production and Consumption Forecast in billion cubic feet per day, till 2027
4.4 Refinery Installed Capacity and Forecast in thousand barrels per day , till 2027
4.5 LNG Terminals Installed Capacity and Forecast in MTPA, till 2027
4.6 Recent Trends and Developments
4.7 Government Policies and Regulations
4.8 Market Dynamics
4.8.1 Drivers
4.8.2 Restraints
4.9 Supply Chain Analysis
4.10 PESTLE Analysis
5. MARKET SEGEMENTATION
5.1 Sector
5.1.1 Upstream
5.1.2 Midstream
5.1.3 Downstream
5.2 Location of Deployment
5.2.1 Offshore
5.2.2 Onshore
6. COMPETITIVE LANDSCAPE
6.1 Mergers, Acquisitions, Collaborations, and Joint Ventures
6.2 Strategies Adopted by Key Players
6.3 Company Profiles
6.3.1 Rosneft Oil Company PJSC
6.3.2 PJSC Gazprom
6.3.3 Novatek PAO
6.3.4 PJSC Lukoil Oil Company
6.3.5 Transneft Group
6.3.6 PJSC ANK Bashneft
- *List Not Exhaustive
7. MARKET OPPORTUNITIES AND FUTURE TRENDS
Russian Federation Oil & Gas Industry Segmentation
Oil and gas include petroleum, natural gas, and other related hydrocarbons or minerals or all other substances produced or extracted in association therewith.
The Russian Federation oil and gas market is segmented by sector into upstream, midstream, and downstream. The report offers crude oil production and consumption forecast (thousand barrels per day), natural gas production and consumption forecast (billion cubic feet per day), refining capacity forecast (thousand barrels per day, and LNG terminal installed capacity forecast (MTPA).
Russian Federation Oil & Gas Market Research FAQs
What is the current Russian Federation Oil and Gas Market size?
The Russian Federation Oil and Gas Market is projected to register a CAGR of greater than 3% during the forecast period (2024-2029)
Who are the key players in Russian Federation Oil and Gas Market?
Rosneft Oil Company PJSC, PJSC Gazprom, PJSC Lukoil Oil Company, Transneft Group and PJSC ANK Bashneft are the major companies operating in the Russian Federation Oil and Gas Market.
What years does this Russian Federation Oil and Gas Market cover?
The report covers the Russian Federation Oil and Gas Market historical market size for years: 2021, 2022 and 2023. The report also forecasts the Russian Federation Oil and Gas Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
Russian Federation Oil and Gas Industry Report
Statistics for the 2024 Russian Federation Oil and Gas market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Russian Federation Oil and Gas analysis includes a market forecast outlook to 2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.
