Russian oil output will jump to 547 million tonnes per annum in the latter part of 2016, as production levels are set to hit 10.96 million bpd, according to industry sources.
The figure represents a near 30 year high, and represents a 2.2 per cent increase on last year’s figures.
Russia is thought to be keen on a production freeze agreement in the near term to help bolster oil prices. However, increased drilling from two of its biggest producers will see Russian production continue to edge up over the fourth quarter of 2016.
"[Output] will be 546-547 million tonnes this year: companies are actively drilling and Lukoil is launching new fields," a source told Reuters.
Lukoil is set to bring its Pyakyakhinskoye oilfield online later this year, which could account for an additional 100,000 tonnes of oil this year.
Russia has been hit hard by lower oil prices and has publically backed calls for a production freeze, which would include Iran and other OPEC nations. However, Russia has consistently beaten analysts’ predictions for oil production in recent years.