Kazakh Growth Hits Brakes

Kazakhstan’s production growth will slow from 175,000 b/d last year to about 70,000 b/d this year and 40,000
b/d in 2019. Due to Kazakhstan’s slowing production growth, overall FSU production will increase by only 60,000 b/d this year. In 2019, the continued deceleration in Kazakhstan means the prospects for FSU production growth will hinge on Russia’s role in the OPEC+ deal. In that country, the Kremlin’s consideration of an agreement to loosen restrictions signals that political leaders are aligning more closely with producers who are eager to raise output.