Russia's Economy Ministry expects oil and gas production to fall this year, according to a document seen by Reuters, with gas output declining to 702.4-720.9 bcm from 763.5 bcm in 2021.

"As of the end of the business day on April 26, Gazprom Export had not received payments for gas supplies in April from Bulgargaz (Bulgaria) and PGNiG (Poland) in rubles," Gazprom said in a statement.

Traders are keeping a close watch on whether a resolution can be found on the Kremlin’s demand to be paid in rubles for its gas. European Union lawyers have said the new mechanism violates existing sanctions, and Russian President Vladimir Putin has warned that flows could be cut if the terms aren’t met.

Shipments of Russian gas via the Ukrainian network have continued unaffected since Moscow's invasion on Feb. 24.

In March 2022, China’s government released its 14th Five-Year Plan (2021–25), which sets the domestic natural gas production target at 22.3 Bcf/d by 2025, or 3.0 Bcf/d more than domestic production in 2021.

"EU companies can ask their Russian counterparts to fulfil their contractual obligations in the same manner as before the adoption of the decree, ie. by depositing the due amount in euros or dollars," the EC said in the document.

The contract, whose price is indexed on gas traded in Louisiana (United States) will start in 2025 and is expected to cover around 3% of South Korea's annual gas consumption.

U.S. Rig Count is up 2 from last week to 695 , Canada Rig Count is down 2 from last week to 101.

Budapest does not support sanctions against Russian oil and gas and will not allow transit of weapons to Ukraine through its territory.

Preliminary production figures for March 2022 show an average daily production of 1 960 000 barrels of oil, NGL and condensate.