Sechin has questioned the reduction of oil production by OPEC countries

Sechin has questioned the reduction of oil production by OPEC countries


Western Siberia, the technological complex of Rosneft in Nefteyugansk

Photo: Reuters/Pixstream

The head of “Rosneft” doubts that all OPEC countries will reduce oil production. He has previously stated that “Rosneft” intends to significantly increase production compared to last year

The head of “Rosneft” Igor Sechin said that all OPEC countries agree to cut oil production under the agreement, the agreement on which was reached at the forum in Algiers at the end of September, writes the Agency Reuterscorrespondent who spoke with a top Manager in Istanbul on Monday evening.

In response to the question whether “Rosneft” to reduce or freeze the oil production in the framework of a possible agreement of Russia with OPEC, Sechin said, “Why should we do that?”

Earlier, Sechin saidthat “Rosneft” in 2016, plans to increase oil production compared to last year. “A little bit more. Not even a little bit, but significantly,” he said.

Member of the Board of Directors of “Rosneft”, the head of BP Robert Dudley on Tuesday said that the company’s Board of Directors did not discuss the issue of production cuts. “I think anything is possible. Production can go up or not. Right now there is no plans to do so,” said Dudley (quoted by TASS).

OPEC members at a summit in Algeria on 28 September agreed for the first time since 2008 to reduce the amount of oil production. According to preliminary estimations, the volume of production will be reduced from the current 33.2 million barrels to 32.5-33 million barrels per day. Final terms of the agreement, the OPEC countries will discuss at the summit in November.

President Vladimir Putin at the world energy Congress in Istanbul on 10 October saidthat Russia is not a member of OPEC, is ready to join the freezing or reduction of oil extraction to preserve the stability of the oil market. “In this situation, we believe that the freezing or even reduction of oil production is perhaps the only correct decision to preserve the stability of the entire global energy,” he said.

On the background of statements by Putin in the price of oil reached a high for this year. On Monday, the price of futures for Brent crude on the ICE exchange touched $53.47 USD per barrel. The last time above $53, the price of a barrel of Brent rose 12 Oct 2015.