Russia May Cut Oil Output

Russia May Cut Oil OutputRussia May Cut Oil Output

The Russian Energy Ministry does not rule out the decline in oil output if prices go down, First Deputy Energy Minister Alexei Texler said on Friday. "It would be possible, if the (oil) price is lower than the current level. It is obvious that amid such prices, the Arctic shelf development will be out of the question. We base all our plans on boosting output in the Arctic on projections that we have announced oil price to reach $80 per barrel within 5 years," TASS quoted him as saying. If oil prices drop to $40-50 per barrel, Russian companies will be adjusting their plans, Texler said, adding that oil output may also go down, though "now we evidence growth of output and drilling". Earlier this month, the Russian Energy Ministry projected the country's oil output at around 525 million tons in the mid-term. Texler also said "amid current crude prices, oil output in Russia may keep at the current level".