MOSCOW: Russia increased oil output by 400,000 barrels over the past two years, TASS quoted Energy Minister Alexander Novak as saying on March 6, adding that Russia’s oil and gas sector has weathered the US sanctions successfully. “Despite the sanctions that were imposed on a number of our companies, our oil and gas sector has managed not only to pull through the difficulties, but even to demonstrate upturns. In the past two years, Russia’s oil output has risen by 400,000 barrels,” Novak said at the CERAWeek in Houston, Texas.
Russian companies have managed to build up output volumes, boost efficiency and to bring down the prime costs that stand at $10 to $15 per barrel on average, the Russian energy minister said, adding the returns on Russian oil and gas projects were among the world’s highest. “Opportunities for cooperation in the energy sector yield good economic results and have bright investment prospects,” Novak said, adding that foreign investors account for about 25% of Russia’s overall output. “We are open (for cooperation) and want foreign companies to take part in the implementation of projects in Russia,” the news agency quoted him as saying. Novak said Russia’s Energy Ministry sees great interest from American companies on investing in the country. “Naturally, today we maintain contacts with many businessmen and we sense a great interest in Russia,” he said. He also said Moscow was not mulling membership in the Organization of Petroleum Exporting Countries (OPEC) but cooperation with the oil cartel “has proved to be vital and prudent.”
