“Rosneft” will not restrict oil production in the framework of the announced on the eve of the deal between Russia and OPEC to stabilize the oil market, said the head of the state company Igor Sechin told Reuters. “Why should we do that?” he said in response to the question whether he headed the largest oil company of Russia to limit production.
Sechin also expressed doubt that other parties to the agreement, including Saudi Arabia, Iran and Venezuela, will reduce its volume. In addition, according to the head of “Rosneft”, the growth of quotations of oil above 50 dollars a barrel will make profitable projects, US shale oil.
The Sechin statement has sounded next day after Russian President Vladimir Putin announced Monday Russia’s accession to the agreement of OPEC countries to limit oil production.
On Monday evening Sechin told TASS that “Rosneft” will increase the production by end of 2016. “Gazprom” supports the freezing of oil production, not a decrease, said the Chairman of the Board of Russian gas monopoly Alexander Medvedev.
Meanwhile, experts say that Putin’s statement nothing more than verbal intervention, whereas the position of Sechin share in oil companies around the world.
The share of Rosneft accounts for 40% of crude oil production in Russia, and Igor Sechin-known skepticism toward OPEC, reminds Reuters. His position, according to the Agency, shows just how hard Russia is to suspend or cut production as part of a deal with OPEC.
Later on Tuesday, reports “Interfax”, the press Secretary of the President of Russia Dmitry Peskov said that the words of Igor Sechin, was given without proper context. “In this case, Sechin was given without proper context, because the answer is it was longer and had more detail,” – said Peskov, adding that the Kremlin does not see “any contradiction” between the statement Sechin and the position of the President of Russia.
The OPEC deal is only a statement of intent, the countries failed to agree on who and how reduces the prey, not to mention the fact to sign the binding document, said previously the program Director of global oil market research at Columbia University, Antoine Half.
From participation in the transaction already publicly refused to Iran, the same faces, to make Iraq because of disagreement with the method of counting barrels, he said. Statements by the representatives of oil-producing countries intended to produce a psychological effect on traders, nothing more, said Finanz.ru a leading analyst of the national energy security Fund Igor Yushkov.
The placebo effect worked: after Putin’s statements, the price of oil Brent for the first time since October last year, the maximum rose above 53 dollars per barrel, but soon amid speculation about a deal OPEC prices will remain between 50 and 55 dollars per barrel, said Yushkov.
