The cost of oil production in Russia is lower than in the US - Putin

Time: 09/04/2019

The cost of oil and gas production in Russia is lower than in the United States, said Russian President Vladimir Putin at the International Arctic Forum today, April 9.

In the case of falling oil prices below $ 40 per barrel, production in the United States may become unprofitable, unlike in Russia, he said.

Oil and gas production in Russia today is much cheaper not only than in the United States, but also in Europe and the countries of the Middle East.

Commenting on the prospects for cooperation with OPEC, the Russian president said that cooperation would continue. Russia and OPEC countries adhere to agreements on reducing oil production to stabilize prices in the market.
“We do not advocate an uncontrolled rise in prices for oil and gas,” said Vladimir Putin (quoted by the Center for Energy Expertise).
According to the president, the current situation with oil prices suits Russia. According to him, the Russian side has agreed with OPEC that in the second half of the year there will be another meeting where issues of reducing or not reducing oil production will be discussed.

If the market situation develops in such a way that reserves increase, then Russia will have to take this into account. “You will not get a more precise answer from me,” Putin answered the question asked by the moderator of the discussion from Bloomberg, John Fryer.
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