The agreement by OPEC to stabilize the oil will help to maintain the oil price at its current level of 50 dollars per barrel, and not its growth. This opinion shared with the journalists the head of “LUKOIL” Vagit Alekperov, reports TASS.
“The price has been above 50, this price, which makes effective investment in shale oil and gas. She stabiliziruemost at 50, we expect the November meeting,” he said.
The head of the largest private oil company of Russia stressed that in this case it is important meeting in November, when it will discuss production volumes, and it is hoped that common interests would prevail over the local conflicts.
“The fact that both Iran and Iraq, and Saudi Arabia expressed the desire to negotiate, that’s a very optimistic signal for the entire market. It is not only speculation,” – said he.
Russian private oil companies, according to Vagit Alekperov, will join the initiative to limit production in the country, if such a decision will be made by the state. “I think we at this stage are only talking about stabilization. The rate of decline of oil production in Russia is significant. To stabilize, require enormous funds. Therefore, we are interested”, – said the head of “LUKOIL”.
Companies may sign a General Protocol for the stabilization of oil production under the auspices of the Ministry of energy, LUKOIL is ready to do it, he said.
“If we want to participate in the process, we need to take a proactive stance and, like them, to produce, to a common Protocol, under the auspices of the Ministry of energy has signed all of the company and in terms of production on a certain date. Our company is ready for it,” – said Alekperov, explaining that as this initiative of the Ministry, the rules should be developed at the Ministry level.
The OPEC members at an informal meeting on September 28 in the framework of the XV International energy forum in Algeria, despite the skepticism of the participants and analysts on the eve of the event, were able to agree on limiting crude oil production at the level of 32.5-33 million barrels per day.
Russian energy Minister Alexander Novak said that Russia is ready to consider participation in joint actions of members of OPEC and other producing countries in the oil market. In October – November, the Russian Federation will conduct extensive consultations with the OPEC countries and will carefully consider the proposals of the cartel in stabilizing the oil market.
Many analysts doubtthat the agreement about production limits will be respected and will be of interest to exporters outside OPEC. A rise in prices, they warn, in the case of the implementation of the transaction will lead to the drilling of new wells around the world, causing a new increase in supply.