• 3 minutes Nucelar Deal Is Dead? Iran Distances Itself Further From ND, Alarming Russia And France
  • 5 minutes Don Jr. Tweets name Ukraine Whistleblower, Eric Ciaramella. Worked for CIA during Obama Administration, Hold over to Trump National Security Counsel under Gen McCallister, more . . . .
  • 9 minutes Shale pioneer Chesepeak will file bankruptcy soon. FINALLY ! The consolidation begins
  • 12 minutes China's Blueprint For Global Power
  • 7 hours Science: Only correct if it fits the popular narrative
  • 3 hours Crazy Stories From Round The World
  • 2 hours What are the odds of 4 U.S. politicians all having children working for Ukraine Gas Companies?
  • 24 hours EU has already lost the Trump vs. EU Trade War
  • 17 hours China's Renewables Boom Hits the Wall
  • 8 hours Do The World's Energy Policies Make Sense?
  • 2 days ''Err ... but Trump ...?'' *sniff
  • 18 hours Forget out-of-date 'dirty oil' smear, Alberta moving to be world's cleanest oil industry
  • 11 hours Impeachment Nonsense
  • 2 days Pioneer's Sheffield in Doghouse. Oil upset his bragging about Shale hurt prices. Now on campaign to lower expectations, prop up price.
  • 2 days Tesla Launches Faster Third Generation Supercharger
  • 23 hours Water, Trump, and Israel’s National Security
  • 2 days Passerby doused with flammable liquid and set on fire by peaceful protesters
  • 1 hour Who writes this stuff? "Crude Prices Swing Between Gains, Losses"

Breaking News:

Russia Plans To Boost Crude Oil Exports

Top U.S. Gas Producer Looks To Ditch Major Shale Assets

Top U.S. Gas Producer Looks To Ditch Major Shale Assets

Shale icon Chesapeake is reportedly…

The Most Important Data Point In U.S. Oil Markets

The Most Important Data Point In U.S. Oil Markets

Oil markets are always awash…

Russia Could Allow Private Oil Firms To Explore Arctic Shelf

Yamal LNG

The Russian ministry of natural resources is open to the idea that private oil and gas firms could be allowed to explore Russia’s Arctic shelf, where currently only state-held firms Rosneft and Gazprom have the right to operate, Russia’s Natural Resources Minister Dmitry Kobylkin told news agency TASS in an interview published on Wednesday.

Currently, it is difficult to assess how much interest the Arctic shelf could draw from private companies, given the relatively low price of oil, the minister told TASS on the sidelines of the ongoing Eastern Economic Forum (EEF) in Vladivostok.

“For now, we understand very well that Russia’s Arctic zone has not been researched well enough. Of course, we would want to research it more thoroughly,” Kobylkin said.

However, the Russian government cannot afford to invest in more exploration right now because Arctic operations are very expensive, the minister noted.

“Everything that pertains to the Arctic is very expensive,” he told TASS.

“Maybe it will be feasible to open the gates as wide as possible for those who would want to participate in this. In any case, we do not risk anything here,” Kobylkin said.

Lukoil, Russia’s second largest oil producer behind Rosneft, showed interest in the Arctic in the past when oil prices were much higher, the minister said, adding that he can’t speculate what Lukoil thinks of this idea today.

The ministry of natural resources will come up with an official position in the near future on who should explore Russia’s Arctic, Kobylkin said.

Russia has plans to develop resources in the Arctic, even after U.S. sanctions stalled development, and forced western companies, including ExxonMobil, to pull out. Rosneft plans to develop an Arctic cluster of oil fields over the next five years, while Novatek, Russia’s largest private natural gas company, will receive a tax deduction of about US$600 million (40 billion rubles) from the regional budget of Yamal-Nenets and US$1.5 billion (100 billion rubles) from the federal budget to build an LNG export terminal in the autonomous region in northwestern Siberia.  

By Tsvetana Paraskova for Oilprice.com

More Top Reads From Oilprice.com:



Join the discussion | Back to homepage

Leave a comment

Leave a comment

Oilprice - The No. 1 Source for Oil & Energy News
Download on the App Store Get it on Google Play