Minister of Energy Alexander Novak made a report at a plenary discussion during the forum National Energy Policy: Challenges in the Upcoming Period.
According to Mr Novak, oil production has grown by more than 50% over the past 12 years in Russia to reach a daily production of some 4 million oil barrels. Russia is now a global leader in oil production. The country produces one in every eight oil barrels in the world. Russia is also a world gas production leader. Last year Russia produced 654 billion cubic metres.
According to the Minister, over the past 12 years, oil production investment grew seven-fold, investment in oil refining grew eight-fold, and annual investment in gas infrastructure grew 12-fold.
Mr Novak added that 15 new oil-refining facilities were commissioned in 2012. As a result, he said, the oil refining volume and quality achieved sustainable growth. In 2012, 270 million tonnes of oil were refined. This is the highest level since the Soviet era.
Regarding major challenges facing the oil and gas sector, Mr Novak said that it is necessary to pay special attention to increasing the coefficient of oil extraction and oil production on new fields, where oil development is becoming more expensive. The second challenge concerns global market changes. Russia should actively adapt to these changes. The main gas sector challenge is the growing ability of former importing nations to produce energy resources on their own with the use of new technologies.
During the forum, the Ministry of Energy and the Russian Union of Industrialists and Entrepreneurs signed a cooperation agreement.
Source: Ministry of Energy
