December 19, 2016, 19:29 / Business / News

Gazprom Neft has revealed a plan to reduce production

Gazprom Neft currently plans to reduce production in the first half of the year by 2.7% compared to the average daily production in October, company CEO Alexander Dyukov said in an interview with the Rossiya 24 TV channel. “We plan to reduce production by approximately 2.7% compared to the average daily production in October,” he said.

Dyukov again admitted the possibility of an agreement with other companies on quotas to reduce oil production, but suggested waiting until January 1.

Last week, Dyukov said that Gazprom Neft hopes to reach an agreement with other Russian oil producing companies to reduce production to less than a proportional level. “If we don’t agree, then we, like everyone else, will have to reduce production proportionally,” he clarified.

Today, Lukoil President Vagit Alekperov said that neither Gazprom Neft nor other oil companies asked him to further reduce production in the first half of 2017. However, Alekperov did not rule out a redistribution of production quotas. “If someone naturally has a sharper drop, ahead of the quota limit, of course, this can be redistributed to their colleagues. There should be such a mechanism, because the quota applies to Russia as a whole, and not to individual companies,” said the president of Lukoil.