Russia Plans to Maintain Stable Oil Output of Some 10.5Mln Barrels

Russia plans to maintain the current oil production of about 10.5 million barrels per day as part of a long-term oil market strategy that will contribute to global energy security, Energy Minister Alexander Novak said Wednesday.

VIENNA (Sputnik) — Stable and reliable supplies of oil and oil products from Russia would help reduce the impact of possible shocks for global oil industry and strengthen global energy security, Novak said.

"Russia's long-term strategy on oil markets is aimed at maintaining the current output at about 10.5 million barrels per day," Novak said at the OPEC International Seminar in Vienna.

Novak noted that a global oil shortage might be caused within the next few years by hard-to-extract oil projects stalled by low oil prices. It could also be accompanied by abrupt price increases and political turbulence.

According to the latest data from Russia’s Central Dispatching Department of the Fuel and Energy Complex, the daily oil output of Russian companies in the first five months of 2015 amounted to record 10.7 million barrels, which is a 1.2-percent increase compared to the same period in 2014.

Global oil prices experienced a significant drop in 2014 and early 2015, although they have recovered slightly in recent months.

The Russian economy, which relies heavily of energy exports, have been hit hard by the price drop, with the ruble losing about a half of its value against the euro and the dollar.

Projects stalled due to low oil prices may cause a global oil shortage within the next few years, Alexander Novak said.

"A supply deficit related to the freezing of hard-to-extract oil projects, while conventional reserves are being depleted, can cause an oil shortage, fraught with abrupt price increases and political turbulence."