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    Russian Energy Minister Unaware of Kazakh Plans to Revise Oil Output Cut Deal

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    Russian Energy Minister Alexander Novak said on Friday he was not aware of Kazakhstan’s government desire to revise conditions of the oil output cut deal reached in Vienna.

    ASTANA (Sputnik) – Last week, Kazakh Energy Minister Kanat Bozumbayev said that the country’s authorities could make amendments to the country’s obligations under the agreement on oil production cuts between the Organization of the Petroleum Exporting Countries’ (OPEC) members and non-OPEC states due to the expected growth of production at the Kashagan oil and gas field.

    "I have not heard such statements," Novak told journalists.

    The minister expressed confidence that parties to the oil output cut deal must completely fulfill their obligations.

    "I think that all parties to the agreement, which signed and prolonged it, took the responsibility to comply with the reached accords. I find it sensible that all the parties must stick to the agreements," Novak added.

    In 2016, the OPEC reached an agreement in the Austrian capital of Vienna to cut daily oil output in the first half of 2017 within an effort to boost global oil prices. The agreement was supported by 11 non-OPEC states, including Kazakhstan and Russia. In late May, the parties to the agreement decided to extend the accord until April 2018.

    The Kashagan field is located in the northern part of the Caspian Sea in Kazakhstan's territorial waters, according to the country's Energy Ministry. Commercial oil production at the field started in September 2013. However, the process was suspended due to defects found in pipes over significant amounts of sulfur-rich associated gas. In December 2016, the ministry reported about its plans to increase the oil production at the field by 13 million tonnes after 2017.

    Related:

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    Russia to Produce Up to 550 Mln Tonnes of Oil in 2018 Under Vienna Deal
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    deal, oil output, Alexander Novak, Kazakhstan, Russia
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