Russia has taken over from Saudi Arabia as the world’s largest supplier of crude oil, according to the Riyadh based Joint Organisations Data Initiative. Russia pumped 10.49 million barrels a day in December, with Saudi Arabia just behind at 10.46 and the US third at 8.9 million barrels. Iraq came up in fourth place with 5 million barrels.
Oil, Gas & Petroleum
By Marina Romanova
Turkish president Recep Erdogan travels to St. Petersburg on coming Tuesday, August 9th, to meet his Russian counterpart Vladimir Putin to restore two nations’ economic ties being down since Turkish air force dropped Russian Su-24 fighter jet near the Syrian-Turkish border in November 2015. The followed termination of Moscow-Ankara affairs painfully hit public relations, economic affairs and trade.
Food, Agro Products and Joined Projects
Initially Ankara has been one of the beneficiaries of Russia’s food embargo against the west. In 2014, bilateral trade in agricultural products increased by 19 percent to US$4 billion. When Moscow has embargoed a range of products and foodstuffs, including shipments of fresh fruits, vegetables and nuts, poultry and salt, food exports from Turkey were in serious trouble. Nearly 20 percent of Russia’s vegetable imports are provided by Turkey, and about US$31 billion in bilateral trade was at risk amid deteriorating relations between the two countries.
Jul. 20 – Russian state monopoly (and the holder of the world’s largest gas reserves) Gazprom could begin purchasing liquefied natural gas (LNG) from Brunei after 2013, when current contracts with its partner Brunei LNG will expire, the Russian daily Vedomosti reports, citing documents prepared for Gazprom’s board.
Gazprom has been struggling to start LNG projects in Russia due to global financial woes and recent discoveries of vast unconventional gas resources in the United States.
In June, Russian Energy Minister Alexander Novak met with his Brunei counterpart Yasmin bin Haji Umar in St. Petersburg, within the framework of Russia’s APEC chairmanship. Continue reading…
Jul. 19 – OAO Zarubezhneft, a Russian state oil producer, has discovered an offshore oil deposit in Vietnam, the company said in a statement earlier this week.
The deposit is located in the area where the company produces oil jointly with its Vietnamese partner PetroVietnam.
“The results of well testing allow us to talk about the discovery of another offshore field in Vietnam: the White Hare,” Zarubezhneft said in a statement. Continue reading…
Jun. 14 – Two road maps to improve Russia’s investment climate, by addressing the construction sector and energy infrastructure in particular, have been approved by the cabinet.
One of the road maps promises to bring the country to 34th out of 183 countries for getting construction permits by 2020, up from the current 178th. The total number of permission processes by then may drop from 51 to 11 and the average amount of time spent on obtaining them will go from 423 days to 56 days. Continue reading…
May 15 – China Petroleum and Chemical Corporation (Sinopec) and Sibur, the Russian petrochemicals group, have entered into a cooperation agreement to form a butadiene nitrile rubber joint venture in the Siberian city of Krasnoyarsk.
The cooperation deal was signed by Sibur’s CEO Dmitry Konov and Sinopec’s president Wang Tianpu at the recent Russian-Chinese Forum on commercial investment cooperation in Moscow.
The cooperation agreement includes a mechanism for the financing of the joint venture, and arrangements relating to share capital, management, raw material supplies and marketing. Continue reading…
Feb. 7 – North Korea’s new leadership supports an agreement on the proposed extension of a Russian pipeline into North and South Korea.
Kim Jong-un, North Korea’s recently appointed 29-year-old “supreme leader of the party, state and army” is looking favorably to gas pipeline construction from Russia that would run across the Korean Peninsula, Russian Ambassador in Pyongyang Valery Sukhinin told reporters last Friday.
“Talks between Russia’s state-run Gazprom and the oil industry ministry from the North Korean side are taking place,” he said. Continue reading…
Nov. 8 – The Russian gas giant Gazprom opened an office in Rio de Janeiro last week, while another Russian oil producer TNK-BP announced an agreement to buy 45 percent of the Solimoes Basin project for US$1 billion from the Brazilian HRT Participacoes em Petroleo.
TNK-BP and HRT Participacoes em Petroleo will jointly produce oil and gas from fields near the Amazon, with first output expected next year.
“The discovery of major hydrocarbon deposits in Latin America and the high growth rates of natural gas consumption there provide for an effective development of partnership relations,” The Moscow Times reported a Gazprom official as saying. Continue reading…
Sept. 28 – Russia has agreed to review its gas contract with Ukraine, Ukrainian Prime Minister Mykola Azarov said Monday.
“We have finally managed to reach an agreement with Russia on reviewing the contract,” Azarov said at a meeting with a delegation of the Council of Europe’s parliamentary assembly.
Ukraine has been pressing Russia for months to revise a 2009 gas deal, agreed under the previous Ukrainian leadership, which current President Viktor Yanukovych’s government says saddled the country with an exorbitant price for supplies of Russian gas. Continue reading…
Sept. 22 – Russia must make fundamental changes to its fiscal and monetary policy in the next few years to reach stable economic growth and reduce the country’s vulnerability to external shocks, the International Monetary Fund said Wednesday.
Under the current economic scenario, Russia will remain vulnerable to shocks, with GDP showing modest growth of 3.8 percent annually through 2016 and remaining below 4 percent in the long term, said Odd Per Brekk, the IMF’s senior resident representative in Russia. Continue reading…