Rosneft: the share of the difficult-to- extract oil with the cost of $ 10-35 per barrel will be increased

 Breaking News
  • Microsoft, Amazon and eBay are at record highs On Tuesday, securities of Microsoft Corp, Inc and eBay Inc broke records. The rush of investors’ demand for the shares of those companies involved in electronic commerce caused such...
  • Quarantine in Hong Kong is not for everyone Hong Kong is rescuing its stock exchange. In order to give life to the trading platform, the administration of the metropolis has shown flexibility concerning quarantine measures. So, Christopher Hui...
  • Economy of Japan demonstrates recession In the first quarter of this year, the economy of the Land of the Rising Sun dropped by 0.6% in monthly terms. The figures are not optimistic but are better...
  • Energy market news On Saturday, representatives of the countries included in the OPEC+ cartel managed to agree on the extension of the restrictions on oil production. It also became known that those countries...
  • Bentley fires employees in order to prevent losses in 2020 The Bentley brand has long been synonymous with luxury living. Unfortunately, the British automaker has to save because of a forced two-month break. The company’s CEO Adrian Hallmark said to...
Rosneft: the share of the difficult-to- extract oil with the cost of $ 10-35 per barrel will be increased
September 26
15:00 2016

Rosneft is planning to increase the share of difficult-to-extract raw materials in the total oil production to 11 per cent in the period of 2016-2020. The previous figure was 7 percent. The oil company estimates the cost of the production of this kind of oil at $ 10-35 per barrel. Rosneft reported about this to the Reuters agency.

Russia does not have the possibility to purchase the equipment for the development of raw material resources, which require non-conventional technologies due to the Western sanctions. They were imposed in 2014 because of the Russia’s role in the Ukrainian conflict. The Russian Federation intended to compensate the decreased production in Western Siberia, which is a key area for the oil production, through the offshore and difficult-to-extract oil.

“At the moment and in the short term the production share of the difficult-to-extract oil, which fall under the sanctions, is small. And the restrictions do not have a significant impact on the overall volume of  Rosneft oil production”, – says the message of the oil company.

In 2016, Rosneft is going to keep the oil production at the level of the previous year -203 million tons.

Therefore, the impact of sanctions is gradually disappearing due to the fact that the Russian equipment manufacturers and contractors are involved in the extraction. Moreover, the companies from those countries that do not support Western sanctions are also engaged in the production.

The post of the company says that the cost of difficult-to-extract oil (which share has amounted to 24 per cent of the total reserves of the company) is equal to $ 10-35 per barrel. The current value of the benchmark of the North American crude oil has been $ 45.9 per barrel.

In the near future the main volumes of difficult-to-extract raw materials will be provided by “affiliated” companies – Yuganskneftegaz, Uvatneftegaz, Nyaganneftegaz, Tyumenneftegaz. The deposit development of Cherkashinsk and Achimovsk suites in the Priobskoe and Prirazlomnoye fields, Tyumen suite on Ombinsk, Ust-Tegussk, Krasnoleninsk fields and Pokurskaya suite on the Russian field.

In the future the company intends to significantly increase the production of difficult-to-extract raw materials through the development of fields in Western Siberia, Eastern Siberia and the Ural-Volga region.

The basic technology of the development of difficult-to-extract oil is the construction of horizontal wells with multi-stage hydraulic fracturing (MGRP). Most of the equipment in such wells is of the Russian production, said the representative of Rosneft.

Related Articles


No Comments Yet!

There are no comments at the moment, do you want to add one?

Write a comment

Write a Comment