Dvorkovich: the reducing oil production inevitably at low prices

Dvorkovich: the reducing oil production inevitably at low prices


If the prices will be at excessively low levels for an extended period of time, the adjustment of investments will be unavoidable, said Deputy Prime Minister Arkady Dvorkovich.

MOSCOW, 29 APR –. Adjustment of investment, and therefore the decrease in oil production in Russia will be inevitable if oil prices will remain low for a long time, but it would not be purposeful action of the Russian government, told reporters Deputy Prime Minister Arkady Dvorkovich.

“We believe that we have the oil sector is largely private, commercially aware, he is not under direct — if we talk about ownership — control of the state…. The market is governed by the decision of individual companies. It will continue this way. The company will look at the situation, based on their interests, ” he said.

“If prices will be at excessively low levels for an extended period of time, the adjustment of the investment would become inevitable, and this will result in a decrease in production, but it would not be purposeful action of the state, and not in the interests of the state, we are for the stable operation of our oil sector”, — added Dvorkovich.

He noted that, in fact, the market “regulates itself, is self-adjusting under the influence of external factors and the structure of the tax system”. “And this, ultimately, will lead to the stabilization of prices at a higher level”, — said Deputy Prime Minister.