One of the biggest traders in the world sold their assets in Russia

One of the largest world petrotraders Vitol group, which daily sells more than 5 million barrels of oil, enough to cover the needs of Germany, France and Spain, got rid of owned assets in the oil industry in Russia, writes Forbes. According to sources, the transaction took place in 2015.

As a result Swedish Petrogrand crossed fields in the Komi Republic, which was controlled by Vitol via company Arawak Energy Russia and RF Energy Investments, “Recher-Komi”, “Pechoraneftegaz and Asuneft”.

“The field is small, but are very compact and with good debits” — said Forbes, a source close to Vitol. About half of extracted oil is sold on the domestic market and the rest exported.

According to sources of Forbes, valuation of assets in Russia, Vitol accounted for $50-100 million, the press service Petrogrand and Vitol declined to comment.

In early February of 2016, the head of Vitol group’s Ian Taylor issued a forecast that due to the slowdown of the Chinese economy and the shale oil in the U.S. oil prices will remain low for at least another ten years.

Taylor also noted that oil prices in the next decade will range between $40 and 60 per barrel. If this prediction is correct, the oil exporters and the oil companies will face the longest period of low prices since the years 1986-1999, when the price per barrel ranged from $10 to 20.