“As you know, last year turned out to be complicated,” Novak said at a meeting in the State Duma. “The industry simultaneously experienced several serious challenges: the sanctions imposed by the EU and the US, a significant reduction in prices of the main products from the fuel and energy sector, worsening financial and economic conditions and difficulties in attracting funding,” he said according to Rossiyskaya Gazeta.
According to Novak, Russian oil and gas companies are handling the problems well, and the key indicators of the sector are stable. Development of hard-to-reach reserves in the Arctic are Russia’s future, Novak said, and added that production of Arctic oil will start in 2025.
As BarentsObserver reported, Rosneft plans to spend 764 million rubles (€12.4 million) on seismic mapping in the Kara Sea. The company has also announced that it will not conduct any well drilling in the Kara Sea, or in any other parts of the Arctic this summer. In addition, the company has requested government for a two years extension of license terms in 12 offshore Arctic projects.