Oil companies confirm the previous plans on oil production

Vladimir Putin has received the formal consent of the Russian oil companies to freeze the production at the level of January. It will be easy, neither the Ministry of Energy, nor any experts expected the growth in 2016, and new launches are offset by a decrease in the production from older fields. In response, the industry asked the President to retain the current tax burden, and, according to the Minister of Energy Alexander Novak, this request was heard. The agreement of the oil companies on the freezing should give Moscow an additional trump card in negotiations on curbing the production with the largest global manufacturers.

Yesterday, Vladimir Putin held a long-awaited meeting with heads of the Russian oil companies - Rosneft, Lukoil, Gazpromneft, Bashneft, Tatneft, Zarubezhneft, Surgutneftegaz and the Independent Oil and Gas Company. The industry believed that at the meeting the President could put conditions before the oil companies to curb the production. However, the decision to freeze the volumes, supplied to the market, at the level of January this year, was announced by Vladimir Putin before the talk with the oil companies. "As the Minister (of Energy Alexander Novak) reported, all of you (representatives of the oil companies) agree to the proposal, - the President said before the meeting.- Some of you have even more radical proposals". The purpose of the meeting, according to Vladimir Putin, was to hear it from the oil companies themselves.