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orthern areas of the Caspian Sea have for a permit to explore three locations close been the core for Lukoil’s geological to the Tyuleny Island: Tyuleny-1, Tyuleny-2, exploration since 1995. In 1999, the oil major and Tyuleny-3. Lukoil has long eyed them all began deep drilling. In total, the energy firm yet it has no access rights to the sites. Thus found ten hydrocarbons fields with proven Alekperov has suggested adopting a simple reserves of some 7 billion barrels of oil. Some principle. In line with it, the ministry may issue of these are massive oilfields, including a license to carry out geological exploration of V. Filanovsky, Y. Korchagin, Sarmatskoe, the required area without holding an auction. Khvalynskoye, and V.I. Grayfer. But Lukoil seeks Yet Dmitry Kobylkin, Russia’s minister for to get more than just that. In late January, Vagit natural resources and ecology, is not at all Alekperov, the CEO of Lukoil, wrote a letter to keen to do so. He said granting exclusive rights Vladimir Putin, saying that Lukoil’s subsidiary, “may be regarded by other state authorities Lukoil Nizhnevolzhskneft, has “a shortage of and market participants as premature and new exploration projects.” He therefore asked insufficiently substantiated.”
29 June 2020
ROSNEFT-TRANSNEFT WAR: RUSSIAN OIL PIPELINE OPERATOR WARNS OF FINANCIAL DISASTER Russian oil pipeline operator Transneft has reiterated the company would be in big trouble once oil transportation costs slumped significantly sometime soon, halving the company’s total income.
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hat is what the company’s first vicepresident Maksim Grishanin said right after a meeting with Russia’s Deputy Prime Minister Yury Borisov. While in talks, a delegation from Transneft presented a calculus, in line with which extra measures will be needed with a decrease in crude oil transportation to the 2008 levels, Grishanin said. In an interview with Kommersant, a Russian daily, Grishanin added his company would mark a deficit of 130 billion roubles in 2020 while the next two years could
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produce losses of 227 billion roubles and 304 billion roubles, respectively. “Thus we will be inadequate to meet our debt-related duties, nor could we develop our infrastructure as we are set to lose roughly 40 percent of the income,” Grishanin told journalists. Russia’s state oil major Rosneft requested that Transneft align its transportation fees with the 2008 levels amid the low prices in April. “If these are to be tied to oil prices,” Transneft deputy head asked, “what would happen after they rise in value, attaining $50, thus a 25 percent increase,
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