Russia's Oil-and-Gas Sector in 2010

Abstract

The oil-and-gas sector has continued being the cornerstone to Russia’s economy and as such it plays a pivotal role in forming the state budget revenue and the nation’s balance of trade. In 2010, it was the situation in the global oil market, the one in the European gas market, and an objective deterioration of conditions of oil and gas production, decline in output at “old” fields and a considerably greater costs of development of new ones, particularly in the undeveloped regions with no infrastructure therein, that exerted the greatest influence on the national oil-and-gas sector’s advancement.

Keywords: Russian economy, Russia's oil and gas industry

JEL Classification: L71, L72