Current State and Prospects for the World Oil Market
Mpnitoring of Russia's Economic Outlook. Moscow. IEP, No. 7, pp. 27-33, 2020
7 Pages Posted: 3 Jun 2020
Date Written: May 5, 2020
Despite the adherence to the commitments according to the OPEC+ deal on the joint efforts to cut production, during Russia’s three-year participation in the deal as a whole the annual crude oil production in the country increased by 2.4% on the back of stabilized world crude oil prices. Collapse of the OPEC+ deal has created risks for the outbreak of the price wars, which threaten the private Russian companies with losses being unable to ramp up production without opening new projects. The renewal of the deal meant that Russia could avoid a feasible imposition of duties by the US and Canada, attacks on customary market outlets by Saudi Arabia; overloading of storage capacities.
Keywords: Russian Economy, Oil and Gas Sector, Oil Prices, OPEC+
JEL Classification: L71, L72, O13, O47, Q32
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