Gazprom Neft can fail to reach 2020 output target on OPEC+ rollover

MOSCOW, Dec 25 (PRIME) – It will be hard for Russian oil producer Gazprom Neft to produce 100 million tonnes of oil equivalent in 2020, if the OPEC plus nonmember oil output restriction agreement is prolonged past April 1, CEO Alexander Dyukov told reporters on Wednesday.

“Yes, we are absolutely setting this target for us, but you have to understand that in case the OPEC plus is in force after April 1 as well, it will be hard for us technically to reach this figure, but we will be close to it,” Dyukov said.

Gazprom Neft said in December that the 2019 oil output production plan stands at 96 million tonnes of oil equivalent, a 3.3% annual rise.

In November 2016, OPEC and non-OPEC states including Russia first decided to reduce their oil output to rebalance the market, and agreed on additional reduction in December 2018. In July, they prolonged the deal until April 2020. According to the latest amendments, the agreement stipulates a production cut by 2.1 million barrels per day.

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