Official: Govt mulls brownfield, viscous oil development incentives

MOSCOW, Feb 19 (PRIME) -- The Russian government is considering revising the added income tax to stimulate production on the brownfields and highly- and ultra-viscous fields, Deputy Prime Minister Alexander Novak said, as quoted by magazine Energeticheskaya Politika on Friday.

"Several mechanisms to support the industry are being considered. In particular, extension of the added oilfield income tax to stimulate production on highly-depleted fields and fields containing viscous and ultra-viscous oil," Novak said.

Business daily Kommersant reported that the leaders of the Russian oil producing regions with a high degree of brownfields and hard-to-recover reserves, the Khanty-Mansi Autonomous District and the Tatarstan republic, had sent a letter to the president, asking to reduce the tax burden which soared after a reform in 2020.

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