Report: Oil price of $40–60 acceptable for Russian industry – min

MOSCOW, Apr 18 (PRIME) -- The oil price of about U.S. $40–60 per barrel would be acceptable for normal operation of the Russian oil industry under the current conditions, Energy Minister Alexander Novak said in an interview to NTV television channel broadcast Monday.

Oil producing countries failed to arrange an oil output retention at the level of January at a meeting on April 17. Saudi Arabia insisted that all OPEC members participate in the pact, an impossible term in the absence of Iran. Tehran will stick to its policy of regaining the market share lost during the years of sanctions, officials said earlier.

“Under the current conditions, the price of $40–60 is most likely the price that is sound for both formation of the budget and for standard operation of the sector,” Novak said.

Mikhail Leontyev, press secretary of oil major Rosneft, told PRIME that Russia has demonstrated its readiness to cooperate with other oil producing countries to restore prices at the meeting, but there were no illusions that an agreement may be reached.

“There is (our) advantage that the restoration of prices will happen on the basis of a balance between the demand and supply, and not on the basis of agreements which may be violated or canceled,” he said.

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