Oil prices are falling and the cost of extraction is rising as resources are becoming exhausted. And then there are the Western sanctions imposed on oil companies as a result of Russia’s actions in Ukraine.
As Opec oil producers meet in Vienna to consider how to respond to falling prices, Moscow is particularly keen for concerted action.
he pressure on Russia’s oil industry is increasing. Oilfields that were within relatively easy reach have already been explored.
“It is becoming harder and harder to extract oil,” says Petr Fedorov, the supervisor on the Salym Petroleum drilling platform.
“We will have to develop new projects in more complex conditions, in particular on the sea shelf and in the Arctic.”
And the sanctions are adding to the problem.
Russia used to import most of the technical equipment needed to mine less accessible reserves.