Natural resources
Alexander Novak on the decline of Russia’s Arctic oil and gas projects
© RIA Novosti. Vitaly Belousov

Alexander Novak on the decline of Russia’s Arctic oil and gas projects

Russian offshore oil and gas projects in the Arctic have seen a decline, RIA Novosti reports, citing Energy Minister Alexander Novak's interview with S&P Global Platts.

The overall production from Russian Arctic projects amounts to 1.8 million b/d, he said, while "offshore projects are seeing a decline in activity under current prices."

The minister said that Russian companies continue to develop Arctic onshore reserves despite the sanctions that limited cooperation with international majors.

He added that Russia has been able to "considerably improve" its technology and manufacturing sector due to the sanctions, with oil project development and production costs lowered to levels only matched in the Middle East.