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2015-01-25 16:50:00

RUSSIA DEVELOPING ARCTIC

RUSSIA DEVELOPING ARCTIC

Russia to continue implementing Arctic oil and gas projects despite Western sanctions and low oil prices, Russian Energy Minister Alexander Novak said.

"We will continue developing the Arctic shelf, as it is our strategic resource," he said.

Shelf development is a long and costly process. Geological exploration alone will take years, and drilling will cost tens and hundreds of millions of dollars, he said.

Despite falling prices for raw materials, companies should maintain their investment plans not to lose what is done. "They must continue drilling in August-September and the first half of October next year to confirm or deny there are reserves in the geological structures," the minister said.

The implementation of the launched projects, including for the Prirazlomnoye field, will continue, he added.

US sanctions imposed against Russia last summer in connection with the crisis in Ukraine have banned participation of foreign companies that supply equipment and others in shale and Arctic oil projects.

oilandgaseurasia.com

Tags: RUSSIA, ARCTIC, OIL, GAS, SANCTIONS, PRICES
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