International Energy Agency Expects 17.5% Decline In Russia's Oil Output By 2040 - Report

MOSCOW (UrduPoint News / Sputnik - 13th November, 2018) The International Energy Agency (IEA) has improved its forecast for oil and oil condensate production in Russia by 2040 by 0.8 million barrels per day compared with the last year's estimate - to 9.4 million bpd, but still expects its strong decline - almost by 17.5 percent from the 2017 level of 11.4 million bpd, according to the annual IEA World Energy Outlook report.

In the midterm (by 2025), an increase in oil and oil condensate production in the Russian Federation is projected to 11.

5 million bpd, or by 0.9%.

"Companies in Russia have weathered the storm since 2014 relatively well, helped by the impact of a lower ruble on production costs. The Vienna Agreement constrained output somewhat in 2017, but near-term prospects look strong," the report says.

According to the document, "over the longer term, the difficulty to bring on more remote [e.g. Arctic] or hard-to-develop resources [e.g. tight oil], especially if sanctions are maintained, pushes projected output into gradual decline."