Russia does not plan to join the Organization of the Petroleum Exporting Countries (OPEC), Russian Energy Minister Alexander Novak said on Monday, March 6, during the CERAWeek energy conference in Houston, Texas, TASS reports.
"Today, we are not considering joining OPEC, but our work with oil-exporting countries showed the necessity and feasibility of mutual cooperation," the minister said. Novak stated that due to the lack of cooperation with OPEC in recent years, the global oil industry has lost about $500 billion of investments.
Novak also said that the Russian oil and gas sector successfully overcame the US sanctions, and companies were able to reduce the cost of oil production, which now is about $10 - $15 per barrel. "Oil production in Russia expanded by 400,000 barrels in two years... We are ready to invite foreign companies for implementation of joint projects in the Russian Federation," he added.
Secretary General of OPEC Mohammed Barkindo in his turn, said that the organization still has enough support from Russia. "I think Novak's speech was very reasonable and practical. Russia is not going to join OPEC, but they cooperate with OPEC, they support OPEC. I think that's enough for now, " Barkindo said in his interview to RIA Novosti.
OPEC is an international organization that was established by oil-producing countries in order to stabilize the oil market. It consists of 13 states: Iran, Iraq, Kuwait, Saudi Arabia, Venezuela, Qatar, Libya, United Arab Emirates, Algeria, Nigeria, Ecuador, Angola, and Indonesia.
