After 10 years, the quality of oil produced in Russia will decrease strongly, and almost all reserves will be transferred to the category of difficult to recover, predicted the deputy head of the Ministry of Energy Pavel Sorokin. His statement quotes TASS.
“On our horizon of ten years, almost 100 percent of production will be difficult to recover,” he said. The government representative stated that the deterioration of the situation would require readiness to stimulate oil production in Russia, as well as geological exploration.
Pavel Sorokin also believes that in the next 25-30 years, hydrocarbons will continue to remain the basis of world energy balance. He noted that in the future, the proceeds from their sale may fall, as well as dividend payments from the oil and gas companies in Russia. But the industry will retain investment and jobs. “This is more important,” Sorokin concluded.
In October, the Ministry of Finance predicted that in perspective the dependence of Russia from oil and gas should decrease. By 2036, the share of oil and gas income in the federal budget structure drops below 25 percent. As explained in the department, the decline in the share of oil and gas budget revenues is expected in the long term due to the reduction of the share of the commodity itself in the structure of GDP. The Ministry of Finance noted that this is due to the gradual increase in the exhaustion of developed reserves. At the same time, the agency also believes that in the future, the demand for oil can catastrophically decrease against the background of the energy transformation of the countries of the world.