MOSCOW (Sputnik) — Russia's gas giant Gazprom expects to reduce gas output by 0.4 percent to 417.2 billion cubic meters in 2016, the company said in its second-quarter GAAP accounting statement on Monday.
Russia's total gas output could fall 0.6 percent this year, amounting to 632 billion cubic meters, Gazprom predicted.
Falling output has been accompanied by decreasing profits. The company's profits fell 31 percent year-on-year in the first half of 2016 and came to 194.417 billion rubles ($3 billion), while revenue was 1.975 trillion rubles, which is 6.4 percent below the notch of the first six months of 2015, according to the figures.
Gas prices fell by around 50 percent between early 2014 and 2016, driven by a glut in the energy market and the fall in commodity prices across the board.
Previously, Gazprom said its losses from declining gas prices had been partially offset by increasing output.
