"We are making our new forecast for the decade primarily in constant prices. And these constant prices are $50 per barrel, which is what we laid out as a forecast a 10-year period," Matytsin said adding that the company's budget for 2017 stipulates the oil price at $40 dollars per barrel.
Russia's Lukoil oil company is reducing production at low-efficiency wells in the framework of OPEC, non-OPEC deal but will be able to restore it without additional costs, company's Senior Vice President-Finance Alexander Matytsyn said Wednesday.
"We did not reduce, in general, the scale of drilling, which ensures the future production volumes in 3-5 years, but we significantly diminished the scale of short-term activities, that is, reduced part of the capital costs slightly," Matytsyn told reporters in Moscow.
The Organization of the Petroleum Exporting Countries (OPEC) and 10 non-cartel oil producers agreed in May to extend last year's output cut deal for another nine months.
