Tax Breaks Approved for Russia's Largest Oilfield

Thursday, September 12, 2019

Russia's finance ministry has in principle approved tax breaks for developing the Priobskoye oilfield, Russia's largest, to oil giants Rosneft and Gazprom Neft, Alexei Sazanov, head of the ministry's tax department said on Thursday.

He added that tax breaks for the oil companies could last for 10 years but no start date had yet been agreed.

Sazanov told reporters Russia's budget should be compensated for revenue it will lose due to the tax breaks for Priobskoye and the finance ministry proposed to introduce a mineral extraction tax (MET) for associated petroleum gas (APG) for the oil industry, but no political decision on MET had been made.

The finance ministry is open to discussions on raising other taxes on the oil industry in order to compensate the budget instead of introducing a MET on APG, Sazanov said.

Output at Priobskoye is around 500,000 barrels per day.


(Reporting by Katya Golubkova, writing by Maria Tsvetkova; editing by David Evans)

Categories: Legal Finance Shale Oil & Gas Russia

Related Stories

Cairn India Might Invest in US Oil Servicing Firms to Increase Production

ORE Catapult and Japan’s FLOWRA to Jointly Advance Floating Wind

ADNOC Signs 15-Year LNG Supply Deal with Osaka Gas for Ruwais Project

Shell Predicts 60% Rise in LNG Demand by 2040 with Asia Leading the Way

Eco Wave Finds Partner for Wave Energy Project in India

Japan's Mitsui Eyes Alaska LNG Project

European LNG Imports Up with Asian Influx

Floating LNG Conversion Job Slips Out of Seatrium’s Hands

Sembcorp Signs 10-Year LNG Supply Contract with Chevron

QatarEnergy Signs Deal with Shell for Long-Term LNG Supply to China

Current News

Argentina YPF to Shed Offshore Exploration Projects

Cairn India Might Invest in US Oil Servicing Firms to Increase Production

All Gas from Conrad’s Mako Field to be Sold to Indonesia’s PLN

ORE Catapult and Japan’s FLOWRA to Jointly Advance Floating Wind

Shell Hires Noble’s Drillship for Work in Southeast Asia

Second Hai Long Substation Heads to Project Site Offshore Taiwan

Shell Launches Next Phase of Malaysia's Deepwater Project with First Oil Production

CNOOC Discovers ‘Vast Exploration Prospects’ in China’s Beibu Gulf Basin

China Unveils Plans for New Offshore Wind Farms to Tackle Carbon Emissions

Japan and South Korea Look to Partner Up with US for Alaska Pipeline

Subscribe for AOG Digital E‑News

AOG Digital E-News is the subsea industry's largest circulation and most authoritative ENews Service, delivered to your Email three times per week

https://accounts.newwavemedia.com