Gazprom neft will start producing from its newest Arctic field Messoyakha in the next few weeks, said on September 16, 2016, Vadim Yakovlev, first deputy chief executive at Gazprom Neft.
Gazprom Neft said 600,000 tonnes of oil would be pumped out of Messoyakha this year, rising to 5.5 million by 2020, as Reuters reported.
The firm, whose production costs are thought to be just $3.5 a barrel, is developing the field alongside Russian counterpart Rosneft.
Vadim Yakovlev, first deputy chief executive at Gazprom Neft, said was quoted as saying by Reuters: «We became the world champions in Arctic production. Our projects – Prirazlomnoye, Novy Port, Messoyakha – are the only ones on the pedestal. We will start shipments in the near future, there are weeks left.»
Mr Yakovlev was also cited as saying that lowering production would not be «economically viable» for Gazprom Neft.
«We are producing at a profit,» he said, Reuters reported. «There are a lot of reserves (globally) which could be put into exploration additionally and produce oil even at current oil prices.»
Messoyakha, which is being developed in conjunction with state oil major Rosneft, will add to Gazprom Neft's own companywide production, seen at 59 million tonnes of liquid hydrocarbons this year and rising to 62 million tonnes next year, which is more than OPEC member Algeria is producing.