My Comment:  This is one of those reports that make you go HMMMM?!  Is this whole push for the middle east related to the need for oil?

Russia is facing difficult times. Britain’s largest bank HSBC forecasts that revenues from oil exports will drop significantly. In seven years. The British believe the oil sources will be depleted and will not be able to provide the current level of income. The Russian side is taking steps to maintain production at the current levels in anticipation of such a turn. HSBC Bank forecasts a decline in oil production by 13 percent in the period from 2020 to 2025. It is assumed that in 2021 the budget will experience the first losses amounting to approximately $2.1 billion. The negative trend in the following years will only increase.

To compensate for the depletion of old oil fields, Russia will have to increase its oil production at least by 40 million tons. At this time, the reserves of the opened oil fields are estimated at 10 million tons, which is about 67 percent of the substitution.

According to some experts, the oil production in 2016 and 2017 in Russia will grow by two percent a year. The peak of oil production will occur in 2018-2019. The British HSBC clarified that the development of new oil fields should be carried out in the best possible conditions for the taxpayers. Oil companies leading the development of these fields will be provided with tax breaks, but this, in turn, will adversely affect the country’s budget the due to the decreased revenues.

Read the rest:  via Russia has only 7 years before oil crisis? – English pravda.ru.

Related articles

• Libya is on the brink of an oil-starved financial crisis (pbs.org)
• OPEC predicts Kazakhstan’s oil production to up by 50,000 bpd next year (en.trend.az)

Categories: news

Tags: HSBC, oil, russia, Vladimir Putin