Lukoil VP: In future, OPEC may double control on oil market to 70-80%

Lukoil VP: In future, OPEC may double control on oil market to 70-80%
# 19 July 2021 18:32 (UTC +04:00)

The contraction of the oil market due to the tightening of climate policy in the world will lead to the fact that the share of OPEC countries in the global market will increase from the current approximately 30% to 70-80%, Vice-President for the strategic development of Lukoil Leonid Fedun told reporters on Monday, APA reports citing TASS.

"In general, we do not see any restrictions on the activities of our company under any development scenario. Even with the radical IEA scenario where oil supplies will decrease by 30%, we see that OPEC will simply increase its market share, from today to about 70 -80% of the market will be controlled by OPEC, "he said.

At the same time, Fedun expressed confidence that the OPEC + agreement, which involves both OPEC and non-OPEC countries, mainly Russia, will continue to work after 2022. "Yes, I have no doubt about that, but again it will be trade because, unfortunately, everyone wants to extract more oil at a high price, " he said.

According to OPEC, in 2021, the demand for oil from the Allian countries will amount to 27.7 mln bpd, while the global demand is about 100 mln bpd. Taking into account the non-OPEC countries participating in the so-called OPEC + agreement, the volume of oil produced by the countries of the agreement is about 40% of all oil in the world. At a meeting on July 18, OPEC + countries extended the agreement until the end of 2022. At the same time, Saudi Arabia has already expressed the hope that it will continue to work after 2022.

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