Structural Reform in Russian Oil and Gas Industries

Abstract

The Russian oil and gas industries have performed very well recently. However, some tasks have to be accomplished in order to ensure further development. The oil industry must continue to invest in both upstream and downstream areas, and to drive forward oil export projects directed to Asian markets. The gas industry must both enhance profitability in the domestic market, and drive forward gas export projects directed to Asian markets. For this it is necessary for Russian oil and gas companies to strengthen their competitiveness. It is also necessary for the Russian government to put in place a legal framework enabling foreign capital to be introduced.