Energy minister A. Novak met Russian oil service men

On June, 7, in the V.I. Vernadsky's State Geological Museum a special meeting between the Minister of Energy of the Russian Federation Alexander Nivak and representatives of the Union of Oil and Gas Producers of Russia (SNGP) took place. The goal was to discuss current situation and development of Russian oil service industry an form a special working group to provide the ministry with proposals on stimulating accelerated development of the industry

Opening the meeting minister A. Novak briefly described the current situation in production of energy resources and expressed his personal interest in developing a new system of stimuli for development of such an important industry as oil service for future economic development of the country. He also actively participated in the discussion of the pressing problems of the industry. The co-chairman of the meeting Chairman of the SNGP Board Yuri Shafranik, in his turn, stressed the importance of an open and frank discussion of the most urgent problems of the industry directly with the minister.

Presentations were made by the head of the Department of drilling and intra-well works of OAO "Gazprom Neft" Alexey Govzich, deputy general director of JSC "Siberian Service Company" Alexey Kanashuk, general director of "Geotech Holding" Nikolai Levitsky, Director of Marketing, LLC "Uralmash Oil & Gas Equipment Holding" Sergei Chirkov, president of the Union of Oil and Gas Equipment Producers Alexander Romanikhin, general director of LLC "Bashneft-service assets" Kamil Zakirov, president of Tyumen’s Association of oil service companies, Vladimir Borisov, Chairman of the Subcommittee on Energy Strategy and Development the Fuel and Energy Complex of the Chamber of Commerce of the Russian Federation Valery Garipov.

They proposed a number of radical measures to improve the situation in the Russian oil and gas service, support domestic oil service companies to ensure successful competition with foreign companies on inner and foreign markets.

It was stated once again that to maintain the current level of hydrocarbon production is impossible without increasing exploration ad development drilling at least by 12%.

However, the entry of Russia into the WTO has seriously complicated the task of developing national oil service companies. Government support of such enterprises in Norway, the U.S. and China provides them with a competitive advantage in relation to Russian companies. Domestic services confront transnational corporations "Halliburton", "Schlumberger", "Baker Hughes" with their huge financial, technological and human resources, incompatible with the resources of Russian companies.

Protection of domestic producers should be provided by special legislation, tax, customs and financial preferences. The timely intervention of the state will reduce the risk of total loss of Russia's national production of geophysical and drilling equipment.