Future of Oil Prices Remains Unclear

Rosneft CEO Igor Sechin stated Friday that if investment in the oil industry goes back up, oil prices may remain at USD 60- 80 per barrel.

Sechin explained that in case this doesn't happen, then prices could return to USD 100-110 per barrel.

He added that the company's capital expenditure program will be further cut by 30% this year, The Independent reported.

The Russian giant's CEO also metioned EU sanctions on Russia and the effect they have on the industry as a whole.

"The sanctions have reverse effects: they damage international shareholders and international stakeholders, they damage partners that manufacture process equipment, they damage banks and investment funds who will not be able to invest in the development of industries in Russia,'' he said.

He further expressed his opinion on alternative energy sources, stating that it currently is too expensive and few customers will be willing to pay extra for it.

Sechin said that energy security is needed in order to secure economic growth and well being around the world.

The full interview is available here.