According to a recent report, the results of all Russia’s major oil companies collapsed in the first half of the year. A year ago, the country’s largest oil producer Rosneft reported half-year earnings of 773 billion rubles, equivalent to 85 billion euros. Now the result was only 245 billion rubles, or 27 billion euros.
Lukoil’s profit fell from last year’s 65 billion euros to 31.5 billion euros. Gazprom Neft’s earnings dropped by more than half to 16.5 billion euros. Tatneft’s and Russneft’s profits declined even more sharply, but the worst result came from Surgutneftegas, whose performance turned into a loss of 50 million euros.
The companies cite as their problems, among other things, oil overproduction resulting from OPEC countries’ policies, the overvaluation of the ruble, and Russia’s high interest rates. However, their financial statements make no mention at all of the drone strikes by Ukrainians against Russia’s oil industry or the sanctions imposed by Western countries.
It remains unclear whether this silence stems from fear of Vladimir Putin, from Russian dishonesty — or perhaps both.
Previous thoughts on the same topic:
Deep Roots of Violence and Disregard for Human Dignity in History
Russian Soldier in Finland – A Sign of Crumbling Morale?
Russia’s Economy Set to Slow, Says Bank of Finland
