- Rosneft (OTCPK:RNFTF) says it increased drilling by 27% Y/Y in the first seven months of the year, as it bucks the worldwide trend of cutbacks in oil projects because the plunge in the ruble and the quirks of Russian tax law insulates producers from the crude oil price slump.
- Rosneft says it drilled more than 800 new wells YTD, with total depth drilled rising to 4.59M meters from 3.61M meters in the first seven months of last year.
- The devaluation of Russia’s currency has reduced operating costs because companies earn dollars and pay most of their expenses in rubles, meaning that the country’s exports remain just as profitable as they were a year ago when the oil price was near $100/bbl, Citigroup says.