 
Welcome, once again.
We are working hard to ensure the safety of our people, to guarantee their health,
to facilitate the failsafe operation of the healthcare system and to be prepared to take on the challenges brought on by the infection.
But life goes on, and I said this in my latest address.
I said we must do everything we can to ensure sustainability and, what’s important, the development of the Russian economy.
So, today we will deal with an issue that is very important to the world economy and that is vital to our economy.
We will discuss the situation in global energy markets and what should be done to ensure the unconditional development of the energy industry in Russia.
As you know, generally the situation in global energy markets remains complicated.
The coronavirus epidemic has affected the entire global economy, thereby reducing consumer demand for energy, especially in transport, industry and other sectors.
This situation is negatively effecting the financial and economic sustainability of the oil industry all over the world.
Moreover, it is undermining investment programmes and may also affect employment.
There are also other grounds for concern. Needless to say, all this will trigger high technological and even environmental risks.
We should not forget about this, either.
It is also clear that having faced such system-wide problems, the global oil industry could be short of oil in the future when demand picks up.
And this will happen, demand will inevitably recover, and in this situation, and you know this better than anyone, the industry will run into an acute shortage of oil,
a serious shortage of resources, and later, of oil with all the ensuing negative consequences for the global economy.
This is possible also because oil prices could shoot up. So, it is in our common interests, and I mean common interests, to avoid this scenario.
As you know, in early March Russia suggested extending the OPEC+ deal. Unfortunately, the situation began to develop under a different scenario.
I would like to emphasise that Russia has always favoured long-term stability in the oil market and consideration for the interests of both producers and consumers.
We have never tried to inflate prices, but we have also wanted to avoid very low prices.
This is easy to understand: our budget is based on an oil price of $42 per barrel and we are quite comfortable around this figure.
I believe this is also very important for consumers.
In general, all this implies an effective supply and demand balance with predictable and economically substantiated prices.
This is what we have always striven for.
You know we maintain close contact with our partners in Saudi Arabia. And recently, I spoke over the telephone with the President of the United States.
We are all concerned about the situation.
We are all interested in joint, and let me emphasise, well-coordinated, actions for ensuring the long-term stability of the market.
In this respect, I would like to emphasise that Russia deems it necessary to pool efforts. As I said, we did not initiate the breakup of the OPEC+ deal.
We are always ready to reach an agreement with our partners, in the OPEC+ format, and we are prepared to cooperate with the United States on this issue.
I consider it necessary to pool our efforts to balance the market and reduce production as a result of these concerted and well-coordinated efforts.
Based on tentative estimates, I believe the reduction should be about 10 million barrels per day, more or less. We are meeting today to discuss these issues.
Of course, all this should proceed in the manner of a partnership. And I believe that when I talk about partner interaction, everybody, including our partners,
understands that this is about cutting production to the pre-crisis level, meaning we are taking about production at the level of the first quarter this year.
We will study and analyse the situation. Again, our key objective is the long-term stability of the market for the benefit of both producers and consumers.
And, of course, to ensure the stability and further development of the Russian oil industry,
the Russian oil and energy industry as the most important sector of the national economy.
Dear Colleagues,
I have brought you in to discuss all these questions and ask for your advice on what actions we should take
and how we should hold consultations with our partners to work out a concerted approach.
First, the reasons for the drop in prices and production were primarily due to the coronavirus, of course.
It caused a decline in production, decline in demand – in transport, industry and so on. This is the first point.
The second reason for the price drop is the withdrawal of our Saudi partners from the OPEC+ deal,
increase in their production volumes and the announcement they made at the same time that they are ready to discount oil prices.
All this is understandable because it’s apparently related to attempts by our Saudi partners
to eliminate competitors that are producing so-called shale oil.
To do this, it is necessary to get the price below $40 per barrel. In this respect, they are certainly reaching their goal to a certain extent.
But this is what we do not need. We have never set such a goal because, as I said, our budget is based on about $40 per barrel.
That said, we must certainly consider the interests of all of our partners, all of them.
This is the only way we will be able to achieve a fair agreement on balancing the market.
We are at the beginning of our conversation today but I would like to ask you, Mr Novak,
to consider all these circumstances and to strive, let me repeat, for a well-balanced decision with considerations for the interests of all our partners
when you talk with your colleagues from other countries – on Monday you said?
Consider all interest and strive to a balanced agreement having in mind the interest of all our partners.
