Russian Energy Minister Alexander Novak said in an interview he has ruled out possible coordination with OPEC group on oil output after a failed attempt to jointly maintain production levels earlier this year, Reuters reports.
"We do not discuss the issues of coordination of actions between Russia and OPEC... We can't agree on production cuts as we don't have such tools and mechanisms," Novak told Reuters in interview cleared for publication on Wednesday, July 20.
The Organization of the Petroleum Exporting Countries and other big oil producers, including Russia, were not able to reach a deal in Doha in April on freezing oil production in order to support falling oil prices.
Global crude oil prices reached a 13-year low of $27 per barrel in January due to oversupply, but have recovered since then to around $50.
In the interview with Reuters, Novak said Russia sees its cooperation with OPEC focusing on the exchange of information and analysis on the global oil market, rather than on coordinating production.
Russian companies have been increasing oil production this year. Novak said he expects domestic oil output at 542-544 million tons this year after it hit 534 million tons (10.73 million barrels per day), a 30-year high, in 2015.
Novak said he will likely meet new Saudi energy minister Khalid al-Falih at a conference in Algeria at the end of September. It will be their first meeting since Falih was appointed in May, taking over from veteran minister Ali al-Naimi, Reuters says.
"Obviously, we will discuss the situation on the (global) oil market," he said, adding that they will also look into the possibility of joint energy projects in Russia, Saudi Arabia and third countries.