Latest news with #IgorSechin
Business Upturn
27-06-2025
- Business
- Business Upturn
Energy Without Illusions: Igor Sechin on the New Landscape of Global Energy
The energy of the future, the challenges of the digital revolution, and the role of nuclear power were the central themes of Igor Sechin's address at the St. Petersburg International Economic Forum 2025. The CEO of Rosneft Oil Company, head of one of Russia's largest companies, denounced the 'net-zero' concept as an energy regression, underscored the special importance of electricity in the age of AI, predicted that China would emerge as the new global energy leader, and highlighted Russia's potential to develop a balanced new-energy mix. China: From Consumer to Exporter In his report, 'An Odyssey of the World Economy in Search of the Golden Fleece: The New Landscape of Global Energy,' Igor Sechin placed particular emphasis on China's role in tomorrow's energy sector. According to him, the PRC is no longer merely safeguarding its own energy security; it is confidently moving toward a new status – that of a net energy exporter. These successes, he noted, stem from a ba – lanced strategy rather than dogmatic adherence to trends. China does not bet exclusively on renewable energy sources (RES); instead, it advances multiple vectors at once – boosting coal production while simultaneously retaining leadership in solar and wind generation. Such an approach avoids lowering energy-flow density and prevents degradation of power systems. Sechin argued that talk of declining global demand for energy resources lacks foundation. On the contrary, several structural factors will only spur growth in worldwide energy consumption – chief among them the need to guarantee energy security, widening fiscal deficits and public debt, demographic trends, and large-scale digitalization. The digital revolution, according to Sechin, must become a foundation for productivity growth. He emphasized the decisive role of artificial intelligence and big data in reshaping the global energy landscape. Citing research from Goldman Sachs, he stated that large-scale adoption of advanced technologies could increase labor productivity by 1,5 percentage points in developed countries and by 1 percentage point in developing countries over the next decade. These challenges – not formal climate targets detached from reality – must, in his view, shape the energy strategies of the world's leading nations. Electricity – the New Oil Sechin devoted special attention to electricity, dubbing it the 'new oil' of the twenty-first century. The rise of artificial intelligence, the proliferation of data centers, and the accelerated rollout of electric transport are turning electricity into the key resource of the new technological order. Yet, he stressed, for electricity to truly drive development, it is not enough simply to expand generation; the quality and resilience of power systems must be improved. Another source to which the Rosneft chief assigned a pivotal role in the future energy balance is nuclear power. In a world where renewables still cannot deliver the required energy-flow density and hydrocarbons face relentless pressure from environmental activists, nuclear energy offers a way to maintain grid stability. He noted that over the past 15 years, global electricity consumption has grown at an accelerated pace. And in the next 25 years, according to IEA projections, global electricity generation is expected to double. Moreover, Sechin projected that as early as 2025, global investment in the electric power sector will exceed investment in fossil fuels by 50 percent. Russia, Sechin reminded the audience, is a leading nation in this field. The country now offers competitive, technologically advanced civil-nuclear solutions, including within the framework of international projects. Energy Synthesis, Not Energy Substitution Addressing the 'energy transition,' Sechin rejected the idea of rigidly replacing one source with another. Instead, he proposed a model of synthesis – combining traditional and alternative energy sources so that new technologies complement and reinforce the existing system rather than displacing it. This approach, he argued, avoids technological disruptions while ensuring economic efficiency and energy security. A key takeaway from Sechin's speech was his criticism of the net-zero doctrine. Abruptly abandoning traditional energy sources for climate goals, he warned, threatens the world with an energy regression. Without a comprehensive transformation of the entire energy infrastructure, integrating renewables will lead not to sustainable development but to reduced accessibility and reliability of energy supplies, he contended. Russia, meanwhile, can offer the world a more balanced and pragmatic development model in this arena. Sechin also addressed Europe's policy toward Russian energy exports. He recalled that the European Union continues to push for a lower price cap on Russian oil — down to $45 per barrel. 'In my view, the real goal is to increase the efficiency of Europe's purchases from Russia, rather than to reduce the revenue of the Russian budget, as publicly declared', — Sechin argued. The numbers, he noted, support this interpretation: according to Western experts, since early 2023, Europe has purchased over 20 billion euros worth of Russian oil — making it the fourth-largest buyer by volume Ahmedabad Plane Crash
Asharq Al-Awsat
26-06-2025
- Business
- Asharq Al-Awsat
Oil Steady as Investors Shift Focus to Demand Signals
Oil prices edged higher on Thursday as investors remained cautious about the Iran-Israel ceasefire and shifted their attention to market fundamentals after a stockdraw in the United States. Brent crude futures rose 34 cents, or 0.5%, to $68.02 a barrel by 1055 GMT US West Texas Intermediate crude gained 35 cents, or 0.5%, to $65.27 a barrel. Both benchmarks climbed nearly 1% on Wednesday, recovering from losses earlier in the week after data showed resilient. US demand. Brent futures are trading below their close of $69.36 on June 12, the day before Israel started air strikes on Iran, Reuters reported. Investors are shifting their focus to macroeconomics and oil balances, while monitoring the Israel-Iran truce, said PVM analyst Tamas Varga. UBS analyst Giovanni Staunovo said oil prices had tracked equity markets so far on Thursday, while ANZ analysts said the US driving season had started slowly but was now stoking demand. US crude oil and fuel inventories fell in the week to June 20 as refining activity and demand rose, the Energy Information Administration said on Wednesday. Crude inventories fell by 5.8 million barrels, the EIA said, exceeding analysts' expectations in a Reuters poll for a 797,000-barrel draw. Gasoline stocks unexpectedly fell by 2.1 million barrels, compared with forecasts for a 381,000-barrel build as gasoline supplied, a proxy for demand, rose to its highest level since December 2021. On Saturday, Igor Sechin, the head of Russia's largest oil producer Rosneft, said OPEC+, which groups the Organization of the Petroleum Exporting Countries and allies including Russia, could bring forward its output hikes by around a year from an initial plan. Meanwhile, US President Donald Trump hailed the swift end to war between Iran and Israel and said Washington would likely seek a commitment from Tehran to end its nuclear ambitions at talks with Iranian officials next week. Trump also said on Wednesday that the US was maintaining maximum pressure on Iran - including restrictions on sales of Iranian oil - but signalled a potential easing in enforcement to help the country rebuild.
CNA
26-06-2025
- Business
- CNA
Oil steady as investors watch Iran-Israel ceasefire, demand signals
LONDON :Oil prices were steady on Thursday after erasing earlier gains as investors remained cautious about the Iran-Israel ceasefire while also shifting focus to market fundamentals. Brent crude futures fell 11 cents, or 0.2 per cent, to $67.57 a barrel by 0821 GMT. U.S. West Texas Intermediate (WTI) crude fell 8 cents, or 0.1 per cent, to $64.84 a barrel. Both benchmarks climbed nearly 1 per cent on Wednesday, recovering from early-week losses after data showed resilient U.S. demand. Investors will shift their focus back to macroeconomics and oil balances while also watching the Israel-Iran truce, said PVM analyst Tamas Varga. Oil prices likely followed equity markets lower this morning, UBS analyst Giovanni Staunovo said. "U.S. government data showed the U.S. driving season is in full swing after a slow start," ANZ analysts said in a note. U.S. crude oil and fuel inventories fell in the week to June 20 as refining activity and demand rose, the Energy Information Administration (EIA) said on Wednesday. Crude inventories fell by 5.8 million barrels, the EIA said, exceeding analysts' expectations in a Reuters poll for a 797,000-barrel draw. Gasoline stocks unexpectedly fell by 2.1 million barrels, compared with forecasts for a 381,000-barrel build as gasoline supplied, a proxy for demand, rose to its highest level since December 2021. On Saturday, Igor Sechin, the head of Russia's largest oil producer Rosneft, said OPEC+, which groups together the Organization of the Petroleum Exporting Countries and allies including Russia, could bring forward its output hikes by around a year from an initial plan. Meanwhile, U.S. President Donald Trump hailed the swift end to war between Iran and Israel and said Washington would likely seek a commitment from Tehran to end its nuclear ambitions at talks with Iranian officials next week. Trump also said on Wednesday that the U.S. has not given up its maximum pressure on Iran - including restrictions on sales of Iranian oil - but signalled a potential easing in enforcement to help the country rebuild.
Zawya
26-06-2025
- Business
- Zawya
Oil rises as draw in US crude stocks signals firm demand
TOKYO: Oil prices inched higher, extending gains from the previous day as a larger-than-expected draw in U.S. crude stocks signalled firm demand, while investors remained cautious about the Iran-Israel ceasefire and stability in the Middle East. Brent crude futures rose 12 cents, or 0.2%, to $67.80 a barrel by 0030 GMT. U.S. West Texas Intermediate (WTI) crude gained 20 cents, or 0.3%, to $65.12. Both benchmarks climbed nearly 1% on Wednesday, recovering from early-week losses after data showed resilient U.S. demand. "Some buyers are favouring solid demand indicated by falling inventories in U.S. weekly statistics," said Yuki Takashima, economist at Nomura Securities. "But investors remain nervous, seeking clarity on the status of the Iran-Israel ceasefire," he said, adding that market attention is now shifting to OPEC+ production levels. Takashima forecast WTI would likely return to the $60-$65 range, its pre-conflict levels. U.S. crude oil and fuel inventories fell last week as refining activity and demand rose, the Energy Information Administration (EIA) said on Wednesday. Crude inventories fell by 5.8 million barrels in the week ending June 20, the EIA said, exceeding analysts' expectations in a Reuters poll for a 797,000-barrel draw. Gasoline stocks unexpectedly fell by 2.1 million barrels, compared with forecasts for a 381,000-barrel build as gasoline supplied, a proxy for demand, rose to its highest since December 2021. On Saturday, Igor Sechin, the head of Russia's largest oil producer Rosneft, said OPEC+, which groups together the Organization of the Petroleum Exporting Countries and allies including Russia, could bring forward its output hikes by around a year from the initial plan. Meanwhile, U.S. President Donald Trump hailed the swift end to war between Iran and Israel and said Washington would likely seek a commitment from Tehran to end its nuclear ambitions at talks with Iranian officials next week. Trump also said on Wednesday that the U.S. has not given up its maximum pressure on Iran - including restrictions on sales of Iranian oil - but signalled a potential easing in enforcement to help the country rebuild. (Reporting by Yuka Obayashi; Editing by Sonali Paul)
Yahoo
24-06-2025
- Business
- Yahoo
Strong rouble eats into Russia's oil profits despite rising global prices
Oil prices are rising, but Russia is not profiting from this as expected: the Kremlin's revenues remain under pressure as the rouble strengthens. Source: Bloomberg Details: On 13 June, Urals oil rose to over $60 per barrel, almost regaining its losses since the start of the year. Bloomberg estimates, however, that the real income earned by Russian exporters was RUB 4,957 (US$63) per barrel, almost 30% lower than at the beginning of 2025. The reason for the plunge in revenue is the strengthening of the rouble, which has climbed almost 23% to 78.72 to the dollar. This is due to a combination of factors: the high key rate set by the Russian Central Bank and the anticipation of a "thaw" in relations with the United States. As a result, the situation remains challenging for the Kremlin. Oil and gas revenues account for up to a third of the budget, and most expenditure is made in roubles. Although some losses are offset by government subsidies, export profitability is declining. "A strong currency makes life more difficult for the industry," said Russian Deputy Prime Minister Alexander Novak. Igor Sechin, CEO of Rosneft, Russia's biggest oil producer and exporter, has accused the Central Bank of "understating the value of oil in roubles". Analysts at Freedom Finance Global believe that a return to a weak rouble is unlikely while commodity prices and interest rates remain high. Only a fall in global oil prices and a surge in inflation could change the current trajectory. Background: Russia has been unable to take advantage of the recent rise in oil prices and the increase in its own OPEC+ quota as export volumes fell to their lowest level in seven weeks. In May 2025, Russia's export revenues from the sale of hydrocarbons abroad fell to their lowest level since the start of the full-scale war against Ukraine. Support Ukrainska Pravda on Patreon! Sign in to access your portfolio
