Gazprom Warns of Reduced Investment Program if Oil Price Decline Continues

Russia's Gazprom said Thursday that any further decline in crude oil prices may adversely affect its business and its investment program, after reporting a pre-tax profit for the nine months to September 30, 2014 that had fallen 31 percent to RUB 756.86 billion ($10.6 billion).

Although Gazprom's revenues for the first nine months of 2014 increased 6.2 percent to RUB 4 trillion ($56.1 billion), the firm's operating profit fell 15.6 percent to $14 billion.

Gazprom blamed some of the fall in profit on the decline in the value of the rouble, but noted the significant decline in world market prices for crude oil had an effect on its export revenues due to its long-term gas contracts being linked to oil product indices.

"Any further decline may adversely affect our business, results of operations, cash flows, financial condition and potentially our capital program," the firm said in a statement accompanying its nine-month results.

 



Have a news tip? Share it with Rigzone!
Email news@rigzone.com

WHAT DO YOU THINK?

Click on the button below to add a comment.
Post a Comment
Generated by readers, the comments included herein do not reflect the views and opinions of Rigzone. All comments are subject to editorial review. Off-topic, inappropriate or insulting comments will be removed.

Related Companies
Events  SUBSCRIBE TO OUR NEWSLETTER

Our Privacy Pledge
SUBSCRIBE

More from this Author
Rigzone Staff
e-mail us at news@rigzone.com
 -  What Should Go On Your Electrical Engi... (Jul 25)
 -  LyondellBasell Plans Its Largest Inves... (Jul 21)
 -  Preparing a Mechanical Engineering Res... (Jul 19)
 -  Tesoro Signs Deal with Pemex to Enter ... (Jul 19)
 -  Irish Gas Grid Could Receive LNG from ... (Jul 19)


Most Popular Articles

From the Career Center
Jobs that may interest you
Cost Accountant
Expertise: Accounting
Location: Ville Platte, LA
 
Margin Optimization Analyst
Expertise: Accounting|IT - SAP / ERP|Refinery Specialist
Location: Dallas, TX
 
Project Controls Specialist
Expertise: Project Controls
Location: Anchorage, AK
 
search for more jobs

Brent Crude Oil : $48.6/BBL 1.12%
Light Crude Oil : $46.34/BBL 1.24%
Natural Gas : $2.9/MMBtu 2.35%
Updated in last 24 hours