Russia Continues Discussion on ESPO Export Duties

June 17, 2010
The Russian government has sent a new method for calculating the export duty of crude oil produced in East Siberia back for additional revisions, Russian Natural Resources minister Yuriy Trutnev said on June 16.
Without a decision from the government, the zero-rate duty on East Siberia-Pacific Ocean crude will remain in place. However, the government has not ruled out that a duty calculated using a new method could be introduced on July 1; Prime Minister Vladimir Putin could issue instructions to that effect with room for further discussion on the mechanism for taking profitable fields off the privileged list in 2011-2013.
Yesterday, the government presidium reviewed proposals from the Finance and Energy ministries on the issue, but according to Trutnev, no final decision was made and discussion will continue.
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