Expert Chaslau Koniukh
  • Companies
  • Global investment
  • Investors
  • Terminology
  • Economy
  • Stock Market
  • World exchanges
  • Tech and Marketing
oil and gas budget revenues
Analytics

Analysts: how oil and gas budget revenues are formed

13.02.2021
2 min read

What awaits oil and gas budget revenues

Analysts estimated future oil and gas revenues of the budget, in their opinion, it is unlikely that the cost of raw materials will drop to $35 per barrel. The reason is negative sentiment against the background of reduced demand and fears of another wave of coronavirus.
According to the Ministry of Finance, the export duty on oil is 45.4 dollars per ton, having dropped by 2 dollars. However, the expert does not rule out that the rough market should soon go up.
The amount of the export duty in Russia depends on the world prices taking into account monthly corrections made by the Ministry of Finance. The revision is carried out on the 15th of last month for Urals crude, and this policy has been adopted since 2001.
The cost of raw materials started to get cheaper in autumn. For example, in the period from late August to mid-September last year, the Brent futures for November fell from 46.5 to 39.3 dollars per barrel. The Russian brand Urals traditionally goes at a discount to the North Sea benchmark, which is a few dollars. According to analysts from the relevant ministry, the average cost of Urals for half of September is 42.7 dollars per barrel. This means that in October the tariff for export of Russian raw materials for its producers decreased to $45 per ton, and before that it was at the level of $47.5.

oil and gas budget revenues

There is an effect of Kudrin’s scissors, when the period of tax payment for oil workers is different in terms of time of receiving funds from the sale of raw materials. The cost of oil has a direct impact on budget revenues – the price drops and revenues go down. Moreover, not only oil sales will reduce revenues, but also mineral extraction tax, the formula of which also applies this price element. The share of MET is 73% of oil revenues, which means that the export duty in this case affects much less.
Analysts agree that the oil price will not reach $35 per barrel. There is now a trend in the market for higher prices, and there is every reason to believe that such sentiment will continue in the future. Experts note that the equilibrium price of oil is about $40-42 per barrel and it is not expected to exceed $50 per barrel. For comparison, in the fourth quarter of last year the Brent brand was bought for 47 dollars per barrel, and so far it remains at this level. Demand for energy is expected to increase and, with it, export rates, which will allow Russian oil companies to cover losses during the pandemic.

Tags: Analytics
0
Previous Post What is prop trading? Next Post Chemical industry giant: The Dow Chemical Company

You Might Also Like

IT sector
Analytics
Is the IT sector facing a crisis: analysts’ view
10.11.2021
Reasons for rising aluminium prices
Analytics
Otkritie Broker analysts: expect aluminium prices to rise in the long term
05.11.2021
US stock market
Analytics
Oksana Kholodenko, BCS World of Investments: the US stock market is at record highs
15.11.2021
rise in oil prices
Analytics
IEA: whether to expect oil prices to rise by 2040
04.04.2021
European currency
Analytics
Experts: European currency is not interesting for Russians
15.03.2021
Expert Chaslau Koniukh
Analytics
Financial expert Chaslau Koniukh: the stock market has a bullish trend 
03.06.2020

Recent Posts

  • 1inflation in the UK
    Inflation in the UK will decline: analysts’ forecasts
    03.06.2023
  • 2Mary Erdoes
    Mary Erdoes: the most powerful woman on Wall Street
    02.06.2023
  • 3Pilatus Aircraft
    Pilatus Aircraft: the history of the Swiss aircraft manufacturer
    01.06.2023
  • 4investment triangle to select a particular asset
    Investment triangle: how to choose the best asset for investment
    31.05.2023
  • 5Nissan and Renault
    Nissan and Renault invest $600 million in a joint venture
    30.05.2023

Popular Posts

  • Skolkovo analysts: the Russian energy market is suffering losses
  • Businessman Chuck Feeney: the man who gave the world Duty Free
  • Field of activity of the American Monsanto Company Corporation
  • Chaslau Koniukh on the analysts’ opinion on the key stake size change soon

Social media

Editor's Picks

Chaslau Koniukh
Analytics

American bankers from JPMorgan and Goldman Sachs advise to invest in gold: review by Chaslau Koniukh.

Spokesperson
17.08.2020
Expert Chaslau Koniukh
Analytics

Chaslau Koniukh on the analysts’ opinion on the key stake size change soon

Spokesperson
18.06.2020
expert Chaslau Koniukh
Analytics

Chaslau Koniukh: Internet trade market in Russia may reach 2.78 trillion rubles.

Spokesperson
30.05.2020
Will the U.S. oil shale industry be able to quickly recover from the crisis: A Review by Chaslau Koniukh
Analytics

Will the U.S. oil shale industry be able to quickly recover from the crisis: A Review by Chaslau Koniukh

Spokesperson
16.05.2020

Latest Posts

inflation in the UK
Inflation in the UK will decline: analysts’ forecasts
03.06.2023
Mary Erdoes
Mary Erdoes: the most powerful woman on Wall Street
02.06.2023
Pilatus Aircraft
Pilatus Aircraft: the history of the Swiss aircraft manufacturer
01.06.2023

Chaslau Koniukh

Expert Chaslau Koniukh

Chaslau Koniukh – an expert in marketing and project management, IT consulting, international investments, investor, financial analyst. A commodity trader, private consultant, entrepreneur, lecturer, author of several articles on the stock market.

Popular Posts

  • Skolkovo analysts: the Russian energy market is suffering losses
  • Businessman Chuck Feeney: the man who gave the world Duty Free
  • Field of activity of the American Monsanto Company Corporation
  • Chaslau Koniukh on the analysts’ opinion on the key stake size change soon
  • Mark Mobius: history of investor´s professional life
Expert Chaslau Koniukh
  • Facebook
  • Twitter
  • Instagram
  • Biography

Chaslau Koniukh – an expert in marketing and project management, international investments, financial analyst.

Social media

Menu

  • Biography
  • Companies and corporations
  • Global investment
  • Investors and Entrepreneurs
  • Economy
  • Market terminology
  • Stock Market
  • World exchanges
  • Tech and Marketing
  • Analytics