Lukoil expects the average price of oil in 2016 at $ 50 per barrel
Lukoil expects the average price of oil at $ 50 a barrel in 2016, but does not exclude the worst-case scenario, company president Vagit Alekperov said at a meeting with shareholders.
"In 2015, we had to work in a two-fold drop in oil prices, we have developed scenarios of 40 and 30 dollars, they do not lose its relevance, although we expect that the average price will be $ 50 in 2016 per barrel, but we do not exclude the worst-case scenario, "- he said.
Alekperov said that "Lukoil" managed to triple the free cash flow in the last year - up to 248 billion rubles and in terms of net profit per employee the company occupies a leading position in Russia - 2.7 million rubles. Alekperov said that after the difficult conditions of the Tax Code has adopted a number of measures to improve operational and financial efficiency, optimizing general and administrative expenses. In particular, in some regions, Lukoil, was able to negotiate with contractors to reduce the cost of their services by 30-40%.
Alekperov also said that the company's debt load is relatively low. "We have managed to ensure stable funding for all expenses, including repayment of loans and payment of dividends," - he said.