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Russia threatens to reduce oil supply if prices hover at lows
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Russian Vice Prime Minister Igor Sechin said in Oran, Algeriahere, Wednesday that Russia will cut its oil supply next year if the prices remain hovering at lows in the world market.

"If the oil continues to trade at lows, Russian oil companies will reduce their export volume," Sechin said at the extraordinary meeting of the Organization of Petroleum Exporting Countries (OPEC) in Algerian coastal city of Oran.

"Russia is considering reducing the supply volume by 16 million tons next year, which equals to 320,000 barrels per day," he said.

At the same time, the oil companies will reduce their investment in the oil industry which will further bring down the oil supply, he added.

Sechin did not confirm that if his country would cut oil output, nor did he expressed Russia's willingness to join the oil bloc during his speech.

The Russian delegation headed by Sechin and Energy Minister Sergei Shmatke arrived here Tuesday for attending the OPEC meeting as an observer, along with Norway, Mexico and Oman.

The largest non-OPEC exporter said on Dec. 11 that it is ready to coordinate its oil price policy with OPEC to stem the plunge in crude prices and may slash its output.

(Xinhua News Agency December 17, 2008)

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