News - https://www.rosneft.com/press/news https://www.rosneft.com/press/news ru-ru rss_generator Mon, 15 Jun 2026 17:44:09 +0300 /media/img/logo.png / <p>The Energy Panel was held within the framework of the XXIX St. Petersburg International Economic Forum</p> Sat, 06 Jun 2026 18:14:27 +0300 https://www.rosneft.com/press/news/item/224256/ <p>The Energy Panel was held within the framework of the XXIX St. Petersburg International Economic Forum. Executive Secretary of the Commission under the President of the Russian Federation for Strategic Development of the Fuel and Energy Sector and Environmental Security Igor Sechin presented the keynote report "The Beginning of the End or the End of the Beginning: What&rsquo;s left at the Bottom of Pandora's Box?".</p> <p>During the speech, a comprehensive analysis of the current situation in global energy markets and the global economy as a whole was presented, as well as a forecast for the development of the industry against the backdrop of growing systemic risks.</p> <p>The moderator of the discussion, renowned American journalist and RT TV channel host Rick Sanchez, noted that Igor Sechin's speeches at SPIEF are invariably distinguished by the depth of expert assessments, the boldness of forecasts, uncompromising nature, and unwavering reliance on fundamental analysis. <img style="margin: 5px; float: right;" src="/upload/site2/attach/0/08/pic_06062026_06.jpg" />According to him, Igor Ivanovich's reports rightfully become the subject of the closest attention from the international industry community, leading mass media, and a wide range of professionals on both sides of the Atlantic.</p> <p>PANDORA'S BOX IS OPENED</p> <p>Opening the Energy Panel, Sechin drew a parallel between the development of the global economy and the ancient Greek myth of Pandora's box, which brought disasters and suffering to humanity. According to him, the so-called "rules-based order," where "rules" were dictated by an unquestionable hegemon, has completely collapsed. "An attempt is in evidence to replace the global legal system with the legal system of one country," stated Sechin, noting that such international institutions as the UN, WTO, IMF, and the World Bank have turned into "zombies." At the same time, new leaders have come to the forefront: now the global economy is an absolute hostage to political decisions that are made in the interests of large corporations - mainly technological, military, and financial. It is they who have formed a closed circle of beneficiaries.</p> <p>"Along with such tools of influence as pandemics, disruption of supply chains, sanctions, embargoes, interference with internal affairs, political provocations, economic strangulation, hijacking of ships, blow-ups of pipelines, orchestration of coups d'&eacute;tat, etc., the use of armed forces has been added," told Sechin.</p> <p>He stated: " Pandora's Box opened and the troubles and misfortunes that escaped from it will not go back. The key question is what problems are still left at the bottom of Pandora&rsquo;s Box. What else do we have to face?".</p> <p>According to Igor Ivanovich, the rapid growth of sanctions pressure causes particular concern. The speaker announced that over the past 12 years, 32 thousand sanctions have been introduced against Russia, with the leadership belonging to the US (more than 7,400 restrictions). Russian foreign exchange reserves worth over 300 billion dollars were effectively confiscated and are being used to finance military actions against our country.</p> <p><img style="margin: 5px; float: left;" src="/upload/site2/attach/0/08/pic_06062026_01.jpg" />Sanctions pressure has become the norm and turned into an instrument of coercion. Sechin recalled how back in 2007 in his famous Munich speech, the President of Russia warned: "Independent legal norms are, as a matter of fact, coming increasingly closer to one state&rsquo;s legal system. One state and, of course, first and foremost the United States, has overstepped its national borders in every way. This is visible in the economic, political, cultural and educational policies it imposes on other nations."</p> <p>THE WORLD ON THE VERGE OF A FOOD CRISIS</p> <p>Significant attention in the report was paid to the consequences of the conflict in the Middle East. The blockade of the Strait of Hormuz, in addition to oil and gas, created serious risks for the export of other goods, for example, fertilizers. In just the first four months of 2026, prices for fertilizers soared by almost 60%, which will inevitably lead to a jump in food prices in the next six months. The most vulnerable turned out to be India, the countries of Africa, and Southeast Asia.</p> <p>Igor Sechin also warned that other "bottlenecks" of global logistics may also be under threat &mdash; the Straits of Malacca, Bab-el-Mandeb, and Gibraltar, the Suez and Panama canals. Under these conditions, the Arctic acquires special significance: the Northern Sea Route allows for reducing cargo delivery times by one and a half to two times and lowering costs by 20-30%.</p> <p>GROWTH OF FICTITIOUS CAPITAL</p> <p>The global economy has entered a zone not just of volatility, but of strategic risks. Problems are snowballing. The Head of Rosneft drew attention to the hypertrophied growth of fictitious capital, the volume of which exceeded 500 trillion dollars &mdash; almost five times more than global GDP. Global debt has effectively doubled over the past 15 years. According to the estimate of the International Monetary Fund, by the end of the current year, the total national debt of Japan will reach almost 205% of GDP, the US &ndash; almost 130%, France &ndash; 120%, the UK &ndash; 105%. This phenomenon has not bypassed our financial system either - in Russia, this indicator is already approaching 100% of GDP, noted Sechin.</p> <p>The debt of most countries today is not backed by real financial assets, believes Igor Sechin. Even the physical gold located in US vaults (and this is more than 14 thousand tons) covers only five percent of the 39 trillion dollars of American debt. At the same time, a significant part of the gold stored in America does not belong to it &ndash; more than 40% of these reserves were transferred from other countries for safekeeping.</p> <p>The situation is worsened by the use of the dollar as a sanctions instrument. Sechin believes that if this continues, the process of creating alternatives will accelerate. "The growth of the US government debt and budget deficit, the weakening of the dollar have already led to significant changes in the reserves of global central banks. For the first time since 1996, the share of gold in their reserves has approached 30%, exceeding the share of US Treasury bonds," he told. " I should note that the share of gold in the Bank of Russia's reserves is growing at an accelerated pace: over the past four years, it has increased from 21% to 45%. However, if this process had begun earlier, Russia would have been able to profit from the rise in gold prices by over $400 billion and would have preserved a significant portion of its reserves," emphasized Igor Sechin.</p> <p>Due to sanctions, payment instruments are diversifying. "Over the past five years, the scope of transactions conducted through China's Cross-Border Interbank Payment System has more than tripled, reaching nearly one trillion yuan per day.&nbsp; The Hormuz crisis significantly accelerated this process," noted the speaker.</p> <p>MILITARIZATION OF THE WORLD</p> <p><img style="margin: 5px; float: right;" src="/upload/site2/attach/0/08/pic_06062026_07.jpg" />A separate place in the report Sechin devoted to the problem of the militarization of the world. According to him, global military spending has been continuously growing over the past 11 years. In Europe, Germany stands out, whose military spending over the past three years has doubled &ndash; to 114 billion dollars. He stated that Germany has begun transitioning its economy to a war footing.</p> <p>"Berlin&rsquo;s bid to host the 2036 Olympics became the peak of cynicism. Apparently, there is a desire to celebrate the centenary of the previous Berlin Olympics, conceived as a large-scale propaganda project to showcase the achievements of the Hitler regime," ironizes Igor Sechin. According to him, a simple chain has formed: political pressure leads to an increase in budget expenditures, which push up the market capitalization of a tightly intertwined triad: respectively, the military-industrial complex, high-tech corporations, and the financial sector. "It is this triad that draws a significant share of global investment resources," believes the speaker.</p> <p>HIGH-TECH BUBBLE</p> <p>Along with the military-industrial complex, the technology sector also attracts massive investments, told Sechin. This year alone, the four largest technology companies will direct about 700 billion towards the development of computing capacity.</p> <p>"Today, artificial intelligence-related companies are actually consuming a significant portion of investment resources, to the detriment of the rest of the economy. The share of capital expenditures of the American tech sector in total investment has already reached a record 35%. Just 15 years ago, it was measured in a few percent," told Sechin.</p> <p>" Clearly, the world is on the brink of the largest financial market bubble in history since the US railroad boom of the 19th century," stated Igor Sechin.</p> <p>At the same time, the main generator and beneficiary of the approaching crisis is the financial sector of Western countries, which only yesterday was promoting a completely different - "green" - agenda: Blackrock, Vanguard, State Street. "The circle has closed," added Sechin. Significant growth in labor productivity is expected from artificial intelligence, but the numbers demonstrate a different situation. As Sechin told, about 70% of companies worldwide actively use artificial intelligence in their work. However, in 90% of cases over the past three years, the application of these technologies has had no effect on labor productivity.</p> <p>He recalled that this phenomenon was described 40 years ago by Nobel laureate in economics Robert Solow. His statement reads, &ldquo;you can see the computer age everywhere except in productivity statistics." The Solow paradox is that in the US in the seventies and eighties of the last century, labor productivity growth slowed by two percentage points, to 1%, despite a nearly 100-fold increase in computing power.</p> <p>New technologies form a transition to a new socio-economic order - we are talking about fundamental changes in the development of the entire society, when robots replace people. "Demographics and a human being as a personality could lose their significance in the face of an army of machines if we just passively watch. We must clearly understand what kind of genie we're letting out of the lamp," warned Sechin.</p> <p>He noted that religious authorities are already talking about the risks associated with artificial intelligence. In particular, it was exactly this topic that the first encyclical " Magnifica humanitas" by Pope Leo XIV was dedicated to, literally calling that "AI must serve humanity not concentrate power"</p> <p>ENERGY TRANSITION AND RESOURCE DEFICIT</p> <p><img style="margin: 5px; float: left;" src="/upload/site2/attach/0/08/pic_06062026_05.jpg" />Illusions of an accelerated energy transition have led to the underfunding of the industry: over the past 10 years, investments in fossil fuels have decreased by more than 20%. At the same time, a new energy market model "from molecules to electrons" is forming, the key element of which is data centers. According to forecasts, in the next five years, global demand for data center capacity could nearly triple &mdash; up to 220 gigawatts.</p> <p>By 2035, global electricity demand will increase by almost 40%. Already today, data centers consume about 500 terawatt-hours per year, which exceeds the total electricity consumption of France. At the same time, the unbalanced development of "green" energy has led to an increase in electricity prices: in the US over the past 5 years &mdash; by more than 30%, in Europe &mdash; by 35-45%.</p> <p>Power grids remain the key constraint: the need for their expansion and modernization will reach 60 million kilometers by 2035. Total investments in power grids in the next 25 years could amount to almost 16 trillion dollars.</p> <p>Metals are also critically important for the development of a new type of energy system. Copper &ndash; the key metal of the "new" economy &ndash; is of particular importance. According to forecasts, copper consumption in power grids could grow by 65% by 2040 and exceed seven million tons, which is equal to a quarter of all consumption of this metal at the moment. At the same time, in the next 20 years, it will be necessary to mine a volume of copper comparable to production over the previous ten thousand years.</p> <p>Access to water is becoming an additional constraint: in the US, a 100-megawatt data center requires about two million liters of water per day. "This is equal to the consumption of 6,500 households. By 2030 water consumption by data centers could nearly double," told Igor Sechin.</p> <p>CHINA: AN EXAMPLE OF A BALANCED APPROACH</p> <p>A separate place in the report was devoted to the experience of China. " In recent decades, China demonstrated not only economic success but also remarkable science and technology advances, enabling it to become a global energy power," stated Sechin.</p> <p>Moreover, China turned out to be the most prepared for the Hormuz crisis and the rise in fuel prices - thanks to its balanced approach to ensuring energy security.</p> <p>China has created cheap urban and intercity transport infrastructure for the domestic consumer. Sechin noted that after the blockade of the Strait of Hormuz, this allowed motor fuel consumers to painlessly use available alternatives, such as electric cars, electric buses, gas trucks, the subway, electric trains, and electric taxis.</p> <p>In addition, China has a tangible competitive advantage in electricity prices: it is about 9 cents per kilowatt-hour for industry (72% lower than in Germany, and 59% lower than in France) and about 7 cents per kilowatt-hour for the population (58% lower than in the US). " Only Russia stands at a similar level," added Igor Sechin.</p> <p>Over 10 years, solar and wind energy generation in China has grown 10 times &mdash; to 2,300 terawatt-hours (22% of the country's energy balance). At the same time, the country continues the construction of thermal power plants: last year alone, 78 gigawatts of coal generation were put into operation. China is also implementing the largest program for the development of nuclear generation: 39 reactors are being built &mdash; more than half of all nuclear power plants under construction in the world. Energy storage plays an important role in ensuring the flexibility of the energy system - China also leads in this sector. In parallel, China leads in investments in power grids, investing about 100 billion dollars in this sector.</p> <p>INDIA AS A DRIVER OF DEMAND GROWTH</p> <p><img style="margin: 5px; float: right;" src="/upload/site2/attach/0/08/pic_06062026_04.jpg" />In his report, Sechin also separately highlighted India. "Today, India's economy is one of the key drivers of global energy consumption growth. According to the International Energy Agency&rsquo;s projections, over the next 10 years, this country will account for about 15% of the global increase in electricity demand. By 2035, consumption in India is expected to grow by 80% to nearly 3,000 terawatt-hours, making it nearly equal to that of the European Union," he told.</p> <p>A special place, according to Sechin, is also occupied by India in the oil market: "over the next 10 years, the country will account for approximately half of global oil demand growth." According to the estimate of the International Energy Agency, by 2035 oil consumption in India will reach nearly eight million barrels per day. This is a growth of 44%, while global demand will grow by only 5%.</p> <p>OPEC+: LOST POTENTIAL</p> <p>Special attention in the report was paid to the situation in OPEC+, which, according to Igor Sechin's assessment, has undergone significant changes. With the exit of the United Arab Emirates, and prior to that Qatar, Ecuador, and Angola, " OPEC+ has lost part of its potential." Over the past ten years, OPEC+ production has decreased from 58 to 37 million barrels per day.</p> <p>As the head of Rosneft noted, if we take into account that Iran, Venezuela, and Libya initially did not participate in the production restrictions, and Iraq and Kazakhstan significantly exceed the established quotas, then the production of the alliance member countries that comply with the restrictions actually amounts to 27 million barrels per day &mdash; less than a third of global production.</p> <p>At the same time, Russia, having taken upon itself obligations to limit production, strictly fulfilled them and fully contributed to solving the alliance's tasks. However, the Russian oil industry has all this time been under sanctions that deprived the country of advantages that other participants received. As Igor Sechin emphasized, most major OPEC+ participants increased production during the period of the agreement. In Russia, however, over the period of restrictions, oil production decreased by 1.5 million barrels per day &mdash; a drop of 15%, which will have to be compensated for by necessary investments in the amount of at least 10 trillion rubles.</p> <p>Particular concern, according to the speaker, is caused by the fact that, despite the support received by major participants in the alliance, their investment cooperation with Russia has not been developed.</p> <p>RUSSIA &mdash; GUARANTOR OF GLOBAL ENERGY SECURITY</p> <p>Igor Sechin emphasized that Russia cannot be excluded from global supply chains. Our country possesses the world's largest oil and gas reserves in the amount of about 60 billion tons of oil equivalent (14% of global reserves). Russian oil supplies bring a tangible economic effect to partners: since April 2022, its combined value for China and India has exceeded 40 billion dollars.</p> <p>At the same time, the Russian oil and gas industry is affected not only by external restrictions but also by unfavorable macroeconomic conditions. The current level of interest rates leads to a significant increase in debt servicing costs, and the strengthening of the national currency, according to calculations by the Russian Academy of Sciences, led to losses of the federal budget of more than two trillion rubles last year alone.</p> <p>WHAT&rsquo;S LEFT AT THE BOTTOM OF PANDORA'S BOX?</p> <p><img style="margin: 5px; float: left;" src="/upload/site2/attach/0/08/pic_06062026_02.jpg" />Concluding the report, Igor Sechin answered the key question of his speech: at the bottom of Pandora's box, humanity will inevitably discover a global shortage of electricity, a shortage of food, a shortage of copper and other metals, and a water shortage. It is these challenges that will determine the new face of the global economy.</p> <p>" Those that are best prepared for this will survive. This will be, in essence, "the end of the beginning", when empty hopes, illusions and salvatory chimeras will disappear forever," noted the head of Rosneft. "The real end of the systemic crisis and the formation of a new normality are still very far away. Not everyone will see it come."</p> <p><a href="/upload/site2/attach/0/10/29/pdf_06062026_01_en.pdf">REPORT OF EXECUTIVE SECRETARY OF THE RUSSIAN FEDERATION PRESIDENTIAL COMMISSION FOR STRATEGIC DEVELOPMENT OF THE FUEL AND ENERGY SECTOR AND ENVIRONMENTAL SECURITY I.I. SECHIN AT THE SPIEF ENERGY PANEL</a></p> <p><a href="/upload/site2/attach/0/10/29/presentation_06062026_01_en.pdf">PRESENTATION TO THE REPORT OF I.I. SECHIN AT THE SPIEF ENERGY PANEL</a></p> <p align="right"><strong>Department of Information and Advertising<br />Rosneft Oil Company<br />June 6, 2026</strong></p> <p>The Energy Panel, organized within the framework of SPIEF-2026, concluded with the traditional forecast of oil prices for the coming year from its participants</p> Sat, 06 Jun 2026 14:19:48 +0300 https://www.rosneft.com/press/news/item/224238/ <p>The Energy Panel, organized within the framework of SPIEF-2026, concluded with the traditional forecast of oil prices for the coming year from its participants. This year, the forecast was presented by Igor Sechin, Minister of Energy of the Republic of Uzbekistan Jurabek Mirzamahmudov, former head of the International Energy Agency (IEA) Nobuo Tanaka, and President of the TOFS Group of Companies David Gadzhimirzaev.</p> <p>According to Sechin, the determining factor for the medium-term dynamics of the market is the current situation in the Strait of Hormuz. "If you tell me exactly how long the crisis in the Strait of Hormuz will last, then it will be easier for us to determine the level of impact of the dropout of 16 million barrels per day on the price," he stated.</p> <p>In his opinion, "if the lifting of restrictions (associated with the conflict in the Strait of Hormuz - ed.) happens now, then, perhaps, by the end of the year the average price will reach the level of 95 and 96 dollars per barrel."</p> <p>"It will take about six months to restore positive dynamics. And then in a year we will observe about 80-85 dollars per barrel. Because restoring supplies alone requires significant time and investments. Thus, by the second half of 2027, it will probably be possible to talk about a return to the fundamental indicators of the market. It seems to me this will be a more objective approach to pricing issues," said Igor Sechin.</p> <p>At the same time, he also voiced expectations under another scenario of events &ndash; in case if new sanctions are yet again imposed on Russian oil. "If 7 million of Russian oil exports are added to the 16 million barrels of already restricted volume, then another 100 dollars will be added to the level of 150-160," stated Sechin.</p> <p>However, the authors of the new sanctions proposals must understand, believes Igor Ivanovich, that out of the specified volume of 7 million barrels, Russia will nevertheless retain a significant part of the exports.</p> <p>"And their plan is unlikely to be implemented the way they would like. The increased price level will compensate for the shortfall of sanctioned volumes. Therefore, one probably shouldn't step on a rake here, because it can cause you damage," said Sechin.</p> <p>"There are a lot of risks. And given that political decisions are beginning to shape fundamental indicators - anything is possible. But we are ready for this. And I think that we will compensate for a significant part of those restrictions that may be introduced. At the same time, what will be the cost of petroleum products at gas stations in California? That also remains to be seen," he summarized, answering to the question.</p> <p>In turn, the former head of the IEA and recognized energy expert Nobuo Tanaka believes that due to a lack of supply, the price of oil in the coming months will most likely be very high. "And I think that it could reach a historical level - more than 170 dollars per barrel, and even higher, before it starts to decline. This is a very, very serious situation. And I believe that Russia will become a very important player in the context of increasing supply," noted Mr. Tanaka.</p> <p>Minister of Energy of Uzbekistan Jurabek Mirzamahmudov in his answer noted the necessity of forming a stable and predictable price. Answering the corresponding question, he did not rule out a return of quotes in the future to the level of 60 dollars per barrel. David Gadzhimirzaev also noted the difficulty in forecasting exact figures. According to him, the world's largest banks, based on the Middle East crisis, predict a variation from 78 to 90 dollars per barrel, and taking into account absence of&nbsp;various shocks, the forecast is 60&ndash;70 dollars. At the same time, he emphasized that the price should not fall below 60 dollars per barrel.</p> <p align="right"><strong>Department of Information and Advertising<br />Rosneft Oil Company<br />June 6, 2026</strong></p> <p>Leading industry experts, politicians, and heads of major international energy companies discussed the current challenges and prospects for the development of the global energy market at the Energy Panel of the XXIX St. Petersburg International Economic Forum</p> Sat, 06 Jun 2026 14:15:36 +0300 https://www.rosneft.com/press/news/item/224237/ <p>Leading industry experts, politicians, and heads of major international energy companies discussed the current challenges and prospects for the development of the global energy market at the Energy Panel of the XXIX St. Petersburg International Economic Forum.</p> <p>The discussion took place after the keynote report by Igor Sechin, Executive Secretary of the Commission under the President of Russia for Strategic Development of the Fuel and Energy Sector and Environmental Security, titled "The Beginning of the End or the End of the Beginning: What&rsquo;s left at the Bottom of Pandora's Box?".</p> <p>The speakers highly appreciated the presented analysis: the report was called brilliant, deep, and uncompromising, and its informativeness and comprehensive nature were noted. The discussion participants repeatedly referred to the theses and facts presented in the report, using them as a basis for their own speeches and further discussion.</p> <p>The event was attended by Ricardo Men&eacute;ndez, Vice President for Planning of the Bolivarian Republic of Venezuela; Karim Badawi, Minister of Petroleum and Mineral Resources of the Arab Republic of Egypt; Jurabek Mirzamahmudov, Minister of Energy of the Republic of Uzbekistan; Nobuo Tanaka, longtime Head of the International Energy Agency; David Gadzhimirzaev, President of the TOFS Group of Companies; as well as representative delegations from China, India, and other countries.</p> <p>ENERGY SECURITY REQUIRES COLLECTIVE ACTION&nbsp;</p> <p>Speaking to the discussion participants, Ricardo Men&eacute;ndez, Vice President for Planning of the Bolivarian Republic of Venezuela, stated that respect is of paramount importance for the development of the energy industry and the formation of balance in the world. He noted that Venezuela is facing not just sanctions, but serious aggression, which caused a dramatic drop in hydrocarbon production in the country and, as a consequence, a decrease in revenues</p> <p>"From 56 billion in revenues from the oil industry, we went to 700. That is, we lost 99% of oil revenues. This places the country before a very difficult choice. We need to ensure the social protection of the population, maintain logistical links, and social services," emphasized Men&eacute;ndez.</p> <p>Venezuela, according to him, is developing a new plan for reforming the government structure based on democratic principles. "Technology, productive diversification, and sovereignty are the keys to the transformative processes that are currently taking place on the territory of our country," the Vice President added.</p> <p>As noted in Igor Sechin's report, sanctions pressure in the world has become the norm, and trade barriers have ceased to be an exceptional measure. Over the past four years, the application of restrictions has grown manifold, and the volume of global commodity imports subject to various restrictions has reached almost three trillion dollars.</p> <p>THE HORMUZ CRISIS IS A HISTORICAL SHOCK</p> <p>Nobuo Tanaka, longtime Head of the International Energy Agency, called the blockade of the Strait of Hormuz the "fourth oil shock," the consequences of which are much more serious than all previous ones.</p> <p>"2 billion barrels pass through there. Compensating for these volumes by releasing strategic reserves is simply impossible. These consequences are much higher than the previous oil shocks we have faced before. This is a historically large-scale shock," stated Tanaka.</p> <p>He emphasized that no single country can achieve energy security alone&mdash;it must be of a collective nature. At the same time, according to the expert, all countries today are trying to diversify energy sources so as not to be limited to the Middle East.</p> <p>"Many in Asia have now turned to Russian oil. Russia in this context is a very stable and reliable partner and supplier of energy resources," noted Tanaka, expressing hope that Russia and the IEA will play an important role in stabilizing the oil market.</p> <p>In his report, Igor Sechin dwelled in detail on the consequences of the Hormuz crisis, noting that the blockade of the strait became an attempt to change the regulation of the global energy market in the interests of the US, but it hit the entire world. Western countries are experiencing a double price shock: electricity has been joined by the rising cost of motor fuel, prices for which in the US have grown by more than 50%, and in Europe&mdash;exceeded 20%.</p> <p>NUCLEAR ENERGY AND REGIONAL COOPERATION</p> <p>Minister of Energy of the Republic of Uzbekistan Jurabek Mirzamahmudov noted that Russia is a strategic partner of his country. Cooperation is carried out both in the field of supplying oil and gas raw materials and petroleum products, and in the field of personnel training&mdash;12 branches of leading Russian technical universities operate in Uzbekistan.</p> <p>"You noted the development of nuclear energy for the long term. Being fifth in the world in uranium mining, it would be a sin (for Uzbekistan - ed.) not to use this resource," noted the Minister, addressing Igor Sechin. He added that coal will also remain part of the country's energy balance, however, it will replace old blocks with more modern and environmentally friendly ones.</p> <p>Special attention, according to Mirzamahmudov, must be paid to the development of power grids. "Absolutely, without them the integration of renewable energy and capacity balancing is impossible," he emphasized, also noting the importance of regional interaction within the framework of the unified energy ring of Central Asia.</p> <p>Igor Sechin emphasized in his report that power grids and energy storage remain the key constraint on the development of the energy system. The need to expand and modernize networks will reach 60 million kilometers by 2035, and total investments in power grids in the next 25 years could amount to almost 16 trillion dollars.</p> <p>EGYPT AS A REGIONAL HUB</p> <p>Minister of Petroleum and Mineral Resources of the Arab Republic of Egypt Karim Badawi thanked Igor Sechin for the invitation to the Energy Panel and noted the strong partnership relations between Egypt and Russia, which have lasted for many decades.</p> <p>"Egypt today is not going to compete with Russia in terms of gas production volume. However, Egypt would like to concentrate its efforts on acting as a regional hub &lt;...&gt; to extract the maximum effect from Egypt's geographical location," stated Badawi.</p> <p>He emphasized that Egypt strives for a balance between the use of natural gas and renewable energy sources, which should provide about 42% in the country's energy mix by 2030. "Egypt understands that it cannot cope alone, because the requirements in the field of energy are extremely large. We need to establish partnerships with other countries, the private sector, and technology companies," the Minister summarized.</p> <p>In his report, Igor Sechin noted that the Hormuz crisis created risks not only for the oil and gas market, but also for the global food complex. Supply disruptions of fertilizers, a significant volume of whose exports passes through the strait, increase the risk of a global food crisis. Prices for fertilizers soared by almost 60% in the first four months of the year, which will inevitably lead to a jump in food prices.</p> <p>TECHNOLOGICAL SOVEREIGNTY AND INVESTMENTS</p> <p>President of the TOFS Group of Companies David Gadzhimirzaev, speaking at the panel, noted that Russia is successfully responding to current challenges in drilling and production.</p> <p>"In Russia, 90% of all oilfield service&nbsp;producing companies are domestic. In the world&mdash;only 20% are local companies. If we compare 2022 and 2025 in terms of technology localization, in 2022 localization was 35%. To date, localization exceeds 70%," stated Gadzhimirzaev.</p> <p>He emphasized that compared to last year, the level of production drilling fell by 3%, but horizontal drilling grew by 4%. "This suggests that the country has learned to drill complex wells, extended wells, and for this we have all the technologies in our country," he emphasized.</p> <p>Speaking about long-term investments in R&amp;D, Gadzhimirzaev noted a chronic shortage of funds in this area. "This is a very complex element that requires support not only from the oilfield service, science, and the subsoil user, but also huge support from the state," he said.</p> <p>Igor Sechin in his report also drew attention to the problem of underfunding of the industry. Over the past 10 years, investments in fossil fuels have decreased by more than 20%, with the bulk of the drop falling on the oil sector, where capital expenditures fell by 35%. This decline is part of a broader trend of reducing investments in industrial production.</p> <p>The topic of the lack of funding was covered in detail in Igor Sechin's report. He noted that the Russian oil and gas industry is negatively affected not only by external restrictions but also by unfavorable macroeconomic conditions: the current level of interest rates leads to a significant increase in debt servicing costs, worsening the financial stability of companies; the inexplicable mechanism of forming the ruble exchange rate reduces the revenues of exporters and the federal budget&mdash;according to calculations by the Russian Academy of Sciences, budget losses from the strengthening of the national currency last year alone exceeded 2 trillion rubles; in addition, pressure on the industry is exerted by the growth of natural monopoly tariffs outstripping inflation.</p> <p align="right"><strong>Department of Information and Advertising<br />Rosneft Oil Company<br />June 6, 2026</strong></p> <p>Igor Sechin, Executive Secretary of the Commission under the President of the Russian Federation for Strategic Development of the Fuel and Energy Sector and Environmental Security, concluding his speech at the Energy Panel during the XXIX St. Petersburg International Economic Forum, noted that the formation of the global economy will be significantly affected by the lack of critical natural resources</p> Sat, 06 Jun 2026 12:01:00 +0300 https://www.rosneft.com/press/news/item/224253/ <p>Igor Sechin, Executive Secretary of the Commission under the President of the Russian Federation for Strategic Development of the Fuel and Energy Sector and Environmental Security, concluding his speech at the Energy Panel during the XXIX St. Petersburg International Economic Forum, noted that the formation of the global economy will be significantly affected by the lack of critical natural resources.</p> <p>"So, what is left under the lid at the bottom of Pandora's Box? According to Hesiod, it is hope. And in a more accurate translation of this myth, it's empty hopes and vain expectations," Sechin said, continuing the comparison of the global economy with the ancient Greek myth.</p> <p>" In our case, at the bottom of the box we will inevitably discover a global energy shortage, deficit of food, copper and other metals, shortage of water, which will determine the new face of the global economy. Is everyone ready to face new threats?" he said.</p> <p>The one who is better prepared for this than others will survive. " This will be, in essence, "the end of the beginning", when empty hopes, illusions and salvatory chimeras will disappear forever," the Executive Secretary of the Presidential Commission on the Fuel and Energy Complex believes.&nbsp;</p> <p>At the same time, Igor Sechin quoted the poet and philosopher Stanislaw Jerzy Lec: "Eternity is a temporary solution until the beginning and the end are determined."</p> <p>" The real end of the systemic crisis and the formation of a new normality are still very far away. Not everyone will see it come.Nevertheless, as Ecclesiastes reads: &lsquo;The end of a matter is better than its beginning, and patience is better than pride'," Igor Sechin concluded his report "The Beginning of the End or the End of the Beginning: What&rsquo;s left at the Bottom of Pandora's Box?"</p> <p align="right"><strong>Department of Information and Advertising<br />Rosneft Oil Company<br />June 6, 2026</strong></p> <p>The oil sector remains the key donor of the Russian economy, stated Igor Sechin, Executive Secretary of the Commission under the President of the Russian Federation for Strategic Development of the Fuel and Energy Sector and Environmental Security, speaking with a keynote report at the Energy Panel during SPIEF-2026</p> Sat, 06 Jun 2026 12:00:00 +0300 https://www.rosneft.com/press/news/item/224252/ <p>The oil sector remains the key donor of the Russian economy, stated Igor Sechin, Executive Secretary of the Commission under the President of the Russian Federation for Strategic Development of the Fuel and Energy Sector and Environmental Security, speaking with a keynote report at the Energy Panel during SPIEF-2026.</p> <p>"The oil sector remains a key donor to the Russian economy: it generates about 40% of all export revenue and creates a significant multiplier effect, ensuring demand for products from other industries," he shared.</p> <p>In confirmation, Sechin provided following data: last year, the total tax revenues of the oil and gas complex and related industries amounted to about 17 trillion rubles &ndash; almost a quarter of the consolidated budget revenues.</p> <p>At the same time, Igor Sechin noted that the Russian oil and gas industry is affected not only by external restrictions but also by unfavorable macroeconomic conditions. " The current level of interest rates leads to a significant increase in debt servicing costs, which worsens financial stability," the Executive Secretary of the Commission on the Fuel and Energy Complex said. "The inexplicable mechanism for setting the ruble exchange rate reduced the incomes of exporters and the Russian budget. According to calculations of the Russian Academy of Sciences, the federal budget's losses from the strengthening of the national currency last year alone amounted to two trillion rubles," Igor Sechin stated.</p> <p>In his opinion, pressure on the industry is also exerted by the growth of natural monopoly tariffs outstripping inflation, which increases pro-inflationary risks and limits the development of the real economy.</p> <p>"Reasonable solutions of these issues will bolster the economy and quickly yield results which our country so desperately needs," Igor Sechin concluded.</p> <p align="right"><strong>Department of Information and Advertising<br />Rosneft Oil Company<br />June 6, 2026</strong></p> <p>Igor Sechin, Executive Secretary of the Commission under the President of the Russian Federation for Strategic Development of the Fuel and Energy Sector and Environmental Security, believes that today Russia is the guarantor of global energy security and the country cannot be excluded from global supply chains</p> Sat, 06 Jun 2026 11:59:00 +0300 https://www.rosneft.com/press/news/item/224251/ <p>Igor Sechin, Executive Secretary of the Commission under the President of the Russian Federation for Strategic Development of the Fuel and Energy Sector and Environmental Security, believes that today Russia is the guarantor of global energy security and the country cannot be excluded from global supply chains.</p> <p>"Our country has the world's largest oil and gas reserves, amounting to approximately 60 billion tons of oil equivalent , or 14% of global reserves. Our country ranks fifth in the world in terms of coal reserves," he stated, speaking with a keynote report at the Energy Panel during the XXIX St. Petersburg International Economic Forum.</p> <p>Russia cannot be excluded from global supply chains.</p> <p>"Against the backdrop of recent developments in the global oil industry, Russia's economic partnership with China and India guarantees stable supplies to both countries. Russian oil supplies bring tangible economic benefits to our partners. Since April 2022, its combined value for China and India has exceeded 40 billion dollars," Sechin emphasized.</p> <p align="right"><strong>Department of Information and Advertising<br />Rosneft Oil Company<br />June 6, 2026</strong></p> <p>Maintaining tension in the Strait of Hormuz over a long period undermines the long-term demand for oil, stated Igor Sechin, Executive Secretary of the Commission under the President of the Russian Federation for Strategic Development of the Fuel and Energy Sector and Environmental Security, speaking with a keynote report at the Energy Panel during SPIEF-2026</p> Sat, 06 Jun 2026 11:58:00 +0300 https://www.rosneft.com/press/news/item/224250/ <p>Maintaining tension in the Strait of Hormuz over a long period undermines the long-term demand for oil, stated Igor Sechin, Executive Secretary of the Commission under the President of the Russian Federation for Strategic Development of the Fuel and Energy Sector and Environmental Security, speaking with a keynote report at the Energy Panel during SPIEF-2026. In his opinion, the main beneficiary of the Hormuz crisis, undoubtedly, became American companies, which received non-competitive advantages and the opportunity to organize supplies at a high price. "American hydrocarbon exports are breaking all records," Sechin noted. According to Rystad Energy's estimate, if oil prices remain at around 100 dollars per barrel, American oil and gas companies could receive more than 60 billion dollars of additional profit this year. And additional tax revenues from the industry, according to expert estimates, could amount to about 80 billion dollars.</p> <p>"But how long will this abundance last? Clearly, continued tensions in the Strait of Hormuz will undermine long-term demand for oil. It could also trigger a renewed surge of interest in alternative energy," stated Igor Sechin.</p> <p>According to the Executive Secretary of the Presidential Commission on the Fuel and Energy Complex, sources of oil production growth in the world are limited, and in recent years, production growth in American shale is slowing down. "Oil production in Venezuela requires significant investments. Recently the authorities of this country have obligated foreign companies to arrange their own power generation due to a significant shortage of energy capacity in the country," said Sechin.</p> <p>"Seeking to get control over the global energy market, the US is attempting to change global regulations, a move that even its closest allies are resisting," noted Igor Sechin.</p> <p>He believes that the lessons of Hormuz must be carefully analyzed, and a system of protection needs to be built.</p> <p align="right"><strong>Department of Information and Advertising<br />Rosneft Oil Company<br />June 6, 2026</strong></p> <p>he OPEC+ organization has lost part of its potential following the exit of a number of its participants, stated Igor Sechin, Executive Secretary of the Commission under the President of the Russian Federation for Strategic Development of the Fuel and Energy Sector and Environmental Security, at the Energy Panel during SPIEF-2026</p> Sat, 06 Jun 2026 11:57:00 +0300 https://www.rosneft.com/press/news/item/224249/ <p>he OPEC+ organization has lost part of its potential following the exit of a number of its participants, stated Igor Sechin, Executive Secretary of the Commission under the President of the Russian Federation for Strategic Development of the Fuel and Energy Sector and Environmental Security, at the Energy Panel during SPIEF-2026.</p> <p>"Objective analysis of the oil market situation shows that with the exit of the United Arab Emirates, and previously Qatar, Ecuador, and Angola, OPEC+ has lost part of its potential. As a result, over the last 10 years the Alliance's production has dropped from 58 down to 37 million barrels per day," he shared.</p> <p>At the same time, OPEC+ members Iran, Venezuela, and Libya are not subject to production restrictions. "Considering that Iran, Venezuela, and Libya were not initially subject to production cuts, and that Iraq and Kazakhstan significantly exceed their established quotas, the output of the alliance's member countries that comply with the caps actually amounts to 27 million barrels per day, which is less than a third of global production," Igor Sechin noted.</p> <p>Nevertheless, Russia has strictly fulfilled its assumed obligations to limit production and fully contributed to achieving the alliance's tasks &mdash; despite the fact that all this time it has been under sanctions, which have deprived the country of advantages. " In Russia during the same period of restrictions, oil production has fallen by 1.5 million barrels per day. It is a 15% decline, which will have to be offset by required investments of at least ten trillion rubles," Igor Sechin stated.</p> <p>He also observed that despite the support from the Russian Federation received by major participants in the alliance, their investment cooperation with our country has not been developed.</p> <p align="right"><strong>Department of Information and Advertising<br />Rosneft Oil Company<br />June 6, 2026</strong></p> <p>The blockade of the Strait of Hormuz is an attempt to change the regulation of the global energy market in the interests of the US, stated Igor Sechin, Executive Secretary of the Commission under the President of the Russian Federation for Strategic Development of the Fuel and Energy Sector and Environmental Security</p> Sat, 06 Jun 2026 11:56:00 +0300 https://www.rosneft.com/press/news/item/224248/ <p>The blockade of the Strait of Hormuz is an attempt to change the regulation of the global energy market in the interests of the US, stated Igor Sechin, Executive Secretary of the Commission under the President of the Russian Federation for Strategic Development of the Fuel and Energy Sector and Environmental Security.</p> <p>"The closure of the Strait of Hormuz is an attempt to reshape the regulation of the global energy market to benefit the United States. The measures undertaken to block the strait were aimed against Iran, but they backfired against the whole world. The strategic risks were underestimated," he said at the SPIEF-2026 Energy Panel.&nbsp;</p> <p>"As a result, the suffering is on consumers," emphasized Igor Sechin. " Western countries are experiencing a double price shock: besides electricity now it&rsquo;s for motor fuel as well. Fuel prices in the United States have increased by more than 50%, and in Europe the price growth has exceeded 20%.," Sechin stated.</p> <p>"According to experts, since the beginning of the conflict, the additional costs for American consumers on motor fuel have exceeded 40 billion US dollars. This figure is more than double the cost of the entire US transport electrification program. This is something worth considering for those advocating for sanctions against the Russian oil industry," summarized Sechin.</p> <p align="right"><strong>Department of Information and Advertising<br />Rosneft Oil Company<br />June 6, 2026</strong></p> <p>One of the most promising new energy sources are hydrogen storage systems</p> Sat, 06 Jun 2026 11:55:00 +0300 https://www.rosneft.com/press/news/item/224247/ <p>One of the most promising new energy sources are hydrogen storage systems. This was stated in report "The Beginning of the End or the End of the Beginning: What&rsquo;s left at the Bottom of Pandora's Box?" by Igor Sechin, Executive Secretary of the Commission under the President of the Russian Federation for Strategic Development of the Fuel and Energy Sector and Environmental Security, at the Energy Panel of the XXIX St. Petersburg International Economic Forum.</p> <p>"In our estimates, hydrogen could eventually occupy a significant niche in the global energy balance. One of the most promising areas is hydrogen energy storage, which, unlike lithium-ion systems, has not yet achieved widespread adoption," Sechin said.</p> <p>In his opinion, hydrogen solutions could potentially be used to store excess cheap electricity from baseload and renewable generation facilities.</p> <p>Currently, hydrogen technologies are inferior to traditional energy solutions in economic efficiency. Citing data from the International Energy Agency, Sechin noted that the cost of producing "green" hydrogen in most regions of the world exceeds 200 dollars per barrel of oil equivalent.</p> <p>In turn, thermonuclear energy remains a long-term goal. Sechin recalled that, despite the potential of practically inexhaustible energy, a stable controllable thermonuclear reaction has not yet been achieved. Nevertheless, investments in this sector are growing &mdash; in 2025 they increased by almost 40% - to 10 billion dollars.</p> <p>"Data and energy storage in space belongs to the realm of science fiction. These projects will have to face countless challenges that currently have no scientific and technological solution. They include radiation, temperature extremes, decompression, commercially unacceptable cost of delivering cargos into the space orbit, power and data transmission, and many others," Igor Sechin said.</p> <p align="right"><strong>Department of Information and Advertising<br />Rosneft Oil Company<br />June 6, 2026</strong></p> <p>In the next 10 years, India will provide about half of the global increase in oil demand, stated Igor Sechin, Executive Secretary of the Commission under the President of the Russian Federation for Strategic Development of the Fuel and Energy Sector and Environmental Security, at the Energy Panel of the XXIX St. Petersburg International Economic Forum.</p> Sat, 06 Jun 2026 11:54:00 +0300 https://www.rosneft.com/press/news/item/224246/ <p>In the next 10 years, India will provide about half of the global increase in oil demand, stated Igor Sechin, Executive Secretary of the Commission under the President of the Russian Federation for Strategic Development of the Fuel and Energy Sector and Environmental Security, at the Energy Panel of the XXIX St. Petersburg International Economic Forum.</p> <p>"Today, India's economy is one of the key drivers of global energy consumption growth. According to the International Energy Agency&rsquo;s projections, over the next 10 years, this country will account for about 15% of the global increase in electricity demand. By 2035, consumption in India is expected to grow by 80% to nearly 3,000 terawatt-hours, making it nearly equal to that of the European Union," Sechin noted.</p> <p>"India also holds a unique position in the oil market: over the next 10 years, the country will account for approximately half of global oil demand growth," Sechin said.</p> <p>Igor Sechin also added that according to the estimate of the International Energy Agency, by 2035 oil consumption in India will reach nearly eight million barrels per day. This is a growth of 44%, while global demand will grow by only 5%.&nbsp;</p> <p>"The conflict in the Strait of Hormuz along with new risks will unfortunately have a negative impact on meeting the needs of Indian economy. But this is also an incentive to seek long-term solutions in energy security," Igor Sechin emphasized.</p> <p align="right"><strong>Department of Information and Advertising<br />Rosneft Oil Company<br />June 6, 2026</strong></p> <p>The balanced development of China has allowed the country to rightfully take the place of a global energy power, stated Igor Sechin, Executive Secretary of the Commission under the President of the Russian Federation for Strategic Development of the Fuel and Energy Sector and Environmental Security, at the XXIX St. Petersburg International Economic Forum</p> Sat, 06 Jun 2026 11:53:00 +0300 https://www.rosneft.com/press/news/item/224245/ <p>The balanced development of China has allowed the country to rightfully take the place of a global energy power, stated Igor Sechin, Executive Secretary of the Commission under the President of the Russian Federation for Strategic Development of the Fuel and Energy Sector and Environmental Security, at the XXIX St. Petersburg International Economic Forum.</p> <p>"After the Soviet Union collapse, the United States believed there would be no real rival ever. In recent decades, China demonstrated not only economic success but also remarkable science and technology advances, enabling it to become a global energy power," Sechin said, also quoting PRC President Xi Jinping that scientists form the backbone for promoting Chinese-style modernization.</p> <p>Sechin also noted that in the strategic confrontation of technological leaders, China shows the insurmountable advantage of a planned economy and its economic model.</p> <p>Igor Sechin emphasized that China turned out to be the most prepared for the Hormuz crisis and its consequences thanks to a balanced approach to ensuring energy security based on a realistic assessment of risks.</p> <p>"Thoughtful government policies have enabled significant economies of scale in the development of renewable energy sources.China has created an affordable urban and intercity transport infrastructure for its domestic market. Following the closure of the Strait of Hormuz, this has allowed motor fuel consumers to seamlessly switch to accessible alternatives, such as electric vehicles, electric buses, gas-powered trucks, subways, electric trains, and electric taxis," said Sechin. China has a t angible competitive advantage in electricity prices: it is about 9 cents per kilowatt-hour for industry (72% lower than in Germany, and 59% lower than in France) and about 7 cents per kilowatt-hour for the population (58% lower than in the US). " Only Russia stands at a similar level," emphasized Igor Sechin.&nbsp;</p> <p>He stated that unlike Western countries, in China the task of containing the growth of electricity prices is successfully solved, including through optimizing the distribution of energy resources and computing power. Igor Sechin cited as an example the PRC's new energy management plan, which prescribes the placement of data centers in regions rich in new energy resources, as well as a policy of encouraging the conclusion of multi-year power purchase agreements by data centers.</p> <p>" That means that if necessary the issue of constructing additional generation capacity is resolved at the expense of the data centers themselves, rather than the consumers," Igor Sechin explained.&nbsp;</p> <p>He also cited as an example the Fifteenth Five-Year Plan, according to which technologies should become the key driver of China's growth. To achieve this goal, noted Igor Sechin, is impossible without the development of the energy sector, and Beijing is solving this problem by investing in the development of RES simultaneously with a significant reduction in the cost of electricity produced from renewable sources.</p> <p>Sechin noted that China operates the world's largest power system with an installed generation capacity of about four thousand gigawatts, which is more than three times higher than this figure in the US. In 2025 alone, over 540 gigawatts of new generating capacities were commissioned in China, which is equivalent to half the installed capacity of the entire European Union.</p> <p>" Simultaneously with the development of renewable energy sources, China continues to construct new coal-fired power plants. For example, last year, 78 gigawatts of coal power capacity were commissioned and new projects with a total capacity of 161 gigawatts are planned. As a result of this policy, over the next 10 years, the share of coal in China's total energy consumption will remain above 40%," stated Igor Sechin, adding that China is implementing the largest program for the development of nuclear generation.</p> <p>He also noted China's leadership in the field of energy storage: the country annually commissions about half of the world's volume of new battery storage system capacities. " In December 2025 alone, China commissioned 65 gigawatt-hours of such capacity, which is 40% more than the US commissioned throughout the last year," the executive secretary of the Fuel and Energy Complex commission noted. In parallel, China leads in investments in power grids, investing about 100 billion dollars in this sector.&nbsp;</p> <p>"Strengthening energy security is part of a comprehensive program to mobilize domestic reserves implemented by China. Its goal is to prepare for a worst-case scenario of confrontation with the West, which could involve a large-scale disruption of supplies of all types of goods and services, including a trade blockade," Igor Sechin said.</p> <p>For this, he believes, a "strategic rear" is being created in China in various industries: from food to microelectronics.</p> <p>"Importantly, these reserves are intended to simultaneously serve as growth points for "productive forces of a new quality," fully functioning in peacetime," summarized Igor Sechin.</p> <p align="right"><strong>Department of Information and Advertising<br />Rosneft Oil Company<br />June 6, 2026</strong></p> <p>Igor Sechin, Executive Secretary of the Commission under the President of the Russian Federation for Strategic Development of the Fuel and Energy Sector and Environmental Security, noted the key role of metals, especially copper and rare earth elements, in building a modern type of energy system</p> Sat, 06 Jun 2026 11:52:00 +0300 https://www.rosneft.com/press/news/item/224244/ <p>Igor Sechin, Executive Secretary of the Commission under the President of the Russian Federation for Strategic Development of the Fuel and Energy Sector and Environmental Security, noted the key role of metals, especially copper and rare earth elements, in building a modern type of energy system.</p> <p>"Metals are also critical for the development of a new type of energy system. Demand for them in power generation, electric transport, and power grids will more than double by 2050, with consumption growth potentially reaching nearly 200 million tons. But at that the resources are limited," Sechin said, speaking at the Energy Panel during the XXIX St. Petersburg International Economic Forum.&nbsp;</p> <p>At the same time, according to Igor Sechin, the key metal for the "new" economy is copper, the consumption of which in power grids could grow by 65% by 2040 and exceed seven million tons, which is equal to a quarter of all consumption of this metal at the moment. "It is forecasted that the next 20 years will require copper production comparable to the total produced over the past 10 000 years," added the Secretary of the Fuel and Energy Complex Commission. According to expert estimates, the deficit of this metal by 2050 could reach about 40%.</p> <p>Igor Sechin also noted that access to metals is critically important for the defense industry as well, especially regarding rare earth elements. As an example, he cited the F-35 fighter jet, which contains over 400 kg of such elements, as well as the Virginia-class nuclear submarine, which requires more than 4 tons.</p> <p>As an additional constraint, Sechin noted access to water. In the US, a 100-megawatt data center requires about 2 million liters of water per day. "This is equal to the consumption of 6,500 households. By 2030 water consumption by data centers could nearly double," Igor Sechin concluded.</p> <p align="right"><strong>Department of Information and Advertising<br />Rosneft Oil Company<br />June 6, 2026</strong></p> <p>The construction and modernization of a new type of power grids will require a doubling of the existing infrastructure, said Igor Sechin, Executive Secretary of the Commission under the President of the Russian Federation for Strategic Development of the Fuel and Energy Sector and Environmental Security, at the Energy Panel during the XXIX St. Petersburg International Economic Forum</p> Sat, 06 Jun 2026 11:51:00 +0300 https://www.rosneft.com/press/news/item/224243/ <p>The construction and modernization of a new type of power grids will require a doubling of the existing infrastructure, said Igor Sechin, Executive Secretary of the Commission under the President of the Russian Federation for Strategic Development of the Fuel and Energy Sector and Environmental Security, at the Energy Panel during the XXIX St. Petersburg International Economic Forum.</p> <p>During his keynote report, he stated the need to build a new type of energy system. However, Sechin noted, it is important to take into account the negative experience of unjustified decisions regarding "green" energy, which was accompanied by accelerated investments. " It resulted in systemic imbalances: reserve capacity deficit, power outages, and an additional budget burden of hundreds of billions of dollars," Igor Sechin explained.&nbsp;&nbsp;</p> <p>According to him, the lack of a balanced approach to the development of the energy system has already led to an increase in electricity prices: in the US over the past 5 years &mdash; by more than 30%, in Europe &mdash; by 35-45% for various consumers.</p> <p>"Power grids and energy storage remain the key constraint. The need for grid expansion and modernization will reach 60 million kilometers by 2035&nbsp; and 80 million kilometers by 2040 &mdash; in fact, doubling the existing infrastructure will be required," said Sechin.&nbsp;</p> <p>He also voiced an estimate by Bank of America, according to which about 40% of investments (approximately 240 billion dollars per year) should be directed towards replacing existing grids, since in more than half of developed countries the average age of power grids exceeds 20 years, and in developing countries about a third of all network capacity is of such age. "Over the next 25 years, total investment in power grids could reach nearly $16 trillion. To achieve this, capital expenditures will need to be around $600 billion per year. This is almost twice the average annual amount over the previous five years," added Igor Sechin.&nbsp;</p> <p>At the same time, the importance of energy storage devices is growing. In 2025 alone, their cost decreased by a third, and capacity commissioning grew by more than 50%. " By 2035, the total capacity of energy storage systems worldwide is projected to increase eightfold, exceeding 7 terawatt-hours&mdash;a level comparable to the annual consumption of a small country," summarized Sechin.</p> <p align="right"><strong>Department of Information and Advertising<br />Rosneft Oil Company<br />June 6, 2026</strong></p> <p>The world is entering a phase of structural growth in electricity consumption, and a shortage of generating capacity may arise in the coming years, said Igor Sechin, Executive Secretary of the Commission under the President of the Russian Federation for Strategic Development of the Fuel and Energy Sector and Environmental Security, at the Energy Panel of the XXIX St. Petersburg International Economic Forum</p> Sat, 06 Jun 2026 11:50:00 +0300 https://www.rosneft.com/press/news/item/224242/ <p>The world is entering a phase of structural growth in electricity consumption, and a shortage of generating capacity may arise in the coming years, said Igor Sechin, Executive Secretary of the Commission under the President of the Russian Federation for Strategic Development of the Fuel and Energy Sector and Environmental Security, at the Energy Panel of the XXIX St. Petersburg International Economic Forum.</p> <p>During his presentation of the report, he noted the need to expand and modernize the entire energy infrastructure in connection with the application of artificial intelligence technologies. "Global demand for data center capacity is projected to nearly triple over the next five years, reaching 220 gigawatts, with artificial intelligence-related tasks accounting for over 70% of this capacity. That said, the cost of the new tariff will be allocated to all consumers," Sechin noted. &nbsp; He recalled that for the last two hundred years, the global economy has grown through the consumption of fossil energy resources (coal, oil, gas). At the same time, in the 21st century, the energy system is entering a new phase &ndash; a "molecules to electrons" model is forming, the key element of which is data centers.</p> <p>"The world is currently entering a phase of electricity consumption structural growth. According to the International Energy Agency, by 2035 global electricity demand will increase by almost 40%. Such growth requires balanced energy system development based on stable and cost-effective power generation," Sechin said.</p> <p>He emphasized that, according to many experts, the high rates of development of new technologies that we are observing today will lead to a shortage of generating capacity in the near future. In particular, Elon Musk expects an electricity shortage in about a year, and a semiconductor shortage within three to four years.</p> <p>"Data centers already consume about 500 terawatt-hours per year worldwide, which exceeds the total electricity consumption of France. According to the International Energy Agency, by 2035 this figure could increase two and a half times to 1200 terawatt-hours, comparable to Russia's current consumption level," added Sechin.</p> <p align="right"><strong>Department of Information and Advertising<br />Rosneft Oil Company<br />June 6, 2026</strong></p> <p>In 90% of cases, the application of artificial intelligence technologies has had no effect on labor productivity, stated Igor Sechin, Executive Secretary of the Commission under the President of the Russian Federation for Strategic Development of the Fuel and Energy Sector and Environmental Security, at the Energy Panel of the XXIX St. Petersburg International Economic Forum</p> Sat, 06 Jun 2026 11:49:00 +0300 https://www.rosneft.com/press/news/item/224241/ <p>In 90% of cases, the application of artificial intelligence technologies has had no effect on labor productivity, stated Igor Sechin, Executive Secretary of the Commission under the President of the Russian Federation for Strategic Development of the Fuel and Energy Sector and Environmental Security, at the Energy Panel of the XXIX St. Petersburg International Economic Forum.</p> <p>He noted that significant growth in labor productivity is expected from artificial intelligence and robotization. McKinsey experts estimate the total economic potential of artificial intelligence in the range of 17 to 26 trillion dollars.</p> <p>"According to recent research, about 70% of companies around the world actively use artificial intelligence in their work. However, in 90 percent of cases over the past three years, the use of these technologies has not affected labor productivity in any way," emphasized Sechin.</p> <p>According to Igor Sechin, this phenomenon was described by Nobel laureate in economics Robert Solow 40 years ago. The author wrote, "you can see the computer age everywhere except in productivity statistics," and the Solow paradox is that labor productivity growth in the US in 1970-1980 slowed by two percentage points, to 1%, despite a nearly 100-fold increase in computing power.</p> <p>"Despite the low returns on AI investments, the share of software in the capital expenditures of high-tech companies accounts for 35%-45%, while in the industrial sector, it reaches up to 15%. Furthermore, these investments are exempt from property tax," noted Sechin.</p> <p>He emphasized that new technologies are forming a transition to a new socio-economic order. "We're talking about fundamental changes in the development of society as a whole, with robots replacing humans. Demographics and a human being as a personality could lose their significance in the face of an army of machines if we just passively watch. We must clearly understand what kind of genie we're letting out of the lamp," said Sechin.</p> <p>At the same time, it is no longer just business leaders who are talking about the risks associated with artificial intelligence, but also religious authorities. Igor Sechin mentioned that it was exactly this topic that the first encyclical " Magnifica humanitas " by Pope Leo XIV was dedicated to, which spoke that "AI must serve humanity not concentrate power".</p> <p>Sechin also pointed out the strengthening connection of technology companies with the US defense complex - the value of contracts numbers in the tens of billions of dollars. He recalled that Anthropic's technologies were used in Pentagon operations, and cooperation was implemented through Palantir - a key contractor of the American defense sector.</p> <p>" Intelligent systems for controlling people on the battlefield are being tested. People are effectively becoming expendable combat robots controlled by artificial intelligence. The situation could become unmanageable. What logic will artificial intelligence use to make decisions: commercial, political, or military?", summarized Sechin.</p> <p align="right"><strong>Department of Information and Advertising<br />Rosneft Oil Company<br />June 6, 2026</strong></p> <p>The world is on the verge of the largest market bubble since the 19th century, and the financial sector of Western countries will benefit from the crisis, stated Igor Sechin, Executive Secretary of the Commission under the President of the Russian Federation for Strategic Development of the Fuel and Energy Sector and Environmental Security, at the Energy Panel of the XXIX St. Petersburg International Economic Forum</p> Sat, 06 Jun 2026 11:48:00 +0300 https://www.rosneft.com/press/news/item/224240/ <p>The world is on the verge of the largest market bubble since the 19th century, and the financial sector of Western countries will benefit from the crisis, stated Igor Sechin, Executive Secretary of the Commission under the President of the Russian Federation for Strategic Development of the Fuel and Energy Sector and Environmental Security, at the Energy Panel of the XXIX St. Petersburg International Economic Forum.&nbsp;</p> <p>During his presentation with the report "The Beginning of the End or the End of the Beginning: What&rsquo;s left at the Bottom of Pandora's Box?", he noted that the technology sector is attracting massive investments. According to McKinsey estimates, total capital expenditures in the data processing sector could reach eight trillion dollars by 2030. This year alone, the four largest technology companies will direct about 700 billion towards the development of computing capacity.</p> <p>"Today, artificial intelligence-related companies are actually consuming a significant portion of investment resources, to the detriment of the rest of the economy," said Igor Sechin. The share of capital expenditures of the American technology sector in total investments has already reached a record 35%, while 15 years ago it was measured in a few percent.</p> <p>In the American stock market over the past ten years, the share of the ten largest technology companies has tripled, exceeding 44%, noted Sechin. Given the expected IPOs of such giants as SpaceX (Space Exploration Technologies Corp.), OpenAI, and Anthropic, with a combined valuation of several trillion dollars, this figure will approach 50%.</p> <p>"Clearly, the world is on the brink of the largest financial market bubble in history since the US railroad boom of the 19th century," emphasized Igor Sechin. The main beneficiary of the impending crisis, in his opinion, is the financial sector of Western countries, which only yesterday was actively promoting a completely different - "green" - agenda.</p> <p>"Today, the same companies &mdash; Blackrock, Vanguard, State Street &mdash; manage trillions of dollars invested, at inflated valuations, in the high-tech sector and the military-industrial complex. The circle has closed. Recently, Blackrock CEO Larry Fink proposed using pension fund and insurance company savings to buy shares in tech giants, which would attract colossal additional resources to the sector. I'm not sure anyone will ask American retirees for permission," summarized Sechin.</p> <p align="right"><strong>Department of Information and Advertising<br />Rosneft Oil Company<br />June 6, 2026</strong></p> <p>The world is militarizing again, global military spending has been continuously growing over the past 11 years, stated Igor Sechin, Executive Secretary of the Commission under the President of the Russian Federation for Strategic Development of the Fuel and Energy Sector and Environmental Security, at the Energy Panel during the XXIX St. Petersburg International Economic Forum</p> Sat, 06 Jun 2026 11:47:00 +0300 https://www.rosneft.com/press/news/item/224239/ <p>The world is militarizing again, global military spending has been continuously growing over the past 11 years, stated Igor Sechin, Executive Secretary of the Commission under the President of the Russian Federation for Strategic Development of the Fuel and Energy Sector and Environmental Security, at the Energy Panel during the XXIX St. Petersburg International Economic Forum.</p> <p>"Global military spending has been rising continuously for the past 11 years. US Defense Spending, which accounts today for a third of global spending, has increased one and a half times over the past ten years and reached almost one trillion dollars last year. By 2027, expenses are expected to increase by another 50%," he noted during his presentation of the keynote report "The Beginning of the End or the End of the Beginning. What&rsquo;s left at the Bottom of Pandora's Box."</p> <p>At the same time, the defense spending of European NATO members is growing at the fastest pace since 1953. In the last year alone, they increased by almost a quarter and exceeded half a trillion dollars. Igor Sechin noted that Germany stands out in Europe, as its military spending has doubled over the past three years&mdash;to 114 billion dollars, and a further doubling is planned by 2030.</p> <p>"It's safe to say that Germany has started shifting its economy to a military footing. German defense giants Rheinmetall and KNDS planning to acquire the production facilities of Mercedes and Volkswagen," he stated.&nbsp;</p> <p>Igor Sechin drew attention to Berlin's symbolic steps, which, in his opinion, testify to the militarization of German policy. "Berlin&rsquo;s bid to host the 2036 Olympics became the peak of cynicism. Apparently, there is a desire to celebrate the centenary of the previous Berlin Olympics, conceived as a large-scale propaganda project to showcase the achievements of the Hitler regime," he emphasized.</p> <p>Sechin also revealed the mechanism of financial capital outflow into the defense sector. According to him, a simple chain is forming - political pressure leads to an increase in budget expenditures, which push up the market capitalization of a tightly intertwined triad: the military-industrial complex, high-tech corporations, and the financial sector.</p> <p>He noted that since the beginning of 2022, the share price of American aerospace and defense companies has grown two and a half times, while the American stock market has grown by 65% over the same period. "The market capitalization of companies supplying weapons to Ukraine is breaking all conceivable records: in just over four years, shares of Germany's Rheinmetall have grown more than 16-fold, while those of Britain's BAE Systems have almost tripled," Sechin noted.</p> <p align="right"><strong>Department of Information and Advertising<br />Rosneft Oil Company<br />June 6, 2026</strong></p> <p>The energy industry is underfunded, stated Igor Sechin, Executive Secretary of the Commission under the President of the Russian Federation for Strategic Development of the Fuel and Energy Sector and Environmental Security, speaking at the Energy Panel during the XXIX St. Petersburg International Economic Forum</p> Sat, 06 Jun 2026 11:46:06 +0300 https://www.rosneft.com/press/news/item/224234/ <p>The energy industry is underfunded, stated Igor Sechin, Executive Secretary of the Commission under the President of the Russian Federation for Strategic Development of the Fuel and Energy Sector and Environmental Security, speaking at the Energy Panel during the XXIX St. Petersburg International Economic Forum.</p> <p>In his report "The Beginning of the End or the End of the Beginning. What&rsquo;s left at the Bottom of Pandora's Box," Sechin noted: "The illusion of an accelerated energy transition, along with the ignoring of energy security issues, has led to the underfunding of the energy industry in recent years."</p> <p>He shared that, according to the estimate of the International Energy Agency (IEA), investments in fossil fuels have decreased by more than 20% over the past 10 years. At the same time, the majority of this drop fell on the oil sector, where capital expenditures fell by 35%.</p> <p>According to Igor Sechin, this decline is part of a broader trend of reducing investments in industrial production. He drew attention to the persistence of the negative dynamics of this trend. "Last year, the volume of announced projects decreased by 8%," he summarized.</p> <p align="right"><strong>Department of Information and Advertising<br />Rosneft Oil Company<br />June 6, 2026</strong></p> <p>Russia could have earned over 400 billion dollars if it had started increasing the share of gold in its reserves earlier, stated Igor Sechin, Executive Secretary of the Commission under the President of the Russian Federation for Strategic Development of the Fuel and Energy Sector and Environmental Security, speaking at the Energy Panel during the XXIX St. Petersburg International Economic Forum</p> Sat, 06 Jun 2026 11:44:19 +0300 https://www.rosneft.com/press/news/item/224233/ <p>Russia could have earned over 400 billion dollars if it had started increasing the share of gold in its reserves earlier, stated Igor Sechin, Executive Secretary of the Commission under the President of the Russian Federation for Strategic Development of the Fuel and Energy Sector and Environmental Security, speaking at the Energy Panel during the XXIX St. Petersburg International Economic Forum.</p> <p>"The share of gold in the reserves of the Bank of Russia is growing at an outstripping pace: over the past four years, it has increased from 21% to 45%. However, if this process had started earlier, Russia could have earned more than 400 billion dollars on the rise in the price of gold and preserved a significant part of its reserves," said Sechin.</p> <p>He noted that the share of gold in the reserves of global central banks has exceeded the share of US Treasury bonds. The reason for this, according to Sechin, is the growth of the US national debt and budget deficit, which has led to significant changes in the structure of the reserves of global central banks.</p> <p>"For the first time since 1996, the share of gold in their reserves has approached 30% and exceeded the share of US Treasury bonds," said Sechin.</p> <p>At the same time, according to Igor Sechin, payment instruments are diversifying due to sanctions. A transformation of the payment infrastructure is taking place &mdash; the role of alternative payment systems is growing. "Over the past five years, the volume of transactions made using China's Cross-Border Interbank Payment System (CIPS) has more than tripled &mdash; to almost one trillion yuan per day. The Hormuz crisis has significantly accelerated this process," he added.</p> <p>"If the use of the dollar as a sanctions instrument continues, the process of creating alternatives will accelerate," concluded Igor Sechin.</p> <p align="right"><strong>Department of Information and Advertising<br />Rosneft Oil Company<br />June 6, 2026</strong></p>