OAO Gazprom Neft (SIBN.RS), the oil arm of Russian gas monopoly OAO Gazprom (GAZP.RS), might cut its 2009 capital investment by between 20% and 25%, a Gazprom Neft official said Wednesday.
Vadim Yakovlev, deputy head of finance at Gazprom Neft, said the company's budget for this year has been lowered so far by roughly between $150 million and $200 million. The cuts will not affect the company's upstream projects, he said.
He added that Gazprom Neft has asked for a credit line with the state-run Vnesheconombank, or VEB.
"We've attracted $1 billion in credit during this year and we have refinanced all our outstanding debt for 2008," he said.
Yakovlev also said Gazprom Neft's output should total around 31.2 million tons, down from an earlier forecast of 32.7 million tons.
He added that Gazprom Neft might also cut slightly its production next year and postpone projects not directly affecting production line.