Russia's slumping oil production is partly due to increasing pressure on -Exxon-Mobil's Sakhalin-1 oil and gas venture as the state continues to tighten control over the energy sector, said William Ramsay, deputy head of the International Energy Agency.

Mr Ramsay, who is visiting Moscow this week for energy talks with government officials, said the drop in output in Russia in the first three months of this year was largely due to uncertainty over the investment climate. The 1 per cent drop in oil output in the first three months of this year has prompted warnings that Russia could see its first overall decline in output in a decade this year, sparking fears over its ability to meet growing demand in Asia. ... Read full article