LONDON- The Russian government is no longer capping oil output increases by local producers, one of the country's top energy companies Gazprom Neft said on Tuesday.
Deputy chief executive Vadim Yakovlev told a briefing in London that the company's production was back at the levels it was pumping before Russia clinched a deal with OPEC to cut output last year, and was ready to produce more next year.
Yakovlev said that additional barrels were needed to satisfy growing demand.
"There are signs the oil market is overheating", he said.
Gazprom Neft could potentially lift its oil production by a further 20,000 to 30,000 barrels per day (bpd) this year and add another 50,000 bpd next year, Yakovlev said.
"The (oil) market is well supplied. But there are big uncertainties regarding the end of the year with regards to Iran and Venezuela. We may have an opportunity to grow further," Yakovlev told reporters.
Leading oil producers Russia and Saudi Arabia have been ramping up production to avoid a spike in oil prices.
(Reporting by Dmitry Zhdannikov; Writing by Andrey Kuzmin; Editing by Katya Golubkova, Susan Fenton and Jan Harvey) ((andrey.kuzmin@thomsonreuters.com; +74957751242; Reuters Messaging: andrey.kuzmin.thomsonreuters.com@reuters.net))
