Could Russia be risking safety by increasing production?

Russia may be putting safety at risk by increasing their oil production, it has been claimed.

According to national newspaper Izvestia, thousands of health and safety violations have been uncovered in oil refineries across the country, RT reported.

The investigation claimed that some plants are using worn out heaters and reservoirs.

Although a significant number of oil refineries are taking steps to redress the flaws, some companies are launching legal proceedings to prove the study findings are incorrect.

However, the watchdog has suggested that large and small organisations are dragging their feet about modernisation.

"Given domestic price levels and the tax system in Russia, there were no incentives to actually modernise the refineries and attempt to produce lighter products," Pavel Sorokin, senior oil & gas analyst at Alfa Bank, told RT.

He told the source that while companies had good profitability, domestic price levels are not at a rate to justify modernisation.

Posted by Lauren Steadman