Russia Beyond the Headlines: Why Gazprom's Earnings Are Down

Russia's natural gas giant Gazprom has reported its worst ever half-year financial results. Figures for the first six months of 2015 show that production has fallen by 13.1 percent to 209 billion cubic meters and gas exports by 12.9 percent to 88.5 billion cubic meters. The numbers were noted in a monitoring report prepared by the Russian Ministry of Economic Development for the first six months of 2015. According to the ministry, by the end of the year Gazprom's production will fall by 7.2 percent to 414 billion cubic meters of gas - the lowest in the company's history. 

The figures come at a time when Gazprom cannot sell additional gas due to falls in consumption in its key markets. Russian experts believe that the negative results are due to mistakes in the company's strategy, although by the end of the year the situation may improve.

Read the full article HERE.