GORKI, September 18. /TASS/. The oil price will ebb to around $50 per barrel for the long term, Russia’s Energy Minister Alexander Novak said at a meeting headed by Prime Minister Dmitry Medvedev on Tuesday.

"The oil price will be around $50 per barrel in the long term, meaning that the current surge in oil prices jumping to $70-80 (per barrel) is temporary," he said.

According to Novak, the global demand for crude oil will start dwindling once competition increases, which is why countries are currently beginning to actively compete to be able to cash in on hydrocarbons reserves, and stimulate crude production.

Earlier Reuters reported citing sources that Saudi Arabia wants oil to hover between $70 and $80 a barrel for now as it "strikes a balance between maximizing revenue and keeping a lid on prices until the US congressional elections.".

Russian state revenues from oil taxes may go down by 3.3 trillion rubles ($48.7 bln) without additional measures to stimulation production in the country, he said. 

"The dynamics of state budget revenues may turn negative starting 2022 as the total amount of taxes may drop by 3.3 trillion rubles ($48.7 bln) per year, and investment - by another 1.3 trillion (rubles) ($19.2 bln)," he said, adding that the trend results from the rising cost of production and excessively high taxes on West Siberian fields.