MOSCOW, May 21. / TASS /. The Russneft oil company, part of the Safmar group owned businessman Mikhail Gutseriev, cut production by mid-May in accordance with quotas that the Russian Ministry of Energy distributed between Russian companies under the OPEC+ deal to reduce oil production by 9.7 mln bpd in May-June, the company said in a statement on Thursday.

"The operational plan to reduce production provided for a change in its structure and shutdown of wells in the Western Siberian, Siberian assets, as well as in the Volga Region," the statement said.

The company noted that when shutting down part of the wells, it "proceeded upon the assessment of current operating costs and operating efficiency under the existing market conditions, as well as based on its technical capabilities."

The company projects that by the end of 2020, its oil production will be below the 2019 level when it reached 7.118 mln tonnes. It operates in the oil and gas regions of Western Siberia, the Volga-Ural region, Central Siberia, as well as in Azerbaijan.