Dropping oil prices and the rouble's depreciation against the US dollar have seen the profits of Russia's second largest oil producer fall by 40 per cent between July and September. Lukoil had predicted a drop, but a smaller one.

While analysts previously polled by Reuters on the matter had forecast that the company's net profit would fall to $2.215 billion, its actual net income attributable to shareholders dropped to $2.056 billion in this year's third quarter – that's down from $3.472 billion in the same period in 2008.

In a statement, the company – which is 20 per cent owned by US oil major ConocoPhilips – attributed a drop in sales to "a significant decrease in hydrocarbon prices" compared to last year's third quarter.

"Moreover, the devaluation of the rouble against the US dollar in 2009 also seriously affected our average realised prices in Russia," the statement continued.

Last Wednesday (2nd December), the Russian currency closed at 36.0044 roubles versus the dollar-euro currency basket – its weakest level of the week. The drop followed the price of crude oil dipping below $78 dollar a barrel as a result of an unexpected build in US crude stocks.