Gazprom Neft

Gazprom Neft PJSC is a Russian vertically integrated oil company. The main activities are exploration and development of oil and gas fields, oil refining, production and sale of petroleum products. Included in the TOP-3 Russian oil companies in terms of oil production and refining, is one of the leaders in the Russian oil industry in terms of efficiency.

Gazprom Neft is the first company to start oil production on the Russian Arctic shelf.

In 2020, the total volume of hydrocarbon production, taking into account the share in joint ventures of Gazprom Neft, reached 96.06 million tons of oil equivalent, refining - 40.39 million tons, the volume of petroleum products sold through premium distribution channels - 23 million tons. At the end of 2020, the net profit of Gazprom Neft amounted to 117.7 billion rubles.

The number of employees of Gazprom Neft enterprises for 2020 amounted to 82.9 thousand people.

History

The company was formed under the name "Siberian Oil Company" ("Sibneft") in 1995 by decree of the President of the Russian Federation Boris Yeltsin by separating oil producing and oil refining assets from the Rosneft company and privatized in parts over the next two years (including at loans-for-shares auctions) at a price of about $100.3 million. Initially, the company was nominally under the control of Boris Berezovsky, later it came under the control of Roman Abramovich. In the autumn of 2011, Roman Abramovich in a London court under oath stated that in fact the loans-for-shares auction for the privatization of Sibneft was fictitious: the collusion of Berezovsky and his partner Badri Patarkatsishvili with other bidders allowed them to avoid competition and buy the company for a starting price.

The first president of the company from 1995 to October 24, 1997 was Viktor Gorodilov, former general director of Noyabrskneftegaz. In connection with the deterioration of his health, he resigned his powers, and a month and a half later a new president was elected. Andrey Bloch, who headed the company from January to July 1998, became the director. In July 1998 the company was headed by Evgeny Shvidler.

In 1998 and 2003, the owners of Sibneft made two attempts to merge the company with Yukos, but both times, for one reason or another, refused to complete the transactions.

In October 2005, the company returned to state control - 75.7% of the company's shares were acquired by the Gazprom Group from Millhouse Capital (a structure owned by Roman Abramovich) for $13.1 billion. On May 13, 2006, the company was renamed into Gazprom Neft Open Joint Stock Company. Alexander Ryazanov, member of the board of Gazprom, replaced Shvidler as president of the company. On October 21, 2005, he was appointed Acting President, and on December 23, 2005, at an extraordinary meeting of shareholders of OAO Sibneft, he was elected President of the company.

Until April 2009, 20% of the shares of Gazprom Neft belonged to the Italian oil and gas company Eni, the package was bought out by Gazprom for $4.1 billion.

In the spring of 2006, the board of directors of the company decided to re-register it in St. Petersburg. On November 22, 2006, the Gazprom Neft Board of Directors suspended the powers of Alexander Ryazanov and appointed Alexander Dyukov as Acting President. On December 30, 2006, an extraordinary general meeting of shareholders approved Alexander Dyukov as the company's president; since January 2008, he has been the general director and chairman of the board. On December 30, 2021, the board of directors of the company extended the contract of A. Dyukov for another 5 years.

In April 2010, the company launched the production of automotive oils under the G-Energy premium brand. The face of the G-Energy advertising campaign in 2011 was British actor Jason Statham. At the beginning of 2011, it introduced its own branded fuel G-Drive to the fuel retail market. In 2013, all of the company's plants switched to the production of fuel that meets Euro-5 standards.

In April 2014, a complex for the production of motor oils was put into operation at the Omsk Lubricants Plant (OZSM). In the same year, the first oil from the Russian Arctic shelf entered the world market. Its source is the Prirazlomnoye field of Gazprom Neft. All technological operations at the field - drilling, production, storage of oil, preparation and shipment of finished products - are provided by the unique Prirazlomnaya offshore ice-resistant stationary platform. In 2014, a production drilling program began at the Novoportovskoye field, and at the end of August, summer oil shipments from the field began - for the first time, crude was exported by sea and shipped by tankers to European consumers.

In 2015, Gazprom Neft and SIBUR commissioned the Yuzhno-Priobsky gas processing plant. The processing capacity of the Yuzhno-Priobsky GPP is 900 million cubic meters of associated petroleum gas per year. The extraction ratio of the target components is more than 95%, which meets modern world requirements.

In 2016, Gazprom Neft began full-scale operation of the two largest fields in the Yamal-Nenets Autonomous District: Novoportovskoye and Vostochno-Messoyakhskoye.

In 2017, for the first time in history, Gazprom Neft entered the top three Russian leaders in oil production (62.3 million tons of oil). An increase in 2017 of 4.3% compared to the result of 2016 was given, first of all, by the active development of the company's Arctic fields and the development of the Iraqi Badr asset. In the same year, the company launched a digital transformation program. Use of Industry 4.0 technologies in production and business processes. - cognitive computing, predictive analytics methods, work with Big Data - should significantly increase the efficiency and competitiveness of the business in a strategic perspective.

In 2019, the company signed an agreement with Gazprom to develop the hard-to-recover Achimov oil deposits of the Yamburgskoye field in the YaNAO. The reserves in the Achimov deposits of this field amount to 1.3-3.5 billion tons, which is comparable to half of the largest oil field in Russia - Samotlor.

The structure of the company

The structure of Gazprom Neft includes more than 70 oil producing, refining and marketing enterprises in Russia, countries of near and far abroad.

In addition to its own production, Gazprom Neft has a 50% stake in associated companies, the production of which is accounted for using the equity method: OAO NGK Slavneft, OAO Tomskneft VNK, Salym Petroleum Development (SPD), LLC SeverEnergia (share Gazprom Neft in 2013 increased from 25% to 40.2%), NIS (Gazprom Neft's share is 56.15%).

Of the oil refining assets, the structure of the company includes: JSC Gazpromneft-Omsk Oil Refinery - the largest oil refinery of the company, JSC Gazpromneft - Moscow Oil Refinery and JSC Slavneft-Yaroslavnefteorgsintez (through control of 50% in Slavneft). Also, Gazprom Neft, through the Serbian company NIS, controls a processing complex consisting of two refineries in Serbia, located in the cities of Pancevo and Novi Sad.

Gazprom Neft sells petroleum products in Russia and neighboring countries through subsidiaries, which carry out both wholesale sales of petroleum products and retail sales through filling stations.

The sale of marine fuel and marine oils for sea and river transport in all key sea and river ports of the Russian Federation is carried out by Gazpromneft Marine Bunker LLC.

JSC Gazpromneft-Aero is engaged in small-scale wholesale and retail sales of aviation fuel, provides services for the provision of aircraft with aviation fuels and lubricants. The sales network of Gazpromneft-Aero includes 31 own refueling complexes in the Russian Federation and the CIS.

LLC Gazpromneft-Lubricants has production assets in Western Siberia (Omsk), the European part of Russia (Yaroslavl), the Moscow Region (Fryazino), as well as in Italy (Bari) and Serbia (Novi Sad).

The sale of traditional and innovative bitumen is carried out by a specialized subsidiary, OOO Gazpromneft-Bitumen Materials.

The largest foreign asset of Gazprom Neft is the diversified company NIS. NIS is engaged in the exploration and production of oil and gas in Serbia, Angola, Bosnia and Herzegovina, Hungary and Romania. The NIS refinery in the Serbian city of Pancevo is one of the largest and most technologically advanced refineries in the Balkan region. Also on the territory of Serbia and neighboring countries, NIS operates a network of gas stations under the brands GAZPROM and NIS Petrol.

Reserves and production

As of February 2021, Gazprom Neft’s total hydrocarbon reserves (including its share in joint ventures) of the proven and probable (proved + probable – 2P) categories according to SPE-PRMS international standards amounted to 3.9 billion tons of oil equivalent.

In 2020, the company's production volume remained at the level of 2019 due to gas assets and amounted to 96 million tons of oil equivalent.

More than 60% of the wells that the company drills at its fields are high-tech. According to this indicator, Gazprom Neft ranks first among Russian oil companies.

Recycling

In 2020, the volume of oil refining amounted to 40.39 million tons, the depth of refining - 85.9%. According to this indicator, the company ranks second in the Russian industry. In terms of oil refining, Gazprom Neft is one of the three largest companies in Russia.

The main types of processed products at the company's plants are: motor gasoline, diesel fuel, jet fuel, as well as a range of aromatic hydrocarbons, liquefied hydrocarbon gases, various types of lubricating oils, additives, catalysts, bitumen and other products. In addition, Gazprom Neft is a producer of a number of basic petrochemical products — aromatic hydrocarbons (benzene, paraxylene, orthoxylene, toluene) and propane-propylene fraction (propylene-containing liquefied hydrocarbon gas).

The focus of the company's attention in the field of oil refining is the modernization of refining capacities and the growth of operational efficiency. Gazprom Neft has already completed the first two stages of a large-scale modernization of oil refineries aimed at improving the quality of produced petroleum products: all of the company's refineries switched to the production of Euro-5 fuel of a high environmental standard ahead of schedule. Currently, Gazprom Neft is implementing the second stage of refinery modernization, the purpose of which is to increase the refining depth and increase the yield of light oil products (up to 95% and 80%, respectively, by 2025), to achieve the level of world oil refining leaders in terms of technical and environmental parameters.

In the spring of 2021, Gazprom Neft signed an investment agreement with the Ministry of Energy of the Russian Federation on the construction of a complex for deep oil refining at the Omsk and Moscow refineries.

Sales of products

As of the middle of 2019, Gazprom Neft's retail network of filling stations includes 1,838 operating filling stations in Russia, Europe and the CIS.

In 2020, the volume of sales through filling stations amounted to 9.77 million tons of petroleum products. 4.5 billion rubles the company earned from the sale of hot drinks (30% more than in 2019). More than 34 million cups of coffee were sold at its own filling stations and partner networks in a year.

Gazpromneft-Lubricants supplies products to 80 countries and occupies 22% of the market. The company also produces marine oils under its own brand Gazpromneft Ocean. The range includes more than 700 types of oils and lubricants.

Gazpromneft Marine Bunker operates in 37 ports of Russia, Romania, Estonia and Latvia. In 2020, the company sold 1.1 million tons of environmentally friendly marine fuel "on board", 3.5 times more than in 2019.

Gazpromneft-Aero refuels aircraft "into the wing" at 300 airports (72 countries). The total volume of aviation fuel sales in the first quarter of 2021 amounted to 22 thousand tons. The company was the first in Russia to launch its own Smart Fuel blockchain platform, which does not require prepayment and allows for instant mutual settlements for fuel immediately after refueling the aircraft.

Gazpromneft-Bitumennye Materialy increased sales by 10% in 2020 to 2.9 million tons. The volume of sales of high-tech binder bitumen increased by 32% to 330,000 tons. The company's products are supplied to 65 countries of the world.

Gazpromneft Road Construction is building reliable field roads at the fields in Khanty-Mansi Autonomous Okrug-Yugra and the Tyumen Region. Later, the tasks of the enterprise will also include the construction of roads of regional and municipal significance.

Environmental responsibility

The company invests heavily in environmental programs. In 2019, investments in environmental safety and environmental protection amounted to 13 billion rubles.

The environmental management system of Gazprom Neft complies with the requirements of the ISO 14001 international standard. It makes it possible to constantly monitor environmental control and reduce the burden on the environment. The system aims to move from damage elimination practices to risk assessment and prevention.

Gazprom Neft is carrying out environmental modernization of its own Russian refineries. The company's total investment in the projects of the Omsk and Moscow refineries will exceed 700 billion rubles by 2025. Thanks to the modernization of the Moscow Refinery, the enterprise has been updated by 80%, and the environmental impact has been reduced by 75%.

The complex of treatment facilities "Biosfera" of the Moscow Oil Refinery in 2018 became the best infrastructure project, having received an independent award in the field of ecology, energy and resource saving Eco Best Award. In 2017, the project also received a Green Certificate from the all-Russian public organization Green Patrol and the international environmental award Ecoworld-2017.

The company's experience in implementing industrial automated monitoring systems helps to create industry standards.