OIL REFINING

As a vertically integrated company, Gazprom Neft is largely focused on refining crude oil and producing petroleum products. Gazprom Neft produces a wide range of refined petroleum products and petrochemicals. The Company’s main products include petrol, diesel fuels, oils, bitumen for roads and construction, marine fuels (bunkering), heavy fuel oil (mazut), jet fuel, paraffin wax products, and a range of aromatic hydrocarbons, liquefied petroleum gases, and catalytic agents.

Key priorities for Gazprom Neft in the production of petroleum products include:

  • Improving depth of refining;
  • Improving the environmental standards of fuels;
  • Meeting the needs of the internal market;
  • Extending the range of products produced; and
  • Improving health and safety standards and
  • Environmental protection.

Since 2009, OJSC Gazprom Neft has been implementing a large-scale refinery modernisation programme, not only to improve the quality of its products, but also to make motor fuels more environmentally-friendly and minimise their environmental impact. Gazprom Neft refineries switched to production of Class 5 motor fuels in 2013, ahead of the deadline set by the Russian Government’s technical regulations.

According to 2013 figures, the modernisation and product line optimisation programmes at the Company’s refineries in Russia increased the output of Euro 4 and Euro 5 automotive gasoline by 52% and Euro 4 and Euro 5 diesel fuel by 129% compared to 2012.

In 2013, Gazprom Neft maintained its leading position among Russian oil companies in terms of refining output. During the reporting year, 42.63 million tonnes of crude oil were refined and 40.5 million tonnes of commercial petroleum products were produced at the Company’s facilities.

In 2013, there was a slight reduction compared to 2012 (-1.6%) in the total refining volume at the Company’s refineries due to planned maintenance at the crude oil distillation plants of the Omsk refinery (September-October 2013) and the Yaroslavl refinery (March-April 2013), as well as a decline in refining volumes at the Mozyr refinery.

Gazprom Neft currently has full or partial ownership of five refining assets, the most important of which are the Omsk refinery, the Moscow refinery (where the Company has a 100% share of refining), and Yaroslavl Refinary Slavneft-YANOSYaNOS (where the Company has a 50% share of refining).

Source: Company data

Source: Company data