PJSC LUKOIL has been operating in the Republic of Serbia since 2003, when it signed a privatization agreement with Beopetrol to acquire 79 percent of its shares. Its LUKOIL Serbia AD subsidiary now stands among the country’s 20 largest companies.
By constantly investing in the upgrades of existing and construction of new gas station complexes, the Company has built a state-of-the-art and efficient retail network comprising at the end of 2015 138 stations, and has established itself as a reliable supplier of petroleum products in Serbia. In addition to retail marketing of petroleum products, the Company is engaged in wholesale supply of LUKOIL petroleum products and motor oils.
An opening ceremony for the first newly reconstructed retail facility under LUKOIL’s brand in Serbia - an Avalski Put gas station - was held in Belgrad.
An opening ceremony for LUKOIL’s office was held in New Belgrade, attended by PJSC LUKOIL’s President Vagit Alekperov.
LUKOIL launched and completed the reconstruction of the majority of obsolete gas stations in its network. It also invested large amounts in the upgrading of its facilities and constructed four new gas stations: one on the highway leading to the Nicola Tesla Airport in Belgrade; two on Temerisnki Put and Kisacka Streets in the city of Novi Sad; and one in Irig area in the Vojvodina Region. In addition to the new corporate appearance, LUKOIL’s retail facilities received the most cutting-edge equipment cimpliant with the highest environmental standards.
Under its investment program, the Company continued to build retail complexes along the major highways and in large cities, including: Minut levo gas station on the highway near the city of Novi Sad; Dovanovci gas station in the southern section of the Šid-Belgrade highway; Mediana and Jastrebac gas stations in Niš; and Bistriţa gas station in Novi Sad. It also built new complexes at the sites of old stations, such as: Mihajlovac-1 and Mihajlovac-2 on the Belgrad-Niš highway; Prvomajska gas station in Belgrade; Božidara Adžije gas station in Niš, and others.
The Company began to outsource the management of its retail facilities to dealers. Employees working at these facilities were given an opportunity to take a gas station into dealership and start their own business.
The first Agreement between PJSC LUKOIL and the International Association of PJSC LUKOIL’s Trade Unions made up of the employees of LUKOIL’s entities operating overseas, was signed in LUKOIL’s office in Belgrade, an unprecedented step in international contractual practice. The signatories to the Agreement were PJSC LUKOIL’s President Vagit Alekperov and Chairman of the Association’s Council Georgii Kiradiev.
Early in the year, the Company reconstructed a pier along the Sava River making it part of the bulk plant in Ostružnica (in the suburbs of Belgrade). It also replaced the old pontoon with a new multifunctional transfer facility and renewed the old engineering service lines. The bulk plant is now one of the most advanced of its kind in Serbia, especially as regards its environmental profile, and can be accessed by deep-draft vessels and barges even in low-water periods.
The Company completed the dealership hand-over process for LUKOIL’s gas stations in Serbia. The entire process was carried out in close cooperation with the Company’s representative trade unions. Thanks to that initiative, over 80 percent of gas stations ended up under the management of former LUKOIL’s employees, and a large number of former employees continued to work at LUKOIL’s facilities.
LUKOIL marked its 10 years of operations in Serbia.
New kinds of LUKOIL-branded ECTO motor fuels went on sale at gas stations.
The Company carried out large-scale works to revitalize its retail network and storage facilities. As part of its brand recognition improvement program, the Companyconducted works at 95 facilities to bring in the course of two years the interior and exterior of all gas stations in line with its corporate style and standards. It also carried out works at different industrial process systems and replaced obsolete equipment at 67 gas stations. During the same period, as part of its system upgrading program, the Company took comprehensive steps to introduce a new corporate management system, Petronix, within its retail network comprising 111 gas stations in all regions of Serbia.
The Company signed an agreement with the city of Belgrade for 2016 to finance various initiatives in such fields as culture, science and sports, as well as environmental and charity projects.
LUKOIL launched its loyalty program.
Being a socially-oriented company, LUKOIL has been providing all kinds of assistance and support to local educational and healthcare institutions, orphanages, sporting events since its first day in the Serbian market, and strives to support projects intended to protect the country's rich cultural and spiritual heritage and promote intercultural dialog.
In 2011, following PJSC LUKOIL's initiative and with its financial support, Serbia hosted, for the first time in its history, a concert of the internationally acclaimed Tchaikovsky Grand Symphony Orchestra, which became a major music event for the country.
In 2013, under the auspices of the LUKOIL Sport Club and PJSC LUKOIL, Serbia hosted a qualifying football tournament of the 2013 LUKOIL Children's Champion Cup. LUKOIL Children's Champion Cup is held annually in different countries across the globe under the slogan "Play against racism". This competition brings together many football clubs, national associations and members of the Football Against Racism in Europe (FARE) network.
Over the course of many years, the Company has been cooperating with the Belgrade University's Economics Department to promote science and business.
To make the planning of its social and charity projects as effective as possible, the Company has been developing cooperation with local authorities and NGOs. For example, LUKOIL Serbia AD has a Cooperation Agreement with the Belgrade city's Administration to jointly single out projects they would provide support to.