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High North Peoples Support

Preserving
Traditions

Over many years LUKOIL has been conducting its production operations in West Siberia and Timan-Pechora Region in full accordance with the highest health, safety and environment requirements. LUKOIL places a great emphasis on dealing with the high north peoples (HNP) in KhMAO-Yugra, YaNAO, NAO and takes an active part in the preservation of the HNP culture, traditions and distinctiveness.

As a corporate citizen for a number of years LUKOIL has been discharging the following numerous obligations:

  • obligations assumed under cooperation agreements made by LUKOIL and the authorities in the regions (KhMAO - Yugra, YaNAO, NAO);

  • agreements providing for social and economic development of the regions and habitats of the indigenous minorities;

  • social and economic development agreements made with reindeer farms;

  • agreements made with traditional nature management areas;

  • obligations under license agreements;

  • seeking approval from the indigenous inhabitants for the development and exploration infrastructure;

  • cooperation with regional NGOs.

Every LUKOIL’s business unit operating in the Autonomous Okrugs is guided by the rules of conduct approved for the Company’s personnel and contractors working in the habitats of the indigenous minorities.

The key prospects of LUKOIL’s cooperation with HNP include:

  • strict abidance by the statutory provisions governing HNP relations;

  • further improvement of the environmental safety practices;

  • preservation of the traditional lifestyle of the indigenous minorities on the territories affected by infrastructure construction projects;

  • review of everyday issues faces by the indigenous peoples in the areas of the Company’s operations and joint effort to eliminate them;

  • promotion of a multilateral comprehensive dialogue involving both the authorities and NGOs.

In 2015 in pursuance of the cooperation agreements made with the Autonomous Okrugs LUKOIL allocated over 208 mln. RUB as HNP support in KhMAO-Yugra and YaNAO. The funds were for construction and renovation of residences and social infrastructure in the national villages.

In 2015 LUKOIL allocated 265.6 mln RUB in discharge of its obligations assumed under the economic agreements with HNP of KhMAO-Yugra and YaNAO.

The compensations (payable under the economic agreements) cover pecuniary payments, provision of aircraft and motor vehicles, tangible assets (snowmobile, boat, overboard motor, power generator, chainsaw, building materials), with some of the funds being used to cover medial and education costs.

The 2015 transportation services totaled 11.5 ths. hours. The Company supplied 730.6 tons of fuels and lubes, 604 vehicles and 123 tons of specialized mixed reindeer feed. Five HNP inhabitants were employed as oil and gas production operators.

In 2015 spendings (in money terms) per HNP family member payable as compensation for the damage caused by limiting the scope of economic activities via extraction of minerals in the areas populated by the indigenous peoples averaged 210 ths. RUB.

The Company sponsors annual national holidays such as “Reindeer Breeder’s Day” in Kogalym, “Hunter, Fisherman and Reindeer Breeder’s Day”, “Log Canoe Day”, and “Crow Arrival Day” in the villages of Russinskiye, Agan, Trom-Agan, Tazovsky and Tarko-Sale.

Seeking to improve HNP relations in West Siberia LUKOIL has been partnering with the representatives of the High North Peoples Assembly, municipality heads and non-governmental organizations “Yamal for the descendants!” and “Salvation of Yugra”.

In its effort to preserve the HNP language and culture, the Company jointly with the authorities of the Nizhnevartovsk District built an elementary school on the indigenous people’s camping ground, completed reconstruction and outfitting of the “cult ground” worshiped by the locals.

With the assistance of LUKOIL a lot of HNP representatives got apartments in Kogalym, Langepas, Pokachi, and the national villages of Agan, Trom-Agan, Russkinskaya, and Varyegan. In their traditional habitats the high north peoples began to use log houses. A lot of them watch satellite TV and use cellular phones. Their communal camping grounds are being connected to the power grid, numerous access motor road construction projects are underway.

For the tenth time round LUKOIL was declared winner in the category “Indigenous People Cooperation” of the “Yugra’s Black Gold” contest held by the KhMAO-Yugra Government.

In dealing with HNP in NAO LUKOIL relies on cooperation with the region’s authorities, non-governmental organizations, communal tribes and reindeer farms.

Starting in 2002 the Company has been successfully furthering cooperation with one of the region’s most reputable organizations, “Yasavey” Nenets Association. 

Over many years LUKOIL has been actively involved in the implementation and development of the region’s crucial projects, a grand-scale holiday of Buran-Dei which is a snowmobile and reindeer racing event, and a one-of-a-kind medical and social project “The Red Tent”.

In 2015 LUKOIL allocated 59 mln RUB in discharge of its obligations assumed under the economic agreements with HNP of NAO.

Kogalym has been hosting the Reindeer Breeder’s Day since 2007, which is an event that brings together reindeer breeders from all over KhMAO-Yugra and YaNAO. The event includes the following competitions: reindeer racing, national wrestling, sledge jump, fights on the log, lasso throwing on herder poles, family of reindeer breeders, master of the chum and his wife.

In NAO LUKOIL has been supporting the most famous holiday in the region: snowmobile and reindeer races called Buran-Dei. Back in the 1970s they used NAO as the first testing ground for the Buran snowmobiles. It is back then in the 70s that they starting hosting snowmobile races. Today they've evolved into All-Russian snowmobile races, an event that is very much loved by the indigenous people.

Partnership with the non-governmental organization "Yasavey" resulted in 2003 in the revival of the social project "The Red Tent", which is implemented today by LUKOIL jointly with Total Exploration and Development Russia supported by the authorities of NAO and the local governments.

"Naryana mya", which is the Nenets for "Red Tent" is a unique medical and social project. Every year a crew of Okrug's doctors go on a helicopter trip to the tundra to conduct on-the-spot examinations, render first medical aid to nomadic reindeer herders, and find out whether anyone's in need of a more thorough medical checkup or treatment. This is particularly helpful in NAO, where most indigenous peoples' settlements have no roads connecting them to the administrative centers.

As part of the Red Tent project doctors provide first aid training to the health assistants that have to be on every reindeer crew.

The project received a high assessment from the renowned Russian pediatrician Leonid Roshal, who recommended that the lessons learned in the Nenets Okrug be disseminated in other regions or countries, not only in the North, but also in remote and inaccessible mountainous locations.

In 2016 the "Red Tent" project turns 86. Between 2008 and 2015 over four and a half thousand individuals were subject to medical checkups. The funding provided under the joint

"Red Tent" project between 2008 and 2015 on the part of LUKOIL totaled 13 mln. RUR.

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