The
Company bought 606,000 tonnes of oil
in Russia
during 2009, compared with 236,000 tonnes bought in 2008.
Refining
at the Company’s own refineries inside Russia was 44.46 million tonnes,
which is 0.6% more than in 2008. Work was carried out to optimize deliveries to
Company refineries. Direct contracts were made between LUKOIL-Komi and the Ukhta
refinery, and between LUKOIL-Volgogradneftegaz and the Volgograd Refinery (crude
oil, which was previously supplied to the Caspian Pipeline Consortium system was
supplied instead to the refineries, with positive economic effect). The Company
also delivered 2.05 million tonnes of crude oil for processing to third-party
refineries in Russia in order to obtain additional
profit. An important event was signing in August 2009 of an agreement for
supplies of crude oil to refineries in Bashkortostan. This contract gives LUKOIL
a guaranteed market for crude oil inside the country on export
terms.
Crude oil
exports from Russia by LUKOIL
subsidiaries (including oil purchased from other producers) grew by 6.9% in
comparison with 2008 to 42.02 million tonnes thanks to large deliveries via the
Varandey terminal. The Company exported 33.66 million tonnes to the far-abroad
countries and 8.36 million tonnes to the near-abroad countries. The Company
managed its export deliveries efficiently in 2009, selecting the most profitable
export routes.
Most
export in 2009 was via the Transneft pipeline system. Deliveries via Transneft
were 33.00 million tonnes (8.5% less than in 2008) and their share in overall
exports was 79%. The volume of export deliveries by-passing the Transneft system
almost doubled in 2009 to 9.02 million tonnes of crude oil, due to commissioning
of the Company’s Varandey terminal in 2008. Deliveries through Varandey were
valued on the basis of actual quality of the crude oil, at a premium to the
Urals price. (There is no oil quality bank in the Transneft system, so crude oil
of any quality supplied through this system is sold at the price for Urals blend
crude, making Urals blend the Company’s main export
commodity).
The
Company exported 8.7 million tonnes of crude oil via its own transport terminals
in 2009 compared with 2.8 million tonnes in 2008. Use of the Company’s own
terminals reduces transportation costs and makes transport arrangements more
flexible.
Feedstock
deliveries to foreign refineries of LUKOIL
Group and to the ISAB and TRN refining complexes
were 18.24 million tonnes, representing a record 50.7% increase compared
with 2008. This was achieved thanks to acquisition of stakes in Western European
refineries. The Company also delivered oil for processing to third-party
refineries (Naftan and the Mozyr refinery in Belarus and the Panchevo refinery in Serbia). Volumes of these deliveries
in the accounting year were 1.73 million tonnes, which is nearly 25% less than
in 2008.
LUKOIL
sold 46.98 million tonnes of crude oil on the international market in 2009,
including 5.33 million tonnes in the near-abroad countries and 41.65 million
tonnes in countries of the far-abroad.
Crude Oil
Deliveries in depth:
LUKOIL Annual
Report