LUKOIL
is a major international vertically-integrated oil & gas company,
accounting
for 2.2%
of
global output of crude oil.
The
strong position, which the Company enjoys today, is the fruit of 20 years work
to expand the reserve base, increasing business scale by seeking out and
executing strategic transactions.
LUKOIL
today
ü 2.2%
of
global production of crude oil*
ü The
largest privately
owned oil & gas company in the world by proved oil
reserves
ü 3rd largest privately owned oil & gas
company in the world by oil production
ü 17.8%
of Russian crude oil production and 18.2% of Russian crude oil refining
ü One
of the biggest Russian oil business groups with $100 billion revenue and net
income in excess of $9 billion
*
Figures
from EIG.
Exploration &
Production segment
LUKOIL
is implementing oil & gas exploration and production projects in 12 countries.
Proved
reserves as of December 31, 2010 were 17.3 billion barrels of
oil.
89.8%
of
Company’s proved reserves and 90.6%
of marketable hydrocarbon production are
in Russia.
The
Company is also taking part in 11
projects in 5 countries outside
Russia.
Most
activity is concentrated in four federal districts of the Russian Federation: the North-West, the
Volga, the Urals and the South.
The
Company's main resource base and oil production region is Western Siberia which
accounted for 44% of proved hydrocarbon reserves and 49%
of LUKOIL’s hydrocarbon production
in 2010.
International
projects account
for 10.2% of Company’s proved
hydrocarbon reserves and 9.4% of marketable hydrocarbon
production.
Refining & Marketing
segment
Refining
& marketing is LUKOIL's second major business
segment.
By
developing this segment the Company lowers its exposure to high price volatility
on the crude oil market and enhances its competitive position in main business
regions by production and sale of high-quality petroleum products with high
value-added.
LUKOIL
currently produces a wide range of high-quality petroleum and gas products and
petrochemicals, selling them via wholesale and retail in over 30
countries.
Has
oil refineries in 6 countries
(including share in the ISAB refinery complex and TRN
Refinery).
Overall
capacity of LUKOIL Group refineries at the end of 2010 was 71.5 mln tons of crude oil per
year.
The
Company owns 4 oil refineries and 2 mini-refineries in Russia, as
well as 4 gas-processing plants. The Company's Russian assets also include 2
petrochemical plants.
Overall
capacity of Russian oil refineries of LUKOIL Group at the end of 2010 was
45.1 mln tons per year
(338 mln barrels per
year).
LUKOIL
currently produces a wide range of high-quality petroleum and gas products and
petrochemicals, selling them via wholesale and retail in over 30
countries.
In
December 2010
we
commissioned a catalytic cracking facility at our Nizhny Novgorod
refinery,
which is the largest catalytic
cracking facility built in Russia for the last 25 years,
enabling production of gasoline that fully meets Euro-5
standards.
Power
Generation sector
Power
Generation sector comprises all aspects of power generation, including delivery
and marketing of electrical energy and of heat produced at power plants. The
nucleus of the segment is the Russian power generating company, UGK TGK-8, which
was acquired by LUKOIL in 2008, but it also includes companies producing
electricity and heat in Bulgaria, Romania, and Ukraine.
LUKOIL
Group has power generating capacity of 4.4
GW.
The
Group’s electricity
output in 2010
totalled
14.6 billion
kWh.
Heat
production in 2010 was 15.3
million
Gcals.
Innovation
policy
Innovation
policy is
becoming a key aspect of Company development, as application of new technologies
increases efficiency of the business.
We are now the first Russian Company with experience of work on Africa’s deep-water continental shelf.
We
are continuing to perfect our technologies for production of heavy and
high-viscosity oils in Russia and we accounted for
20%
of
total Russian output of oil in these categories in 2010.
In
2010
the
Group created a unified corporate R&D center, LLC LUKOIL-Engineering.
The task of the new LLC will be to organize and carry out R&D work in the
geology, development and production spheres at all LUKOIL operating sites. A
business structure has also been set up at OJSC RITEK for work with complex and
unproductive fields, and will spearhead use of innovative approaches in oil
production.
