LUKOIL started its operations in the Komi Republic in 1999 after it purchased the assets of the OJSC Oil Compay KomiTEK. Currently LUKOIL is involved in oil and gas production, oil refining, petroleum product marketing and R&D in the Republic.
The Komi Republic is part of the Timan-Pechora oil and gas province which also encompasses a part of the Nenets Autonomous Okrug.
LUKOIL is the largest oil and gas producing company in the Komi Republic. There are a number of major LUKOIL investment projects in the Komi Republic including the development of the Usinskoye, Vozeiskoye, Yuzhno-Lyzhskoye fields, Lyaelskaya area and Denisovsky license block that include the promising Bayandynskoye and Vostochno-Lambeishorskoye fields.
There is a unique Yaregskoye field in the Komi Republic where LUKOIL extracts "heavy", high-viscosity oil. Russia's only oil mines are located in Yarega.
Company Presence
| Subsidiary | Activities |
|---|---|
| LLC LUKOIL-Komi |  Oil and gas field development and production |
| LLC LUKOIL-Ukhtaneftepererabotka |  Oil Refining |
| LLC LUKOIL-Trans |  Transportation |
| LLC LUKOIL-Severo-Zapadnefteprodukt |  Petroleum Product Marketing |
| LLC LUKOIL-Rezervnefteprodukt | Petroleum Product Marketing |
| LLC LUKOIL-ENERGOSETI |  Electric power transportation |
The preliminary water removal unit (PWRU) was commissioned at the Kharyaginskoye field. This unit is the final point in the system of collection, preparation, and transportation of oil. Earlier the preliminary water removal unit and Vozei booster station No. 7 had been launched at the Kharyaginskoye field. When these facilities were commissioned, throughput capacity of the Kharyaga-Usa pipeline grew from 7 to 12 million tons per year.
The Usa-Heavy Oil treatment plant was commissioned. It was built in accordance with state-of-the-art technical solutions as the logical conclusion of the “light” and “heavy” oil stream separation at the Usinskoye field. Today high-viscosity “black gold” is extracted and treated separately from the rest.
Large-scale retrofit of the LUKOIL gas treatment plant began in Usinsk with major upgrade of its production capacities.
When the unique Zapandy Tebuk gas compressor station and gas treatment plant were commissioned in the Komi Republic, it marked completion of LUKOIL’s program for efficient utilization of associated petroleum gas (APG) from the South Timan-Pechora fields.
Construction of the Kharyaga-YUzhnoye Khylchuyu oil pipeline in 2013 made it possible for the Company to turn the oil stream to the north. Now the oil produced at the field is pumped to the Varandey terminal.
Stage-by-stage upgrade program was completed at LUKOIL’s refinery in Ukhta, in particular, the following facilities were commissioned: a unified control room, GDS-850 unit with a free sulfur generation unit, a visbreaking unit, an enclosed ground flare (EGF) and refinery tankage. In addition to that, the AVDU unit was upgraded.
The program of replacing rotating equipment with more robust and energy efficient units has been underway. One of the first facilities covered by this project was installation of a modern modular cluster pump station (MCPS) at the Yuzhno-Shapkinskoye field.
The fact of a new field discovery was confirmed. Geological structure was named after Andrei Alabushin, chief geologist of LLC LUKOIL-Komi who died too soon and who had initiated exploration of the Denisovskaya depression in Usinsky district.
A sulfur recovery and granulation plant was commissioned at the Bayandyskoye field of the Denisovsky license block. The facility helps the Company to recover hydrogen sulfide found in abundance in the associated petroleum gas of the field.
At the Vostochno-Lambeyshorskoye field of the Denisovsky license block an oil treatment unit was commissioned; the associated gas sulfur production and granulation capacities will be commissioned in 2016.
At the Usinskoye field as part of the retrofit program a major power hub of 125 MW and 11 steam-generating units with a total capacity of 270 tons per hour are to be constructed. This will make it possible for the Company to increase the extraction of heavy high-viscosity oil from the Usinskoye field. The power plant will generate enough electricity not only for the Usinskoye field, but for all other fields of the Denisovsky license block.
The total amount of investments allocated for LUKOIL's environment protection measures (insulation, maintenance and improvement of the oil collection and transportation system, diagnostic examination of pipelines, construction of environmental conservation facilities, reclamation of oil contaminated land sludge treatment, etc.) in the Komi Republic in 2000—2015 came to more than 47.8 billion rubles.
The Company has developed and implemented a plan for emergency oil spill prevention and response. Hydrotechnical facilities have been constructed, comprehensive monitoring of environmental conditions is underway.
Based on the results of the All-Russian review competition organized as part of the conference entitled "New State Environmental Policy in Real Economy" in 2005, LLC LUKOIL-Komi was recognized as "Leader in Nature Conservation Measures in Russia".
In February 2007 following a competition held as part the All-Russian conference "Ecology and Production. Prospects for Development of Economic Ways to Protect the Environment" in St. Petersburg under the auspices of the Federation Council Committee for Science, Culture, Education, Healthcare and Ecology, the State Duma of the RF, Ministry of Natural Resources of the FR, LLC LUKOIL-Komi" was declared winner and awarded a Golden Medal of "European Quality" and a diploma, "100 Best Companies in Russia. Ecology and Environmental Management."
In 2007 LUKOIL was the first company in the Region to finance reproduction of juvenile European grayling. As part of the annual project to reproduce biological resources of the northern rivers over the years almost a million juvenile whitefish and grayling were released into the waters of the rivers Pechora, Kolva, Syn, Izhma, and Usa.
Every year LUKOIL takes part in the republic-wide environmental project titled "The River Band" designed to inspect and and clean up the shores of the main rivers of the Komi Republic.
In 2010 LUKOIL fully eliminated the damage caused by the largest environmental accident of 1994, which was classified by production specialists and scientists as an environmental disaster and made it into the Guinness Book of Records. It became possible due to the efforts aimed at implementing the Environmental Safety Program.
From 2005 to 2012 all sludge collectors were reclaimed at the LUKOIL refinery in Ukhta, and the program of cleaning up and protection of ground waters from petroleum products was introduced.
In September 2013 in Syktyvkar LUKOIL presented its 2014—2018 environmental safety program in the Komi Republic that will come to 22 billion rubles. The program provides for stepped up land reclamation, replenishment of water biological resources, achievement of the 95% associated petroleum gas utilization level as well as rehabilitation and overhaul of pipelines.
LUKOIL contributes to social and economic development of the regions of its presence. This is the purpose of the Agreement signed between PJSC LUKOIL and the Komi Republic Government. As part of the agreement obligations, many infrastructure assets were built or renovated in the regions, including schools, kindergartens, cultural and sports facilities, etc.
A typical example of cooperation as part of the agreement (and minutes to the agreement) is non-commercial gas production at the Dzhebolskoye field, which is supplied to meet the needs of the local residents in the settlement of Komsomolsk-on-Pechora. The settlement is located many miles away from the neighboring localities and the district center, that is why the existing gas pipeline Dzhebol-Komsomolsk-on-Pechora is the only possible source of natural gas for the locals.
LUKOIL cooperates with key universities of the Komi Republic including the Syktyvkar State University and the Ukhta State Technical University. Comprehensive cooperation agreements with higher education institutions have been developed and implemented. These agreements envisage construction and equipment of classrooms, support of talented students, organization of internships and apprenticeships at the LUKOIL facilities in the Komi Republic.
Together with the Komi Republic Government, since 2014 LUKOIL has been purchasing school buses for the local educational institutions. In 2014—2016 48 schools, kindergartens, and orphanages received new specially equipped buses.
Since 2008 the Company has been implementing the "Holidays with LUKOIL" project introducing school students to LUKOIL's activities in the Region and showing them points of interest and beautiful places in Russia.
LUKOIL supports traditional ethnic and cultural events, such as the
"Lud" festival in the Izhemsk district, the Holy Trinity celebration in the village of Ust-Usa of the Usa district, "Ust-Tsilemskaya Gorka", "Sabantuy", the "Zarni Syur" reindeer breeder day.
Since 2005 in the Komi Republic the Company runs a Social and Cultural Projects Competition (together with the LUKOIL Charity Fund). Thanks to the contest grants three documentaries were made from the "Wheel of Time" cycle about traditions and rites of the Komi people, the "Akan-Muzei" doll museum was established in the village of Novikbozh, equipment was purchased for the Syktyvkar Master production and rehabilitation company employing people with visual impairments, a blind aid studio to voice books on local history was set up the Louis Braille Komi Republic Special Library for the Blind, etc.
In May 2013 an Ice Center was opened in Usinsk. It was constructed almost entirely due to LUKOIL's support.
The Company also supports orphanages, educational institutions, societies for the disabled, veterans and low-income citizens. LUKOIL's means are allocated to purchase equipment, furniture and accessories, and to organize events dedicated to the Defender's Day, the Victory Day, the Children's Day and the Knowledge Day.
Following an established tradition, the Company fosters sports organizations and invests in healthy lifestyle promotion. For instance, LUKOIL supports sports teams of Yarega and Niznhy Odes, holds football and hockey tournaments, purchases sports equipment, builds sports grounds and hockey rinks.
The Company helps major religious confessions represented in the Komi Republic. For example, LUKOIL financed construction of the Orthodox Christ Resurrection Church and renovation of a mosque in Usinsk, provided support for the construction of a church in Ukhta, helped churches in the settlements of Ust-Tsilma, Shchelyayur, Izhma and Gam.
