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APG utilization

Efficient APG use of 97.6% was achieved by LUKOIL Group entities in 2019. Further work in this area will involve the implementation of projects as part of the World Bank and UN initiative “Zero Routine Flaring by 2030.”

Associated petroleum gas (hereinafter, APG) is pumped into formations to maintain formation pressure and to generate heat and electrical energy for in-house use by oil and gas producing organizations. It is also supplied to gas processing plants and the gas transportation systems of other organizations. The Program for Rational APG Utilization has been in place at Russian LUKOIL Group entities since 2013. The program includes measures related to building new facilities and renovating continuously operating ones for the pre-treatment, transportation, and processing of APG. In 2017, Russian LUKOIL Group entities achieved a goal of 95% APG efficient use. Thanks to the program measures, environmental conditions in the Company's main oil and gas extraction regions (West Siberia, Perm Territory, Volga Region, and Republic of Komi) are improving.

APG Utilization level For LUKoil group

201720182019
95,4%97,4%97,6%


«ZERO ROUTINE FLARING BY 2030» INITIATIVE

The Company was one of the first Russian oil companies to join the World Bank's Zero Routine Flaring by 2030 initiative, which was announced in 2015 to pool the efforts of governments, oil companies, and non-government organizations to increase beneficial APG use.

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