Rosneft presentation about the company. OJSC NK Rosneft is the leader of the Russian oil industry. OJSC NK Rosneft-Kurgannefteprodukt technical presentation of Rosneft oil - presentation

There are several definitions of organizational (corporate) culture: 1. values ​​and norms learned and applied by members of the organization, which at the same time decisively determine their behavior 2. atmosphere or social climate in the organization; 3. the dominant system of values ​​and behavioral styles in the organization. 2

Corporate culture performs two main functions: 1. internal integration: carries out the internal integration of members of the organization in such a way that they know how they should interact with each other; 2. external adaptation: helps the organization adapt to the external environment. 3

The main elements of organizational culture: 1. behavioral stereotypes: a common language used by members of the organization; the customs and traditions they adhere to; rituals performed by them in certain situations. 2. group norms: standards and patterns characteristic of groups that regulate the behavior of their members. 3. proclaimed values: articulated, publicly announced principles and values ​​that an organization or group strives to realize (“product quality”, “market leadership”, etc.). 4

4. philosophy of the organization: the most general political and ideological principles that determine its actions in relation to employees, clients or intermediaries. 5. rules of the game: rules of conduct when working in an organization; traditions and restrictions that a newcomer must learn in order to become a full-fledged member of the organization; "routine order". 6. organizational climate: a feeling determined by the physical composition of a group and the characteristic manner in which organizational members interact with each other, clients, or other outsiders. 7. existing practical experience: methods and techniques used by group members to achieve certain goals; the ability to carry out certain actions, passed on from generation to generation and not requiring mandatory written recording. 5

Types of Corporate Cultures Clan organizational culture: a very friendly place to work where people have a lot in common. The organization places emphasis on the long-term benefits of personal development and attaches importance to a high degree of team cohesion and moral climate. An adhocracy organizational culture is a dynamic, entrepreneurial and creative place to work. The organization encourages personal initiative, creativity and freedom. Hierarchical organizational culture: a very formalized and structured place to work. Market culture. This type of organizational culture dominates in results-oriented organizations. The style of the organization is a strictly pursued line on competitiveness. 6

Brief description of OJSC Rosneft The Rosneft Company is an open joint-stock company. OJSC Rosneft is a legal entity and operates on the basis of the Charter and legislation of the Russian Federation. Rosneft is a vertically integrated company that is actively developing oil exploration and production, production and sales of petroleum products (gasoline, diesel fuel, oils, antifreeze, kerosene, etc.). The company is building its future on active and sustainable growth in the main sectors of the oil and gas business, strengthening its leading position in the industry through efficient 7

The Rosneft company strives to remain a socially oriented company, comply with environmental standards, and respect the historical heritage of its country. Rosneft's mission is to be a sustainable leader in the sectors of oil exploration and production, production and sales of petroleum products by using the company's internal potential and acquiring new assets, ensuring long-term and profitable business growth in order to increase the value of the company's shares and shareholder income. The enterprise consists of a central management and sales departments subordinate to it. 8

Among the positive features of the organizational culture of the Rosneft company, we can highlight: 1. A rationally organized training system for newcomers: passing a probationary period, which in most cases contributes to better adaptation in the workplace, securing experienced mentors who help to understand the specifics of the work; 2. The tradition of celebrating the company’s birthday; 3. Availability of a uniform (business attire); 4. Symbols of the enterprise, production of various products with these symbols: pens, calendars of large and small formats, folders, forms, etc.; 9

Of course, there are some shortcomings of the current organizational culture; they cannot be called negative aspects, because they do not immediately and directly lead to a decrease in the efficiency of the organization, but in the future they can affect it negatively. These features include the absence of: 1. Written rules of behavior; 2. Legends and myths about the company; 3. Professional skills competitions.

Based on the corporate culture of Rosneft, the following conclusions can be drawn: 1. The Rosneft company values ​​individualism, professionalism, communication skills and a creative approach to the work performed in a person. 2. The communication system includes written, oral and non-verbal communication, “telephone rights” and openness. But the openness of communications differs from group to group, from unit to unit. 3. The ability to look is valued in an employee. Employees are characterized by a business style of dress, neatness, etc. A person in any work situation must bear the name of the company with honor. 4. Meals are organized right in the office, which is very convenient, since there is no long break from work. Meals are subsidized by the company. 12

5. Compliance with time schedule and punctuality are urgent requirements. 6. Relations in the organization cannot be called purely formal, since they contain a certain freedom. But this freedom is contained within certain limits. To those higher in rank. 7. In organizational life, people value work and their position. But there is no zeal for higher positions, in which the best human qualities fade. These values ​​are anchored in respect for responsibility, professionalism and healthy competition. 8. Employees have faith in management, their own strengths, mutual assistance, ethical behavior and justice. Moral standards also influence the quality of work. 9. All employees strive to carry out their work consciously, relying on intelligence and strength. There are procedures for informing employees. 13

2 Rosneft in Russia First place in oil production First place in terms of growth rate of oil production First place in daily oil production First place in terms of oil refining volumes Highest efficiency of capital investments Source: Central Dispatch Office of the Fuel and Energy Complex Installed refining capacities of refineries of Russian companies, million tons/year Source : Rosstat of Russia, Ministry of Industry and Energy of Russia, company reports Oil production in Russia, 2008, million tons/year Growth in average daily oil production, 2008/2007, % Rosneft Tatneft TNK-BP LUKOIL Surgutneftegaz Gazprom Neft Slavneft Rosneft the largest oil company Russian company


3 NK "Rosneft" - a full-cycle oil company Vankorneft Purneftegaz Yuganskneftegaz Northern Oil Polar Lights Arkhangelsk Moscow Tuapse Grozneftegaz Stavropolneftegaz Dagneft Dagneftegaz Samaraneftegaz Samara Udmurtneft Strezhevoy Tomskneft Achinsk Angarsk Verkhnechonskneftegaz VSNK Sakhalin morneftegaz De-Kastri Sakhalin-1 Komsomolsk-on-Amur Nakhodka Novorossiysk Krasnodarneftegaz Oil production Oil refining Marine terminal Pipeline Complex SOUTH Complex CENTER Complex SIBERIA Complex EAST Regions of presence of Rosneft Oil Company in Russia: Western and Eastern Siberia Far East Black Sea-Caspian region Timan-Pechora Oil Company Rosneft: Production - 27 enterprises Oil refining, petrochemicals - 19 enterprises Sales - 82 enterprises Service – 81 enterprises Science – 10 institutes Number of employees – 176 thousand people.


4 NK "Rosneft" comprehensive solution to the problems of development of the oil industry in the East of Russia Yuganskneftegaz Purpe Nizhnevartovsk Surgut Anzhero-Sudzhensk Taishet Tomskneft Vankor Purneftegaz Yurubcheno-Tokhomskoye Verkhnechonskoye Achinsk Refinery Angarsk Petrochemical Company Komsomolsk Refinery Skovorodino Khabarovsk De-Kastri Sakhalin-1 Primorsky Refinery Nakhodka ESPO Stage I B China Marine terminal Existing oil pipelines Designed and under construction oil pipelines Production oil refinery Oil refinery under construction Projected petroleum product pipeline Under construction ESPO oil pipeline Branch of the ESPO oil pipeline to China under construction ESPO Stage II


5 Vankor oil field is one of the largest in Russia Moscow Vankor 1988 discovery of the field 2003 acquisition of the field by Rosneft 2006 start of construction and proactive drilling start of production History of development Location - north of the Krasnoyarsk Territory Area - 447 km 2 Recoverable oil reserves - 520 million tons Quantity production wells – 425, incl. 307 (72%) horizontal Production level – 25.5 million tons/year Vankor-Purpe oil pipeline – 556 km


6 Main facilities for the development of the Vankor field Central oil collection point: 3 oil treatment plants with a capacity of 7.5 million tons per year High and low pressure gas compressor stations, 3 technological lines Tank farm with a capacity of m 3 Gas turbine power plant 200 MW Oil treatment and water discharge installation “Yug” » 66 thousand m 3 per day Oil treatment and water discharge installation “Sever” 66 thousand m 3 per day Mini refinery with a capacity of 50 thousand tons/year of diesel fuel In-field networks (oil pipelines, water conduits, roads, power lines)


7 Resources: Oil 361.4 million tons Gas 481.2 billion m 3 Resources: Oil 419 million tons Gas 376 billion m 3 Reserves: Oil 195 million tons Gas 195 billion m 3 Resources: Oil 14.5 million tons Gas 269.4 billion m 3 Rosneft projects on the shelf of Sakhalin Island Source: DeGolyer&McNaughton, Vostochno-Shmidtovsky (Sakhalin-5) Kaigansko-Vasyukansky (Sakhalin-5) Sakhalin-1 Veninsky (Sakhalin-3) O. Sakhalin Okha De-Kastri Nogliki Marine terminal Existing oil pipelines Field Projected oil product pipeline Licensed areas


8 Projects of NK Rosneft in oil refining Reconstruction of the Tuapse Oil Refinery, increasing refining volumes to 12 million tons/year. increasing the depth of refining Development of the Samara group of refineries updating existing production facilities increasing the depth of refining production of petroleum products of the Euro-4 standard Reconstruction of the Achinsk oil refinery increasing refining capacity to 8 million tons/year. construction of a coking complex, including an installation for vacuum distillation of fuel oil. Reconstruction of the Angarsk Petrochemical Plant; increase in processing capacity to 13 million tons/year. modernization of outdated equipment Moscow Samara Achinsk Angarsk Tuapse Reconstruction of the Komsomolsk oil refinery increasing refining volumes to 8 million tons/year. increase in processing depth up to 92% Komsomolsk-on-Amur


9 Construction of the Primorsky Oil Refinery Raw material oil coming from the ESPO oil pipeline Location - Primorsky Territory, Partizansky District, coast of Elizarova Bay Project implementation period. The volume of crude oil refining is 20 million tons/year. Refining depth - not lower than 95% Refinery complexity index not lower than 10 Number of personnel: about 3,500 people. Supply of the Primorsky Territory of the Far Eastern Federal District with petroleum products in the amount of 1-1.5 million tons/year. Supply of oil refining and petrochemical products to the Asia-Pacific markets Primorsky Refinery General view of the Primorsky Refinery (project) Primorsky Refinery Cape Elizarova Oil product pipeline from the refinery to the terminal Oil pipeline from the ESPO to the Primorsky Refinery ESPO oil pipeline under construction Nakhodka Kozmino


10 Marine terminals of Rosneft Port Nakhodka Unified technological chain for storage and shipment of petroleum products Transshipment 7 million tons/year Port of De-Kastri Transshipment up to 12 million tons/year. POH Belokamenka Transshipment up to 12 million tons/year. Tuapsenefteproduct Transshipment up to 10 million tons/year Arkhangelsk oil product Transshipment up to 4 million tons/year Moscow Tuapse Murmansk Arkhangelsk De-Kastri Nakhodka


11 Corporate research and design complex Angarskneftekhimproekt SakhalinNIPImorneft STC-Krasnodar SvNIINP SamaraNIPIneft Samaraneftekhimproekt TomskNIPIneft KrasnoyarskNIPIneft Izhevsk NSC UfaNIPIneft KNTS KNPK includes 10 corporate research and development institutes with a total number of people. Upstream – 7 institutes people. Downstream – 3 institutes people.


12 NK "Rosneft": scientific and design complex Corporate scientific and design complex (CRPK) NK "Rosneft": Corporate scientific and technical center (Moscow) 10 regional institutes Integrated design Development and implementation of 11 key areas of scientific research CRPK NK "Rosneft" cooperation with fundamental science: More than 20 academic institutions Universities in all regions of presence, incl. in Moscow and St. Petersburg Cooperation with leading scientific centers of the world St. Petersburg Moscow Ufa Samara Krasnoyarsk Tomsk Novosibirsk Stavanger Edinburgh London Paris Calgary Stanford Tulsa Austin Houston Dallas


13 NK "Rosneft": international energy cooperation in action Europe USA Asia-Pacific USA Verkhnechonskoye field Sakhalin projects Timan-Pechora Creation of a new export route to Europe and the USA Increasing oil exports to the Asia-Pacific countries and the USA, in the future - the start of gas exports from the Belokamenka PSC Vostok Energy Kurmangazy Adai block Caspian Sea shelf (Turkmenistan) UdmurtneftBlock 245-South, Algeria Tianjin Refinery PetroChina Purneftegaz Utilization of associated gas NK Rosneft implementation of international projects for oil production and transportation (expansion of the CPC pipeline, construction of the Burgas-Alexandroupolis oil pipeline)


14 Young specialists Higher prof. education Pre-university training 52 “Rosneft-classes” in 13 regions of the Company’s presence and in 28 cities Professional orientation of schoolchildren to oil professions Training using modern technologies Employee development Corporate system of continuous education Work with students and graduates of “Rosneft-classes” Payment of corporate scholarships to talented students Internships, internships, career guidance events Attracting the best university graduates to work in the Company Adaptation events Individual development Additional professional education Involvement in scientific and technical creativity Advanced training programs MBA programs Additional education programs




16 Retraining and MBA programs Partners of NK Rosneft Moscow School of Management SKOLKOVO, MGIMO (U) MFA of Russia, Graduate School of Management of St. Petersburg State University, Stockholm School of Economics, Norwegian Business School, International Institute of Management LINK, Professional Business School For During the period: 19 employees were trained in MBA programs; 189 top managers and heads of departments in business schools for the development of management skills. During the period, 58 managers and specialists were trained in retraining programs. In 2009, the second group of MBA program students, 21 people, will complete their training.


17 Social policy of OJSC NK Rosneft Support programs for young professionals One-time cash benefits for out-of-town young professionals Payment of bonuses to young professionals undergoing internship in a working position Place in a hostel or compensation of 50% of the cost when renting housing Places in preschool institutions at the expense of the Company and DO Mortgage lending program for young professionals included in the personnel reserve


18 Implementation of large oil and gas projects High scientific and technical potential Diversification of Russian oil and petroleum product export routes Mutually beneficial exchange of assets and technologies Strengthening international cooperation Strengthening the country’s energy security Rosneft today:


2 p/p Action 1 Briefly about the Company OJSC Rosneft. Project "Rosneft-class". 2Profile specialties for the oil industry: 2.1 Development and operation of oil and gas fields / Oil and gas business 2.2 Geology of oil and gas 2.3 Drilling of oil and gas wells 2.4 Technological machines and equipment 2.5 Technosphere safety 3Contact information Meeting program


OJSC NK Rosneft is the leader of the Russian oil industry. OJSC NK Rosneft is the largest company in the country, covering the South and Center of Russia, Siberia, the Far East, and the Arctic shelf. The company's seven large oil refineries are distributed throughout Russia from the Black Sea coast to the Far East, and the sales network covers 44 regions of the country. One of the main competitive advantages of Rosneft is the scale and quality of its resource base. In 2012, Rosneft confirmed its status as the largest company in terms of proven reserves of liquid hydrocarbons, and also took the place of the undisputed leader in terms of hydrocarbon resources. The company is the largest subsoil user on the Russian shelf. The Company's main activities: Exploration and production of oil and gas Production and marketing of petroleum products and petrochemical products


4 Currently, with the support of the Company, 82 Rosneft classes have been created in 39 cities and towns of the Russian Federation on the basis of 45 educational institutions. Experience shows that thanks to extensive systematic work, more than 60% of graduates choose professions in demand at Rosneft. The company recommends the most promising students to study at targeted places in specialized universities, providing them with jobs after defending their diploma. For dozens of schoolchildren, this is not only a chance to gain new knowledge, but also an opportunity to engage in project and research activities, take part in various all-Russian competitions, olympiads and conferences. Number of students in “Rosneft-classes” Project “Rosneft-class” - training of valuable personnel


O. Sakhalin Angarsk AGTA Samara SamSTU Komsomolsk-on-Amur KAGTU Izhevsk UdSU Siberian Federal University, Siberian State Technical University Krasnoyarsk St. Petersburg State University NMSU "Gorny" Academic University St. Petersburg Arkhangelsk S(A)FU Yuzhno-Sakhalinsk SakhSU Grozny GGNTU Ukhta UkhtSTU Tyumen Tyumen MSNU Ufa USNTU Tomsk TPU Saratov SSU Stavropol NCFU Krasnodar KubSTU Moscow Russian State University of Oil and Gas MGIMO MIEP MIPT MSU Lomonosov REU Plekhanov Cities in which partner universities of the Rosneft Company and regional specialized universities are located Partner universities of the Rosneft company (30) Murmansk MSTU Geographical distribution of partner universities by region of presence of the Company Vladivostok FEFU Astrakhan ASTU Barnaul A ltSTU Irkutsk ISTU Ryazan RGTU 5














12 “Rosneft-class” p/n EventDate Note 1 Information notification Parent meetings, career guidance 2 Submission of applications for enrollment in RN-class to secondary school 3 3 Health check of candidates Medical examination (school) 4 Psychological testing - On the basis of secondary school 3 5 Meeting with representatives of ROSPAN On the basis of secondary school 3 6 Enrollment in the RN-class After passing the GIA 7 Opening of the RN-class of secondary school 3 8 On-site team-building event “Ladder to Success” November 2014 Surgut 9 Career guidance event “Profession Day” December 2014 SMS


Contact information of CJSC "ROSPAN INTERNATIONAL" Novy Urengoy, microdistrict Druzhba, 3 DC "Stroitel" Department of training and personnel development Head of department: Natalia Vitalievna Maslova tel

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PJSC NK Rosneft

Kraev A.D. Saribekyan V.K.

Rosneft is a state-owned vertically integrated oil company. Rosneft is included in the list of strategic enterprises; the state's share in the company's capital is fixed at 75%. Rosneft represents Russia's interests in international projects. According to Expert magazine, in 2017 it ranked third among Russian companies in terms of revenue. Full name: Public Joint Stock Company Oil Company Rosneft. Headquarters - in Moscow. Included in the 2017 Fortune Global 500 list (ranked 158th).

The structure of the company

Production LLC "RN-Yuganskneftegaz" LLC "RN-Purneftegaz" LLC "RN-Severnaya Neft" OJSC "RN-Samaraneftegaz" OJSC "Tomskneft" OJSC "Udmurtneft" LLC "RN-Sakhalinmorneftegaz" LLC "RN-Krasnodarneftegaz" OJSC "Grozneftegaz" CJSC Sakhalin Projects (Sakhalin-1) LLC RN-Stavropolneftegaz LLC Polar Lights Company CJSC Vankorneft OJSC NK Rosneft-Dagneft

Refining OJSC "Angarsk Petrochemical Company" OJSC "Achinsk Oil Refinery" LLC "RN-Komsomolsky Oil Refinery" OJSC "RN-Novokuibyshevsky Oil Refinery" OJSC "Kuibyshev Oil Refinery" OJSC "Syzran Oil Refinery" LLC "RN-Tuapse Oil Refinery" OJSC "NK Rosneft" - Moscow plant

Sales LLC RN-Nakhodkanefteprodukt LLC RN-Vostoknefteprodukt LLC RN-Arkhangelsknefteprodukt LLC RN-Tuapsenefteprodukt OJSC NK Rosneft-Altainefteprodukt OJSC NK Rosneft-Kubannefteprodukt OJSC NK Rosneft-Kurgannefteprodukt OJSC "NK "Rosneft-Smolensknefteprodukt" OJSC "NK "Rosneft-Kabardino-Balkarian Fuel Company" OJSC "NK "Rosneft-Karachaevo-Cherkessknefteprodukt" OJSC "NK "Rosneft-Stavropol" OJSC "NK "Rosneft-Yamalnefteprodukt" LLC "RN-Trade" " JSC "Hermes-Moscow" JSC "Belgorodnefteprodukt" JSC "Irkutsknefteproduct" JSC "Orelnefteprodukt" JSC "Penzanefteprodukt" JSC "Stavropolnefteprodukt" JSC "Tomsknefteprodukt" VNK JSC "NBA-Service"

Governing body

The supreme management body of Rosneft is the General Meeting of Shareholders. The Board of Directors exercises strategic management of the Company's activities on behalf of and in the interests of all shareholders. Management of the current activities of PJSC NK Rosneft is carried out by the sole executive body (Chief Executive Director) and the collegial executive body (Management Board). Executive bodies are accountable to the Board of Directors and the general meeting of shareholders. The position in the system of management bodies of PJSC NK Rosneft and the activities of executive bodies are regulated by the following internal documents of the Company: Charter of PJSC NK Rosneft (new edition (changes No. 1, 2, 3)) Regulations on the collegial executive body (Management Board) ( new edition (with amendments No. 1)) Regulations on the sole executive body (Chief Executive Director) (new edition (with amendments No. 1)) Corporate Governance Code

Igor Sechin Chief Executive Officer, Chairman of the Management Board, Deputy Chairman of the Board of Directors of PJSC NK Rosneft

Yuri Kalinin Deputy Chairman of the Management Board, Vice President for Human Resources and Social Affairs of Rosneft Oil Company PJSC

Eric Maurice Liron First Vice President of PJSC NK Rosneft

Gennady Bukaev Vice President - Head of the Internal Audit Service of PJSC NK Rosneft

Didier Casimiro Vice President for Refining, Petrochemicals, Commerce and Logistics, PJSC NK Rosneft

Petr Lazarev Financial Director of PJSC NK Rosneft

Elena Zavaleeva State Secretary - Vice President of PJSC NK Rosneft

Zeljko Runje Vice President for Offshore Projects, PJSC NK Rosneft

Yuri Kurilin Vice President – ​​Chief of Staff of the Company

Andrey Shishkin Vice President for Energy, Localization and Innovation, PJSC NK Rosneft

history of the company

Rosneft was created in 1993 as a company with 100% state participation. In the 90s, the state repeatedly planned to privatize the company, but these plans were not implemented due to low investor interest. Low interest from investors was explained by the poor financial condition of the company. By 1998, most of Rosneft's property was seized at the request of creditors, and the company almost lost its main production and processing enterprises. Rosneft's financial position began to improve after Sergei Bogdanchikov was appointed president of the company in 1998. A significant role in the growth of the company's financial performance was played by the rise in oil prices on the world market. Over the course of several years, Rosneft managed to regain control over its subsidiaries and acquire new assets. A new stage in the development of Rosneft began in connection with the bankruptcy of YUKOS. At the end of 2004, Rosneft bought Yuganskneftegaz, and in 2007 acquired most of the remaining assets of Yukos. This allowed Rosneft to take first place in Russia in oil production and refining and to become a leading player in the petroleum products sales market. The former Yukos enterprises account for about 3/4 of Rosneft's assets.

Rosneft today

Rosneft is the leader of the Russian oil industry and the largest public oil and gas corporation in the world. The main activities of PJSC NK Rosneft are the search and exploration of hydrocarbon deposits, the production of oil, gas, gas condensate, the implementation of projects for the development of offshore fields, the processing of extracted raw materials, the sale of oil, gas and their processed products in Russia and abroad. . The company is included in the list of strategic enterprises in Russia. Its main shareholder (50.00000001% of shares) is JSC ROSNEFTEGAZ, 100% owned by the state, 19.75% of shares belong to BP, 18.93% of shares belong to QH Oil Investments LLC, one share owned by the state, the remaining shares are in free circulation. The main goals and objectives of PJSC NK Rosneft are replenishment of reserves at a level of at least 100%, efficient production at mature fields and its growth through the implementation of new projects, creation of new offshore production clusters, development of technologies and implementation of world-class project management practices , monetization of gas reserves and competitive growth of production, optimal configuration of refineries and the most profitable sale of the Company’s products. The successful results of the activities of PJSC NK Rosneft in 2016 confirm the effectiveness of the applied strategy, the significance of the identified priorities and allow us to predict the further sustainable development of the Company for the benefit of shareholders.

Geography

The company operates in Russia, Venezuela, the Republic of Cuba, Canada, USA, Brazil, Norway, Germany, Italy, Mongolia, Kyrgyzstan, China, Vietnam, Myanmar, Turkmenistan, Georgia, Armenia, Belarus, Egypt, Mozambique, Iraq and Indonesia. The geography of activities of PJSC NK Rosneft in the Exploration and Production block covers all the main oil and gas provinces of Russia, including Western Siberia, Eastern Siberia, the Volga and Ural regions, the Far East, Timan-Pechora, Krasnodar Territory, as well as the sea shelves of the Russian Federation , including the Arctic, as well as promising regions abroad, in particular in Latin America and Southeast Asia.

Resource base

Rosneft is the largest oil and gas company in the Russian Federation and the largest in the world in terms of reserves and production of liquid hydrocarbons among public oil and gas companies. PJSC NK Rosneft is a leader among comparable public international oil and gas companies in organic reserve growth, reserve replacement ratio, including organic reserve replacement ratio excluding acquisitions, and reserve coverage. The replacement rate of proven hydrocarbon reserves according to SEC classification was 148%. The organic inventory replacement rate was 140%. At the end of 2016, Rosneft PJSC had proven hydrocarbon reserves according to the SEC classification for 19.9 years.

Mining of oil and gas

Rosneft is the world's largest producer of liquid hydrocarbons among public oil and gas companies. In 2017, oil and gas condensate production amounted to 210.0 million tons. The Company’s share in oil production in the Russian Federation is about 40%, and in global production 6%. As part of the global trend of growth in the production and use of gas as the most environmentally friendly fossil fuel, Rosneft continues to increase the share of gas both in its asset portfolio and in hydrocarbon production (21%), consistently approaching the indicators of the largest international companies (30 - 50%). In the fourth quarter of 2017, the Company increased production, which allowed it to take a leading position in average daily gas production among Russian independent gas producers. Gas production at the end of 2017 increased by 7.3%, reaching a record 67.1 billion cubic meters. m.

Strategic priorities of Rosneft

In the field of exploration and production on land - maintaining production and maximizing the potential of existing fields, rational implementation of new projects to ensure a sustainable production profile and maximum hydrocarbon recovery, as well as economically feasible development of unconventional and complex reservoirs. Formation of a new type of technologically advanced oilfield services business, allowing to meet the strategic needs of the Company and the best economic efficiency in the industry on the basis of its own drilling and service company RN-Burenie with the possible involvement of partners, as well as the creation of a pool of innovative technologies and competencies in all key areas of further development. Gas business development - the third largest gas producer in the Russian Federation. The company develops significant gas reserves in Western and Eastern Siberia and has a unique portfolio of licenses for the development of hydrocarbon resources on the Russian continental shelf. The strategic goal of PJSC NK Rosneft is to ensure the efficient development and sale of gas resources and significantly increase the contribution of the gas business to increasing the shareholder value of the Company. The level of gas production should reach 100 billion cubic meters by 2020 based on the planned development of the existing portfolio of gas projects.