Azernews.Az

By Abdul Kerimkhanov

Tatneft is negotiating to participate in joint projects in Kazakhstan, Uzbekistan, and Iraq, Interfax reports.

Tatneft is one of the largest Russian oil companies today and is an internationally recognized vertically integrated holding. The industrial complex of the company includes steadily developing enterprises of crude oil and gas production, petroleum refining, petrochemicals production, the tire-manufacturing complex, network of filling stations and services.

The company's board of directors discussed the company's development strategy outside Tatarstan. Tatneft reported that in 2019, work was resumed to increase oil recovery and repair of wells in the Goturdepe field in Turkmenistan.

In Russia outside Tatarstan, Tatneft this year has planned trial operation of 11 wells in the Nenets Autonomous Area and notes the prospects of work in this region. In 2025, the expected annual volume of oil production in the district should be 1.5 million tons.

"Work continues on the preparation for exploration and development of the Domanik deposits in the license areas of Savitsky and Zhuravlevsky in the Orenburg region. Significant investments are planned for further exploration drilling, seismic exploration at the sites of OOO Tatneft-Samara, OAO Kalmneftegaz, ZAO KalmTatneft," says a press release.

In general, this year Tatneft expects to receive an increase in reserves outside of Tatarstan in the amount of 3.8 million tons of oil and 35.8 million tons of resources.

The Board of Directors noted the important role of geological exploration in external projects, including the stabilization of oil production until 2050.

In addition, the board of directors discussed the implementation of goals and projects of the innovation and technology strategy. According to expectations, the introduction of innovations will provide an increase in EBITDA by 2030 in the amount of 34.6 billion rubles ($533.1 million) in the "Exploration and Production" business area, 21.5 billion rubles ($331.3 million) in "Neftegazpererabotka", 6.5 billion rubles ($100.1 million) in "Tire Business", 700 million rubles ($10.8 million) - "Energy", 600 million rubles ($9.2 million) - "Retail and Retail Network" and 500 million rubles ($7.7 million) - in the direction of "Mechanical Engineering".

Most of Tatneft’s reserves are located in Tatarstan. The company has licenses in Tatarstan, Kalmykia, Orenburg, Samara, Ulyanovsk regions and the Nenets Autonomous District. The execution of the exploration program at the company's contract areas in Libya and Syria is suspended until the situation stabilizes in these regions.

Tatneft and Uzbekneftegaz are discussing joint development of fields, including the Pritashkent investment block, as well as the creation of a joint venture in Uzbekistan in the future. In addition, Uzbekneftegaz invited Tatneft to participate in the operation of the Fergana refinery.

In Kazakhstan, Tatneft cooperates with Ozenmunaygas (a subsidiary of Exploration Production KazMunaiGas JSC) in introducing new oil production technologies into production.

In 2015, the Board of Directors of Tatneft considered the issue of opening a representative office in Iraq, in the same year the management of Tatneft met with a delegation from the Kurdish Autonomous Region of Iraq.

In September 2018, the Tatneft Board of Directors approved the development strategy for the period up to 2030. By 2030, Tatneft intends to increase oil production to 38.4 million tons per year with 100 percent replenishment of reserves.

It is assumed that the main part of the extracted oil - 31.4 million tons, will be accounted for “traditional” oil produced in Tatarstan, another 2.1 million tons - for super-viscous oil, also produced in the republic.

In addition, 3.5 million tons will ensure the development of exploration and the use of innovative mining methods. In addition, 1.5 million tons will be produced outside the republic, including 1.4 million tons - from fields in the Nenets Autonomous Area. The company noted that the targets for oil production do not take into account possible limitations within OPEC +.

Earlier it was reported that Tatneft Group in 2019 in connection with the OPEC + transaction plans to keep production at the level of 2018 - in the amount of 29.5 million tons, PJSC Tatneft - 29.2 million tons. The subsidiaries of the company outside Tatarstan are expected to produce 300,000 tons of oil - also at the 2018 level.

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Abdul Kerimkhanov is AzerNews’ staff journalist, follow him on Twitter: @AbdulKerim94

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