Igor Sechin and Bernard Looney Hold a Meeting
During the Russian Energy Week-2021 (REW), a meeting was held between Igor Sechin, Chief Executive Officer of Rosneft, and Bernard Looney, Chief Executive Officer of BP.
The parties discussed the prospects of cooperation development, including the possibility of gas supplies to Europe under an export contract between the companies. “Implementation of a pilot project for the export of 10 billion cubic meters of gas from Rosneft resources under a contract with BP could help provide additional supplies to the European gas market in the future. This proposal was announced at the meeting with the President and is now being studied by the Government of the Russian Federation,” Igor Sechin said at the meeting.
The parties also discussed possible creation of a joint venture to develop infrastructure for refueling vehicles with natural gas in the Russian Federation.
An important topic of the meeting was the strategic partnership of the companies in carbon management. The respective Agreement was signed by the parties in February 2021.
The parties are currently identifying further opportunities to improve the greenhouse gas emission reduction indicators.
Rosneft and BP are developing the latest design standards and evaluating the implementation of a number of low-carbon technologies at their joint ventures in Russia, and are considering projects in the areas of wind energy, power efficiency, carbon capture and storage, and natural CO2 absorption. All this contributes to the delivery of the low-carbon plans of both companies.
Another area of cooperation is the experience sharing on such issues as the methodology for greenhouse gas emissions accounting, practical application of technologies to specify the level of methane, as well as the development of optimal solutions to reduce its emissions.
During the meeting, the parties also discussed the implementation of joint projects. Since 2015, Rosneft and BP, together with Indian companies, have been developing Srednebotuobinskoye oil and gas condensate field in East Siberia (Taas-Yuryakh). The construction of the main facilities of the second stage of the field development was completed in pursuance of the project. The production level equals 14 thousand tons per day. In 2020, 4.8 million tons of liquid hydrocarbons were produced.
The development of Kharampursky and Festivalny license areas in Western Siberia continues.
It is planned to launch ESG projects at joint ventures Kharampurneftegaz and Taas-Yuryakh Neftegazodobycha.
The companies are successfully implementing the largest joint production project abroad, Zohr in Egypt. At present, the production level averages 77 million cubic meters of gas per day.
Rosneft and BP continue to cooperate in the supply of oil and petroleum products. Since 2018, Rosneft has supplied 30 million tons of oil and petroleum products to BP.
The companies remain strategic partners in the German oil product market. Rosneft Deutschland continues to supply petroleum products to the BP retail network in Germany and the basic fuels to the German market. In 2020, these supplies amounted to 3.6 million tons and about 2 million tons in January-August 2021. On average, this is over a third of all basic fuels produced at the refineries shared by Rosneft in Germany.
