Rosneft: May 15 International Climate Day

On May 15, the international community celebrates Climate Day. The initiative aims to raise awareness of climate change issues affecting the well-being of not only current but also future generations.

” Rosneft” shares and actively supports international and national objectives in the fight against climate change. Adhering to the UN sustainable development goals in the field of combating climate change, the Company is improving its work in terms of carbon management and implementing projects aimed at increasing energy efficiency and rational use of associated petroleum gas (APG).

In 2017, as part of the Rosneft-2022 strategy, the first climate targets were set. The company has consistently expanded its carbon agenda and in 2019 developed corporate approaches to carbon management, defining the vision, plans and key steps in this direction.

Rosneft became the first Russian oil and gas company to announce climate targets up to 2035 as part of the Carbon Management Plan. The document provides for the prevention of greenhouse gas emissions in the amount of 20 million tons of CO2-, a reduction in the intensity of emissions in oil and gas production by 30%, the achievement of an intensity of methane emissions below 0.25% and zero routine flaring of associated gas by 2035.

Rosneft’s carbon management plan until 2035 takes into account the position of the Company’s key shareholders and forms the basis of Rosneft’s environmental agenda in the context of low-carbon economic development, including managing climate risks and identifying opportunities related to future energy demand.

The Company has a Carbon Management Committee with direct subordination to the Chief Executive Officer of Rosneft. The committee consists of key top managers and heads of structural divisions whose activities affect the achievement of goals in the field of reducing greenhouse gas emissions.

Rosneft pays special attention to the implementation of programs aimed at energy conservation and rational use of APG, the implementation of which is a key factor affecting the reduction of greenhouse gas emissions. Thanks to the effective implementation of the Energy Saving Program in 2020, the Company achieved energy savings in the amount of 396 thousand tons of fuel equivalent. High results in the direction of energy efficiency ensured the prevention of greenhouse gas emissions in the amount of about 4 million tons of СО ₂ eq. over the past 3 years.

The company is also actively implementing projects in the field of rational use of associated petroleum gas . In 2020, the construction of 21 APG utilization facilities was completed, including facilities for gas injection into the reservoir, power generation, gas treatment and use, as well as gas transmission infrastructure. For example, in 2020, the construction of a 50.5 MW gas turbine power plant was completed at Taas-Yuryakh Neftegazodobycha LLC. The total volume of capital investments by the Company in the construction of gas infrastructure facilities in 2020 amounted to about 17.3 billion rubles.

Since 2019, Rosneft has been participating in the initiative of leading international oil and gas companies “Guidelines for reducing methane emissions in the natural gas value chain”. Over the past three years, the volume of reductions in fugitive methane emissions in the Upstream segment amounted to 236 thousand tons.

A milestone event for Rosneft is the start of the Vostok Oil project, which involves the development of the world’s largest oil and gas province in northern Russia. The company intends to implement this project with a low carbon footprint, accounting for only 25% of the traditional indicators typical for new global projects. This level will be achieved through the rational use of associated petroleum gas, the creation of year-round wind power generation, as well as through a high-quality resource base.

Rosneft is changing the structure of production in favor of more environmentally friendly products, increasing gas production and its share in total production. At the end of 2020, the share of gas exceeded 20% of the Company’s total hydrocarbon production.

Rosneft is constantly improving the characteristics of its motor fuels and expanding the geography of their supplies. In 2020, the Company continued to increase the number of filling stations selling new types of fuel with improved environmental characteristics – high-octane fuel Pulsar 100, Euro-6 based on AI-95, as well as a range of fuels with ACTIVE technology at filling stations of the BP network. Rosneft is also developing a program of compressed natural gas filling stations and equipping its filling stations with charging infrastructure for electric vehicles.

Raising the level of environmental culture is one of the key priorities of the company’s personnel policy. As part of the Carbon Management Plan activities, more than 15 information sessions were held for managers and employees of various divisions of the Company’s Headquarters and the Group Companies. Since 2021, such sessions have been held in the format of corporate training on an ongoing basis. Specialists of the Company were trained in the course “System of accounting, monitoring and reporting on greenhouse gas emissions in the light of regulatory and methodological requirements in accordance with ISO 14064 standards.”