Rosneft’s Internal Audit Service Receives the Highest Rating from International Experts

The activities of the Rosneft Internal Audit Service comply with the International Professional Standards for Internal Auditing (IA) and the Code of Ethics of the Institute of Internal Auditors, which is the highest rating for internal audit. An external assessment of the activities of Rosneft was carried out by one of the world’s largest audit companies, KPMG.

KPMG experts compared Rosneft’s internal audit practice with the world’s best examples. The results of the assessment confirm that the Company has achieved a high level of corporate governance organization, as well as effective functioning of the internal control system and risk management processes.

During the assessment, KPMG experts studied the regulatory and methodological documentation of PJSC NK Rosneft, analyzed the working documentation and reporting materials on the audits performed for 2020-2021, as well as interviews with the Members of the Audit Committee of the Board of Directors and the Company’s management, employees of the Service internal audit.

“Based on our work as part of an independent external assessment of internal audit activities, we believe that as of September 2021, the organization and activities of internal audit at Rosneft in general comply * with the IA standards and the Code of Ethics developed by the Institute of Internal audit, ”the report says.

* According to the terminology of the Internal Auditing Standards, there are three grades of assessment:

• “Generally in line” is the highest rating, which means that the internal audit function has an internal audit policy, policies and procedures, and their implementation and results are assessed as meeting the standards.
• “Partly Compliant” – deficiencies in practice are assessed as deviations from the Standards, but these deviations do not prevent the audit function from fulfilling its responsibilities.
• “Inappropriate” – shortcomings in practice are assessed so significantly that they significantly affect the quality of performance by internal audit units of their responsibilities in all areas .