Successes of Russian energy industry are colossal

Successes of Russian energy industry are colossal

Successes of the Russian fuel and energy complex are colossal, Yury Shafranik, сhairman of the Council of the Union of Oil and Gas Industrialists of Russia and сhairman of the Supreme Mineral Council, said at a multimedia press conference dedicated to situation in the fuel and energy sector, external and internal challenges, as well as forecasts for 2019.

"We're second in the world after Saudi Arabia in oil exports; we're first in gas exports, third in coal exports. Excellent performance of all the past 15 years... All fuel and energy complexes of the industry managed to overtake the levels of the Soviet Union. And had pretty good levels back then," Yuri Shafranik said.

Summing up last year’s meeting with Vladimir Putin, Energy Minister Alexander Novak also said that Russian energy sector reached record production levels, which ensured increase in exports potential: "As for oil industry, we produced 556 million tons of oil in a year. This is 10 million tons more compared to 2017. The increase of 1.6%. 54 fields were put into operation, including several large ones, such as Russkoe, Tagulskoe, Kuyumbinskoe in the Krasnoyarsk Krai and Yamalo-Nenetsky Autonomous District.

Gas industry also broken 18-year production record: 725 billion cubic meters of gas have been produced, which is increase of about five percent compared to 2017. As for exports, they were higher by 20 billion cubic meters of gas, in other words, almost reached the level of 225 billion cubic meters. There was an increase in pipeline deliveries by 4.1%, and, of course, thanks to commissioning of new facilities - the Yamal LNG plant - the total export volume of liquefied natural gas increased by 70%, amounting to almost 26 billion cubic meters of gas.

The third phase of the Bovanenkovskoye field was also commissioned. This increased Russia's production to 115 billion cubic meters of gas. This is also a source of gasification, which increases exports potential. In the gas industry, we have an intensive dynamic of infrastructure building - the Power of Siberia and the Turkish Stream. "

Yuri Shafranik warned that if necessary measures won't be taken, the decline in oil production may begin, but so far indicators are pretty good: "By 2000, oil exports reached 144 million, now it reached 260 million... Labor productivity has increased by six times, two times since 2000. The injury rate dropped by 12 times. The number of employees was 900 thousand, in 2000 - 400 thousand, now - 143 thousand. As for coal production, in 2000, 258 million tons were mined, now - 433 million tons. Exports reached 38 million in 2000, and now it reached 190 million."