Rosneft boosted development drilling by 34.5% in 2016
Staff Writer |
Rosneft average daily hydrocarbon production increased by 11.8% in Q4 2016 (vs. Q3 2016) to the new record high of 5.83 mmboed.
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In 2016 the company’s average daily hydrocarbon production amounted to 5.37 mmboed (or 265.2 mmtoe total for the year).
Q4 2016 average daily liquid hydrocarbon production amounted to 4.46 mmboed with 12.1% increase vs. Q3 2016 and 13.3% - vs. Q4 2015.
The main growth factors were Bashneft integration in October, commissioning of production assets at the East Messoyakhskoe field and comprehensive testing of oil production, treatment and transport facilities at Suzun field, consistent improvement at RN-Yuganskneftegaz (+2.5% vs. Q4 2015), Samaraneftegaz (+3.0% vs. Q4 2015) and RN-Severnaya Neft (+8.8% vs. Q4 2015).
Total liquid hydrocarbon production in 2016 grew by 3.6% to 210.0 mmtoe. Net of Bashneft acquisition the liquid hydrocarbon production increased by 0.9% YoY.
The development drilling in 2016 increased by 35% to 9.3 mln m in accordance with planned figures. Commissioning of over 2.6 th.
new wells in 2016 (43% YoY increase) 32% of which were horizontal represented the new record for the company. The share of in-house drilling service in the overall footage steadily exceeds 50%.
For further development of in-house services the company in 2016 acquired 15 sets of new heavy drill rigs BU 5000/320 and purchased Targin service company. By the end of 2016 the number of active drilling rigs increased to 280 units (+26% YoY).
The company's refining throughput at Russian refineries in Q4 2016 achieved 27.05 mmt, showing 25.5% growth vs. Q3 2016 level including the effect of Bashneft acquisition. Volume of oil refining net of Bashneft acquisition increased by 3.2% up to 22.2 mmt.
2016 total refining volume at the Russian refineries in 2016 increased up to 87.5 mmt vs. 84.7 mmt in 2015. In addition, volume of the company's oil refining at foreign refineries (12.8 mmt) surpassed the figure of 2015 by 4.8%.
Resulting from improved efficiency of facilities operation and optimized operations at Russian refineries, light products yield increased by 1.3 p.p. and achieved 56.6% in 2016, conversion rate increased by 5.5 p.p. vs. 2015 level. ■