Production and Development
In 2014, hydrocarbon production was 251.6 mm tons of oil equivalent, a 4.8% organic growth, year-on-year. With the new assets added, from the acquisition date production grew by 14.5%.
In 2014, Rosneft continued to increase hydrocarbon production fully replacing production with new reserves while maintaining industry leadership in efficiency.
Rosneft has main fully consolidated production and development enterprises, which produce crude oil in Western Siberia, Eastern Siberia, Timan Pechora, Central Russia, southern part of European Russia and the Russian Far East. The Company also has a 20% stake in the Sakhalin-1 project and a 50% stake in JSC “Tomskneft” VNK, both accounted for using proportionate consolidation method. In addition, Rosneft participates in major production joint ventures accounted for using the equity method: Udmurtneft – 49.54%, Polar Lights – 50.0% and Slavneft – 49.94%. The Company also participates in international projects in Vietnam and Venezuela.
In 2014, crude and liquids productiontotaled 204.9 mmt. Daily crude and liquids production remained at the level of 4.2 mm bbl/day.
New producing assets achieved maximum production levels since the beginning of their development – 22.0 mmt from the Vankor field, 8.2 mmt from the Verkhnechonskoye field, and 10.0 mmt from the Uvat project.
The Company continued to stabilize its brownfield production, primarily by efficient waterflood management and drilling wells with multistage hydraulic fracturing. Most noticeable successes in slowing down production decline rates were scored by Varyoganneftegaz and Samotlorneftegaz.
In 2014, gas production grew by 48.6% and reached over 56.7 bcm with the new assets added from the acquisition date.