Russia Crude Oil Refinery Outlook to 2021

1 Table of Contents 2

1.1 List of Tables 5

1.2 List of Figures 7

2 Introduction 8

2.1 What is This Report About? 8

2.2 Market Definition 8

3 Russia Energy Sector 9

3.1 Russia Energy Sector, Market Overview 9

3.2 Russia Energy Sector, Oil 10

3.2.1 Russia Oil, Overview 10

3.2.2 Russia Oil, Supply and Demand Balance 10

3.2.3 Russia Crude Oil, Regulatory Structure 16

4 Russia Refining Industry 17

4.1 Russia Refining Industry, Key Data 17

4.2 Russia Refining Industry, Overview 17

4.3 Russia Refining Industry, Total Refining Capacity 17

4.4 Russia Refining Industry, Crude Distillation Unit Capacity 19

4.5 Russia Refining Industry, Condensate Splitter Unit Capacity 21

4.6 Russia Refining Industry, Coking Capacity 22

4.7 Russia Refining Industry, Fluid Catalytic Cracking Capacity 23

4.8 Russia Refining Industry, Hydrocracking Capacity 24

4.9 Russia Refining Industry, Asset Details 26

4.9.1 Russia Refining Industry, Active Asset Details 26

4.9.2 Russia Refining Industry, Planned Asset Details 81

5 Recent Contracts 87

5.1 Detailed Contract Summary 87

5.1.1 Awarded Contracts 87

6 Financial Deals Landscape 107

6.1 Detailed Deal Summary 107

6.1.1 Acquisition 107

6.1.2 Private Equity 112

6.1.3 Equity Offerings 112

7 Recent Developments 114

7.1 Other Significant Developments 114

7.1.1 Jun 09, 2016: Modernisation Of Oil-Products Loading Facilities Initiated At Gazprom Neft Omsk Oil Refinery 114

7.1.2 May 18, 2016: Transneft Upper Volga Started Reconstruction Of Production Facilities Aimed At Increase In Supply Of Oil And Oil Products To Moscow Region 115

7.1.3 May 18, 2016: Rosneft: Igor Sechin Showed Indonesian Delegation Around Tuapse Refinery 115

7.1.4 May 16, 2016: Gunvor Buys Up To

5.6 Million Tonnes Of Fuel Oil From Surgutneftegaz 116

7.1.5 May 10, 2016: Rosneft Reports Accident At Russia's Komsomolsk Oil Refinery 116

7.1.6 Apr 28, 2016: Russia’s First Ever Catalytic-Cracking Pilot Facility For Catalyst Testing To Be Built At The Gazprom Neft Omsk Refinery 117

7.1.7 Apr 19, 2016: Bashneft Boosts Production By

12.3% In The First Quarter Of 2016 118

7.1.8 Apr 04, 2016: Lotos Reports Increase In Oil Refining In Q1 2016 119

7.1.9 Mar 24, 2016: Russia May See Increase In Oil Pipeline Exports In Q2 2016 119

7.1.10 Mar 23, 2016: BPCL Plans To Invest INR100bn To Increase Refining Capacity 120

7.2 New Contracts Announcements 120

7.2.1 Jun 16, 2016: Rosneft Extends The Contract For Crude Supplies To The Czech Republic With PKN Orlen 120

7.2.2 Jun 01, 2016: NIPIGAZ Confirmed As General Contractor On Gazprom Neft Moscow Refinery Combined Refining Unit (CRU) 121

7.2.3 Jan 19, 2016: Hebei Zhongjie and Genoil to build residue upgrading refineries 122

7.2.4 Sep 15, 2015: KBC Advanced Technologies: Significant Reliability And Maintenance Contract Award With Major Russian Refining Company 123

7.2.5 Jul 20, 2015: CB&I Announces Equipment Supply Award For Afipsky Oil Refinery In Russia 124

8 Appendix 125

8.1 Abbreviations 125

8.2 Methodology 125

8.2.1 Coverage 125

8.2.2 Secondary Research 126

8.3 Disclaimer 126

Table 1: Oil Industry, Russia, Historical and Forecast of Oil Production and Consumption (mbd), 2000–2020 11

Table 2: Oil Industry, Russia, Historical and Forecast of Oil Exports (mbd), 2000–2020 13

Table 3: Oil Industry, Russia, Historical Crude Oil Reserves (billion bbl), 2000–2015 15

Table 4: Refining Industry, Russia, Key Statistics, Jun 2016 17

Table 5: Refining Industry, Russia, Total Refining Capacity (mbd), 2011–2021 17

Table 6: Refining Industry, Russia, Crude Distillation Unit Capacity (mbd), 2011–2021 19

Table 7: Refining Industry, Russia, Crude Distillation Unit Capacity (mbd), 2011–2021 (Contd.1) 20

Table 8: Refining Industry, Russia, Crude Distillation Unit Capacity (mbd), 2011–2021 (Contd.2) 21

Table 9: Refining Industry, Russia, Condensate Splitter Unit Capacity (mbd), 2011–2021 21

Table 10: Refining Industry, Russia, Coking Unit Capacity (mbd), 2011–2021 22

Table 11: Refining Industry, Russia, Fluid Catalytic Cracking Unit Capacity (mbd), 2011–2021 23

Table 12: Refining Industry, Russia, Fluid Catalytic Cracking Unit Capacity (mbd), 2011–2021 (Contd.1) 24

Table 13: Refining Industry, Russia, Hydrocracking Capacity (mbd), 2011–2021 24

Table 14: Refining Industry, Russia, Hydrocracking Capacity (mbd), 2011–2021 (Contd.1) 25

Table 15: Amec Foster Wheeler Secures Contract From Orsknefteorgsintez 87

Table 16: Volgogradneftemash Secures Contract From Gazpromneft-Omsk Oil Refinery 88

Table 17: Vostokneftezavodmontazh Secures 15-Month Contract Worth RUB587 Million (US$8.20 Million) From Bashneft 90

Table 18: The Volgodonsk branch of AEM Technologies Atommash Secures Contract From Gazpromneft-Moscow Oil Refinery 91

Table 19: Alfa Laval Secures Contract Worth SEK60 Million (US$7.05 Million) 92

Table 20: Bashneft-NOVOIL Awarded A Contract Worth €1.5 Million (US$1.67 Million) 93

Table 21: Hydromashservice Secures Contract From Gazpromneft Moscow Refinery 94

Table 22: Tehinjstroy Construction Company and Promstroi Secures Contract From Antipinsky Oil Refinery 95

Table 23: LUKOIL-Nizhegorodniinefteproekt Secures Contract Worth RUB663.21 Million (US$10.24 Million) From Bashneft 96

Table 24: Volgogradneftemash Secures Contract From Gazprom Neft 97

Table 25: Kazmehanomontazh SECURES CONTRACT FROM Ryazan Oil Refinery Company For The Provision Of Replaces The Internals Of Columns At Ryazan Oil Refinery In Russia. 99

Table 26: Volgogradneftemash Secures Contract From Orsknefteorgsintez 100

Table 27: Chicago Bridge & Iron Company (CB&I) Secures Contract In Excess Of US$90 Million From NefteGazIndustriya 101

Table 28: Honeywell Process Solutions (HPS) Secures Contract From Lukoil 103

Table 29: Tecnimont Secures Three-Year Contract Worth €480 Million (US$540.70 Million) From Gazprom Neft 104

Table 30: KMT International Secures Contract From Bashneft 105

Table 31: Tatneft Acquires Remaining 9% Stake In Taneco 107

Table 32: Government of Russia Plans To Sell 19.5% Stake In Rosneft 108

Table 33: Lukoil Plans To Acquire Majority Interest In Bashneft 109

Table 34: ChemChina To Acquire Majority Stake In Far East Petrochemical From Rosneft 111

Table 35: Gaetano Holdings Acquires Komi Oil For US$5 Billion 112

Table 36: RussNeft Plans IPO Of Shares For US$2 Billion 112

Figure 1: Energy Industry, Russia, Primary Energy Consumption Split by Fuel Type (%), 2015 9

Figure 2: Oil Industry, Russia, Historical and Forecast of Oil Production and Consumption (mbd), 2000–2020 12

Figure 3: Oil Industry, Russia, Historical and Forecast of Oil Exports (mbd), 2000–2020 14

Figure 4: Oil Industry, Russia, Historical Crude Oil Reserves (billion bbl), 2000–2015 16

Figure 5: Refining Industry, Russia, Total Refining Capacity (mbd), 2011–2021 18