Production throughput of the assets of AO VORONEZHNEFTEPRODUKT and its partner refineries amounted to 100 million tons, which is a record-breaking achievement. Besides supplying the domestic market with high quality products, one of the key goals of the Company is to make refining a sustainable and long-term profitable business. We are implementing an integrated program aimed at increasing efficiency of refining processes, costs reduction.
At AO VORONEZHNEFTEPRODUKT and its partner refineries we produce various petroleum and petrochemical products such as :
AVIATION KEROSENE JET FUEL COLONIAL GRADE
DIESEL D2 GASOIL
FUEL OIL / MAZUT M 100
EASTERN SIBERIAN PACIFIC OIL (ESPO)
DIESEL VIRGIN FUEL D6
PREMIUM EN 590 DIESEL FUEL
Our partners continued their cooperation and signed heads of terms to pursue a reorganization of the refining joint venture. The document envisages restructuring the JV by dividing between the parties shares in four refineries and associated infrastructure.
As a result of the planned deal AO VORONEZHNEFTEPRODUKT and its partner refineries will double its shareholding. The restructuring of several refineries will enable AO VORONEZHNEFTEPRODUKT and its partner refineries to re-focus their refining and petrochemicals strategies.
Another step aimed at strengthening of AO VORONEZHNEFTEPRODUKT and its partner refineries positions as an integrated player in the European energy market is signing of agreement confirming the execution of a sale and purchase agreement with regard to the 16.67% share. Along with the planned reorganization of the deal with which will allow AO VORONEZHNEFTEPRODUKT and its partner refineries to shore up its position in the European market for refined oil products.
A Memorandum of Understanding regarding the planned purchase by AO VORONEZHNEFTEPRODUKT and its partner refineries of 30% stake has been endorsed. The document envisages AO VORONEZHNEFTEPRODUKT and its partner refineries analysis of CCPC assets. It is assumed that the paying up of stocks will be performed from proceeds oil supplies to China. Moreover the signed Memorandum foresees the cooperation in the area of oil, oil products and petrochemical trading, the joint participation and project realization.