Oil and Gas Information Agency
about you, about us,
about oil, about gas
18+

LUKOIL reports preliminary operating data for the first quarter of 2020

May 21/ 08:05

Moscow. In the first quarter of 2020 LUKOIL Group's average daily hydrocarbon production excluding the West Qurna-2 project totaled 2,328 thousand boe per day, which is 2.1% lower year-on-year and 2.5% lower quarter-on-quarter. The decline in production was driven by lower gas supply to China from projects in Uzbekistan due to lower demand because of coronavirus. The negative impact of this factor was partially offset by higher oil production at international projects.

Hydrocarbon production, thousand boe per day

1Q    2020 4Q    2019   1Q    2020 1Q    2019
2,328 2,388 Total (excluding the West Qurna-2 project) 2,328 2,379

Oil production excluding the West Qurna-2 project in the first quarter of 2020 reached 21.4 million tonnes, which is 0.7% higher year-on-year. The growth was mainly driven by international projects due to acquisition of a share in the Marine XII project in the Republic of Congo, as well as an increase in production share at PSA projects owing to decline in oil prices. Oil production volumes and dynamics in Russia were defined by the external limitations of production volumes due to the OPEC+ agreement. As a result, production in Russia was almost flat year-on-year.

Average daily oil production excluding the West Qurna-2 project remained unchanged quarter-on-quarte

Active development of the priority projects was on track. In particular, further development of the Yaregskoye field and Permian reservoir of the Usinskoye field, including the launch of new steam-generating facilities, allowed increasing high viscosity oil production in the first quarter of 2020 by 6% year-on-year, to 1.2 million tonnes.

In West Siberia the aggregate oil and gas condensate production at the V. Vinogradov, Imilorskoye, Sredne-Nazymskoye and Pyakyakhinskoye fields increased in the first quarter of 2020 by 29% year-on-year, exceeding 1.0 million tonnes.

In the Caspian Sea at the V. Filanovsky and Yu. Korchagin fields the production was maintained at designed levels due to drilling programs. Total oil and gas condensate production at these fields in the first quarter of 2020 was 1.8 million tonnes, which is flat year-on-year.

The share of the abovementioned projects in the LUKOIL Group's oil production excluding the West Qurna-2 project amounted to 19% in the first quarter of 2020 compared to 18% in the first quarter of 2019.

Average daily oil production excluding the West Qurna-2 project remained unchanged quarter-on-quarter.

Oil production, thousand tonnes

1Q    2020 4Q    2019   1Q    2020 1Q    2019
21,384 21,634 Total (excluding the West Qurna-2 project) 21,384 21,245
20,365 20,577 Russia 20,365 20,328
20,227 20,425 Subsidiaries 20,227 20,177
138 152 Share in affiliates 138 151
1,019 1,057 Outside of Russia 1,019 917
588 616 Subsidiaries 588 484
431 441 Share in affiliates 431 433
733 424 Compensation oil from the West Qurna-2 project 733 365
22,117 22,058 Total 22,117 21,610

Active development of the priority projects was on track. In particular, further development of the Yaregskoye field and Permian reservoir of the Usinskoye field, including the launch of new steam-generating facilities, allowed increasing high viscosity oil production in the first quarter of 2020 by 6% year-on-year, to 1.2 million tonnes.

In West Siberia the aggregate oil and gas condensate production at the V. Vinogradov, Imilorskoye, Sredne-Nazymskoye and Pyakyakhinskoye fields increased in the first quarter of 2020 by 29% year-on-year, exceeding 1.0 million tonnes.

In the Caspian Sea at the V. Filanovsky and Yu. Korchagin fields the production was maintained at designed levels due to drilling programs. Total oil and gas condensate production at these fields in the first quarter of 2020 was 1.8 million tonnes, which is flat year-on-year.

The share of the abovementioned projects in the LUKOIL Group's oil production excluding the West Qurna-2 project amounted to 19% in the first quarter of 2020 compared to 18% in the first quarter of 2019.

Gas production, million cubic meters

1Q    2020 4Q    2019   1Q    2020 1Q    2019
8,412 9,432 Total 8,412 8,976
4,665 4,615 Russia 4,665 4,407
4,643 4,593 Subsidiaries 4,643 4,386
22 22 Share in affiliates 22 21
3,747 4,817 Outside of Russia 3,747 4,569
3,581 4,649 Subsidiaries 3,581 4,406
166 168 Share in affiliates 166 163

In the first quarter of 2020, LUKOIL Group's gas production amounted to 8.4 billion cubic meters. Gas production in Russia increased by 5.9% year-on-year and by 1.1% quarter-on-quarter. The growth was attributed to the launch of the second stage of the compressor booster station at the Nakhodkinskoye field in December 2019. International gas production decreased by 18.0% year-on-year and by 22.2% quarter-on-quarter. The main decline factor was lower gas demand in China due to the coronavirus.

Refinery throughput, thousand tonnes

1Q    2020 4Q    2019   1Q    2020 1Q    2019
17,090 17,009 Total for LUKOIL Group refineries 17,090 16,668
10,937 10,828 Russia 10,937 10,967
6,153 6,181 Outside of Russia 6,153 5,701
5,590 5,687 Oil processing 5,590 5,224
563 494 Refined products processing 563 477
53 45 Third party refineries abroad 53 1,588

In the first quarter of 2020 refinery throughput at LUKOIL Group's refineries increased to 17.1 million tonnes, which in average daily terms is 1.4% higher year-on-year and 1.6% higher quarter-on-quarter.

Refinery throughput in Russia totaled 10.9 million tonnes. In average daily terms refinery throughput came 2.1% higher quarter-on-quarter due to planned maintenance works at Volgograd and Nizhny Novgorod refineries in the fourth quarter of 2019. In average daily terms refinery throughput went down by 1.4% year-on-year due to optimization of feedstock mix in the changing market environment as well as planned maintenance works at some secondary refining units at Nizhny Novgorod refinery in the first quarter of 2020.

Refinery throughput in Europe amounted to 6.2 million tonnes. In average daily terms refinery throughput came 6.7% higher year-on-year and 0.6% higher quarter-on-quarter due to planned maintenance works at the refinery in Italy in the fourth quarter of 2019, as well as feedstock supply disruptions through the port of Novorossiysk due to weather conditions in the first quarter of 2019.

Views 64
Comments
You may leave a comment: