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Igor Sechin and Moscow Region Governor Andrei Vorobyov Hold Working Meeting

19 August 2020

Rosneft Oil Company Chief Executive Officer Igor Sechin and Governor of Moscow Region Andrei Vorobyov have held a working meeting where a major long-term gas supply contract has been signed by Rosneft and Mosoblgazpostavka LLC. The contract makes provision for a threefold increase in annual gas supplies within the next six years. A total of 13.4 billion cubic metres of gas is to be supplied starting from 2021. The Company is one of the largest natural gas suppliers in Moscow Region. Taking into consideration the new contact that guarantees reliable gas supplies at stable prices, the Company’s share of the Moscow Region’s gas market is to increase to 11%. The fuel is to be delivered from the largest gas projects of Rosneft in Yamal-Nenets Autonomous District.

At the working meeting, the parties discussed the progress of Rosneft’s current projects in fuel supply, road infrastructure development, and expansion of the Company’s cooperation with local enterprises.

Rosneft CEO noted that an expansion of the fuelling and service infrastructure was a promising area of cooperation given the fast development of the Central Ring Road. The matters of construction of up-to-date filling stations on eight largest federal highways and roads in Moscow Region are also examined within the frames of the cooperation agreement with the Moscow Region Government. The Company is planning to increase the bitumen supplies up to 85,000 tonnes taking into account the dynamic road construction in Moscow Region.

Igor Sechin and Andrei Vorobyov discussed the gas engine infrastructure development plans. The Company is planning to launch the construction of four gas--filling stations in early 2021. The project implementation will contribute to the automobile emission drawdown, a topical problem for the ecological situation in Moscow agglomeration.

Rosneft has been working in Moscow Region successfully for many years. A number of the Company’s subsidiaries operate in the Region, such as RN-Moscow, RN-Aero Sheremetyevo, Sheremetyevo Fuel-Filling Complex, and others – work in the region. The total number of Rosneft stuff in the Region amounts to about 5,400 people.

Since 2018, Rosneft has signed the agreements with companies from Moscow Region for an overall amount of 320 billion roubles. More than 80 enterprises of Moscow Region can now participate in the Company’s tenders, and most of them are small and medium-sized businesses.

The Company is a reliable supplier of high-quality petroleum-based products for consumers in Moscow Region and the largest seller of motor fuel. The Company accounts for more than a quarter of the total sales in the Region. In Moscow Region, Rosneft operates 160 filling stations and four oil depots. Furthermore, the Company provides Sheremetyevo Airport with high-quality jet fuel. In 2019, its aircraft refuelling volume exceeded 1 million tonnes.

At the meeting, Rosneft CEO highlighted the measures taken by the Company to prevent the spread of coronavirus at enterprises in Moscow Region. To do that, over 2.7 million PPEs and over 130,000 litres of disinfectants were purchased; more than 2,200 workers were tested for COVID-19. All enterprises are provided with air disinfection equipment, daily temperature measurements and disinfection of premises are organized.

Information Division
August 19, 2020

These materials contain statements about future events and expectations that are forward-looking in nature. Any statement in these materials that is not a statement of historical fact is a forward-looking statement that involves known and unknown risks, uncertainties and other factors which may cause actual results, performance or achievements expressed or implied by such forward-looking statements to differ. We assume no obligations to update the forward-looking statements contained herein to reflect actual results, changes in assumptions or changes in factors affecting these statements.

Keywords: Corporate Governance 2020