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Gazprom Neft can increase oil output by 10% in 2022

Hydrocarbon output by Gazprom Neft in 2021 increased by 5.6% compared to the previous year and reached a record 101.43 mln tonnes of oil equivalent

MOSCOW, February 17. /TASS/. Gazprom Neft is confident that in 2022 it will meet the OPEC+ quota in terms of oil output. The company may increase hydrocarbon production by 10%, the company’s Deputy CEO for Economics and Finance Alexey Yankevich said during a conference call.

"We see that our company is confidently moving forward with growth, we are certain that we will meet all the opportunities provided within the OPEC+ quota. We feel quite confident with our plans to increase production by more than 10% this year and expect that our production dynamics will be very good in comparison with the industry numbers," Yankevich said.

Hydrocarbon output by Gazprom Neft in 2021 increased by 5.6% compared to the previous year and reached a record 101.43 mln tonnes of oil equivalent. Over the past year, the company replenished hydrocarbon production by 283%. Proven reserves according to international PRMS standards increased to 2.27 bln tonnes of oil equivalent, which is 6.8% higher than in 2020. The total reserves in the proved and probable categories reached 4.1 bln tonnes of oil equivalent.

It was reported earlier that Gazprom Neft received a record net profit attributable to shareholders in the amount of 503.4 bln rubles ($6.59 bln) in 2021 under IFRS, which is four times higher than in 2020.

Gazprom Neft also increased revenue in 2021, increasing it by 53.5% to 3.068 trillion rubles ($40.19 bln). Adjusted EBITDA doubled to 986 bln rubles ($12.91 bln), which was due, among other things, to an increase in hydrocarbon production and oil refining, as well as positive dynamics in prices for oil and oil products. The company increased capital expenditures in 2021 by 6.8% to 441.8 bln rubles ($5.8 bln), and in Q4 - by 70.8% to 163 bln rubles ($2.1 bln).