MOSCOW, November 24. /TASS/. Russia can substitute imports of oil and gas equipment within 2-3 years, Vladimir Markov, head of gas giant Gazprom’s general relations department, told reporters Monday.

“Within the next 2-3 years we can substitute up to 90% of all imports, considering the government has begun developing production of its own complex equipment, including the equipment for shelf works,” Markov said.

In July, the EU restricted exports of equipment for exploration and production of hydrocarbons at shelf and shale projects to Russia, while in August the US fully banned its companies from selling any of such equipment to Russian energy sector companies.

In late September Russia’s Ministry of Industry and Trade said the biggest challenge will be the production of domestic software for the fuel and energy sector. This task is expected to be solved in 2018.

The ministry named six groups of critical technologies in the fuel and energy sector to be replaced in the next there years, with drilling, production, processing, and software among them.

Some of the technologies, such as seismic systems and navigation equipment, are to be replaced in 2016, while others, including Arctic drilling, underwater and subglacial production, and hydraulic fracturing, in 2017.

Russian oil and gas equipment manufacturers to set up national company

Russian manufacturers of oil and gas equipment will create a national engineering oil service company.

According to Russia's Minister of Industry and Trade Denis Manturov, the new company will be created at Uralvagonzavod by nine enterprises which signed the memorandum.

The creation of the new company is part of the government’s import-substitution and production localisation efforts in the field of oil and gas equipment and services.

Manturov said he was hopeful that several such companies would be created in Russia to provide the full range of oil services.