LNG

Rosneft, the Russian oil and gas company and the largest refiner and former partner of international majors such as ExxonMobil and BP, reported a fall in profits but is still managing the Western sanctions storm better than pipeline natural gas company Gazprom and LNG project developer Novatek.

Rosneft said that in the nine months to the end of September 2023 revenues declined to 6,612 trillion roubles ($74.4 billion), down from last year 7,202 trillion roubles ($81.05Bln) during the same nine months.

Operating income dropped to 1,778 trillion roubles ($20.10 billion) from 2,014 trillion ($22.65Bln) in the same nine months of 2022.

BP had previously held a 20 percent shareholding in Rosneft but pulled out immediately following the Russian invasion of Ukraine in February 2022.

Sakhalin projects

ExxonMobil also ended its decades-long involvement in Russia, exiting major oil and gas joint ventures with Rosneft off Sakhalin Island in the Russian Far East.

Rosneft said its production of liquid hydrocarbons increased by 3.9 percent in the first nine months of 2023 to 4 million barrels per day, mainly due to resumption of production at the Sakhalin-1 oil project.

Total production of all hydrocarbons rose by 10.7 percent in the nine months to 5.5M barrels per day of oil equivalent, whereas output of hydrocarbons in the third quarter had amounted to 5.4 million barrels per day of oil equivalent.

Production of liquid hydrocarbons in the third quarter equalled 3.9M barrels per day amid Russian oil production restrictions since March 2023 to offset the effects of sanctions.

Rosneft’s natural gas production increased by 33 percent in the nine months year-on-year to 1.5M barrels of oil equivalent per day.

Natural gas and associated gas are produced by 35 subsidiaries and joint ventures of Rosneft in Western and Eastern Siberia, Central Russia, Southern European Russia and the Far East.

Refining

Over the years, Rosneft has been consistently implementing a programme to modernise its refineries, which has enabled it to expand its product range and improve the quality of its products such as gasoline, diesel and jet fuel.

The company's refining unit operates 13 major refineries in the Russian Federation and total design capacity of the company's refineries in Russia is 118.4 million tons of oil per year.

Rosneft, which has a 40 percent share of the Russian refining market, said its oil refining throughput increased by 3.3 percent in the reporting period year-on-year to 65.8M tons, and rose 0.9 percent quarter-on-quarter to 21.7M tons.

Dec 2 (LNGJ) - Russian natural gas company Gazprom's pipeline natural gas exports to regions such as the European Union tumbled by 44.5 percent, or by 76.3 billion cubic metres, to 95.2 Bcm in the first 11 months of 2022.

   The average daily export by Gazprom also dropped in November alone by 3.9 percent from the previous month of October. Gazprom added that its overall gas production had declined by 19.4 percent year-on-year to 376.9Bcm. Data showed that demand for Gazprom's gas from the gas transmission system in the domestic market of Russia decreased by 5.7 percent, or by 12.8 Bcm, over the 11 months.

The German Federal Network Agency, the Bundesnetzagentur (BNetzA), has exempted Deutsche ReGas GmbH and its LNG import terminal project, Deutsche Ostsee, at the Baltic port of Lubmin from tariff and network access regulations.

Germany has now nationalized a former subsidiary of Russian natural gas company Gazprom that had already been taken control of by the German authorities in April as part of sanctions and energy security measures after Russia’s invasion of Ukraine.

Canada is moving to avoid being blamed for natural gas supplies to Germany being cut off by Russian company Gazprom by returning a gas turbine needed for the Nord Stream 1 pipeline that had been seized under sanctions when sent to Montreal by Siemens Energy for a scheduled maintenance programme.

Germany’s Federal Networks Agency, the Bundesnetzagentur, has revealed that the nation could face a major natural gas test from July 11 when Russian natural gas supplier Gazprom has scheduled maintenance for the Nord Stream 1 pipeline under the Baltic Sea from Russia to northern Germany.

Shell reported an almost three-fold jump in earnings to $9.1 billion compared with $3.2Bln in the same three months of 2021 as quarterly LNG sales increased along with oil and refined product prices.

European natural gas futures have jumped to record highs over supply concerns as the new German Left-Green coalition is expected to put energy politics over energy security and is seen as ignoring the supply of adequate natural gas for the Germany-led European Union.

Russian natural gas pipeline giant Gazprom, the main competitor to LNG and Norwegian gas in Europe, said supplies to Germany have soared from January in 2021 through November 15 as well as supplies to seven another European Union members and to China.

European natural gas markets posted record summer prices for the UK National Balancing Point and the Dutch Title Transfer Facility and other EU markets, showing that politicians have neglected energy supply planning amid the largely uncontrollable economic effects of Covid-19.