Gazprom Neft
Encyclopedia
Petroleum industry
The petroleum industry includes the global processes of exploration, extraction, refining, transporting , and marketing petroleum products. The largest volume products of the industry are fuel oil and gasoline...
and refining
Oil refinery
An oil refinery or petroleum refinery is an industrial process plant where crude oil is processed and refined into more useful petroleum products, such as gasoline, diesel fuel, asphalt base, heating oil, kerosene, and liquefied petroleum gas...
company in Russia
Russia
Russia or , officially known as both Russia and the Russian Federation , is a country in northern Eurasia. It is a federal semi-presidential republic, comprising 83 federal subjects...
. It's the oil arm of Gazprom
Gazprom
Open Joint Stock Company Gazprom is the largest extractor of natural gas in the world and the largest Russian company. Its headquarters are in Cheryomushki District, South-Western Administrative Okrug, Moscow...
, which owns 80% of Gazprom Neft's shares.
Gazprom Neft's central office is located in Moscow; however, the company is already registered in St. Petersburg where it also has an office. Upon the completion of their new office building, known as Gazprom City in St. Petersburg, Gazprom Neft is going to move its headquarters to Saint Petersburg
Saint Petersburg
Saint Petersburg is a city and a federal subject of Russia located on the Neva River at the head of the Gulf of Finland on the Baltic Sea...
in the near future. It is currently the largest employer in Omsk
Omsk
-History:The wooden fort of Omsk was erected in 1716 to protect the expanding Russian frontier along the Ishim and the Irtysh rivers against the Kyrgyz nomads of the Steppes...
and Noyabrsk
Noyabrsk
Noyabrsk is the largest city in Yamalo-Nenets Autonomous Okrug, Russia, located in the middle of the West Siberian oil fields, on the Tyumen–Novy Urengoy railway about north of Surgut. Population: -History:...
.
History
Gazprom Neft was created under the name Sibneft in 1995 by Presidential Decree №872, issued on 24 August 1995. A governmentGovernment of Russia
The Government of the Russian Federation exercises executive power in the Russian Federation. The members of the government are the prime minister , the deputy prime ministers, and the federal ministers...
resolution was signed on 29 September, and the State Property Committee on 11 October ordered that the state's shares in oil producing enterprise Noyabrskneftegas, the Omsk
Omsk
-History:The wooden fort of Omsk was erected in 1716 to protect the expanding Russian frontier along the Ishim and the Irtysh rivers against the Kyrgyz nomads of the Steppes...
Refinery, exploration enterprise Noyabrskneftegasgeophysica and marketing company Omsknefteprodukt all be transferred to Sibneft.
Sibneft initially combined Russia's largest oil refining complex in Omsk
Omsk
-History:The wooden fort of Omsk was erected in 1716 to protect the expanding Russian frontier along the Ishim and the Irtysh rivers against the Kyrgyz nomads of the Steppes...
(dba Omsky NPZ), an oil and gas production enterprise based in the city of Noyabrsk
Noyabrsk
Noyabrsk is the largest city in Yamalo-Nenets Autonomous Okrug, Russia, located in the middle of the West Siberian oil fields, on the Tyumen–Novy Urengoy railway about north of Surgut. Population: -History:...
in the Yamal-Nenets autonomous district (Noyabrskneftegas), a geological exploration enterprise and an oil products distribution network.
In 1996 and 1997, Sibneft was privatised through a series of loans-for-shares auctions, and Roman Abramovich
Roman Abramovich
Roman Arkadyevich Abramovich is a Russian businessman and the main owner of the private investment company Millhouse LLC.In 2003, Abramovich was named Person of the Year by Expert, a Russian business magazine. He shared this title with Mikhail Khodorkovsky...
and Boris Berezovsky acquired it for US$100 million, after bidding through several front companies which they had set up for the purpose.
Sibneft twice attempted a merger with Yukos
YUKOS
OJSC "Yukos Oil Company" was a petroleum company in Russia which, until 2003, was controlled by Russian oligarch Mikhail Khodorkovsky and a number of other prominent Russian businessmen. After Yukos was bankrupted, Khodorkovsky was convicted and sent to prison.Yukos headquarters was located in...
, to form Russia's largest oil company YukosSibneft. The first attempt in 1998 failed due to a dispute over management. The process was well under way the second time in 2003 when the federal government cracked down on Yukos, and Sibneft's shareholders called off the merger in November of that year.
In September 2005, Russia's largest corporate takeover occurred when Gazprom bought 73% of Sibneft's shares for US$13.1 billion. Later, Sibneft was renamed Gazprom Neft.
In October 2011, Gazprom Neft was ousted from Iran
Iran
Iran , officially the Islamic Republic of Iran , is a country in Southern and Western Asia. The name "Iran" has been in use natively since the Sassanian era and came into use internationally in 1935, before which the country was known to the Western world as Persia...
. The company had initially established plans with the governement to set up grounds in Iran and help the iranian government build new production units. Gazprom Neft's business mostly relies on exports. Gazprom Neft decided to leave Iran to avoid conflict with its international clients and partners.
New headquarters in St. Petersburg
On 15 November 2005, Gazprom CEO Alexei MillerAlexei Miller
Alexey Borisovich Miller is Deputy Chairman of the Board of Directors and Chairman of the Management Committee of Russian energy company Gazprom, Russia's largest company and the world's biggest natural gas producer....
and Saint Petersburg
Saint Petersburg
Saint Petersburg is a city and a federal subject of Russia located on the Neva River at the head of the Gulf of Finland on the Baltic Sea...
governor Valentina Matvienko announced that Gazprom Neft is going to participate in development of the Okhta Center
Okhta Center
Okhta Centre , known before March 2007 as Gazprom City , is a construction project of a business centre in Saint Petersburg, Russia. It will include the first supertall skyscraper in the city, museums and a concert hall...
business center including a 300 metre high skyscraper with its headquarters on the right bank of the Neva River
Neva River
The Neva is a river in northwestern Russia flowing from Lake Ladoga through the western part of Leningrad Oblast to the Neva Bay of the Gulf of Finland. Despite its modest length , it is the third largest river in Europe in terms of average discharge .The Neva is the only river flowing from Lake...
.
This location of the new headquarters is across the water opposite the office of the Governor of St. Petersburg, the Saint Petersburg City Administration
Saint Petersburg City Administration
Saint Petersburg City Administration is the superior executive body of Saint Petersburg , Russian Federation. It is located in a historic building, Smolny....
and the Smolny
Smolny
The Smolny Institute is a Palladian edifice in St Petersburg that has played a major part in the history of Russia.The building was commissioned from Giacomo Quarenghi by the Society for Education of Noble Maidens and constructed in 1806-08 to house the Smolny Institute for Noble Maidens,...
historic landmark in St. Petersburg. Although current regulations forbid construction of a building taller that 42 metres (or no taller than 48 meters with expertise approval) there, the project is going on.
St. Petersburg City pays 49% funding for construction of the Okhta Center, on the basis that Gazprom Neft is registered here and is currently the largest taxpayer and a big employer, so the city budget is getting adequate benefits. Gazprom Neft, besides being the largest taxpayer in the city, pays 51% for construction of the new headquarters in St. Petersburg.
Management
On 22 November 2006, the board of directors of Gazprom terminated in advance the authority of its president Alexander RyazanovAlexander Ryazanov
Alexander Nikolayevich Ryazanov is a Russian businessman and politician.-Business career:In 1988-1998, he was the CEO of the Surgut Gas Processing Factory. From November 2001 to 16 November 2006, he was a First Deputy Chairman of the Board of Directors of Gazprom. He was the President of Sibneft ...
and replaced him with Alexander Dyukov.
As of December 2006, the board of directors consisted of Alexei Miller
Alexei Miller
Alexey Borisovich Miller is Deputy Chairman of the Board of Directors and Chairman of the Management Committee of Russian energy company Gazprom, Russia's largest company and the world's biggest natural gas producer....
(Chairman), Andrey Kruglov, Alexander Ryazanov
Alexander Ryazanov
Alexander Nikolayevich Ryazanov is a Russian businessman and politician.-Business career:In 1988-1998, he was the CEO of the Surgut Gas Processing Factory. From November 2001 to 16 November 2006, he was a First Deputy Chairman of the Board of Directors of Gazprom. He was the President of Sibneft ...
, Kirill Seleznyov, Vasiliy Podyuk, Konstantin Chuychenko
Konstantin Chuychenko
Konstantin Anatolyevich Chuychenko , is a Russian lawyer and businessman.-Career:Born in Leningrad, Soviet Union), Chuychenko graduated from the Law Department of Leningrad State University in 1987 as a fellow student of Dmitry Medvedev....
, Nikolay Dubik, Yuriy Starodubtsev (a former KGB
KGB
The KGB was the commonly used acronym for the . It was the national security agency of the Soviet Union from 1954 until 1991, and was the premier internal security, intelligence, and secret police organization during that time.The State Security Agency of the Republic of Belarus currently uses the...
/FSB officer) and Yuriy Khudyakov.
As of August 2008, its management committee consisted of Alexander Dyukov (the Company’s acting General director), Vadim Yakovlev (Deputy General director for Finance), Boris Zilbermints (Deputy General director for Exploration and Production), Anatoly Cherner (Deputy General director for Refining and Marketing) and Kirill Kravchenko
Kirill Kravchenko
Kravchenko, Kirill Albertovich is a Director of NIS - Oil Industry of Serbia , Deputy Director General in charge of Foreign Asset Management of JSC Gazprom Neft.-Education:...
(Deputy General director ).
Sponsorship
Sibneft was the official sponsor of the CSKA Moscow football team. In 2005 Gazprom bought the majority stake in FC ZenitFC Zenit Saint Petersburg
Football Club Zenit is a Russian football club from the city of Saint-Petersburg. Founded in 1925 , the club plays in the Russian Premier League...
, prompting the cancellation of the sponsorship deal between Sibneft and fellow Russian Premier Division football side CSKA. Gazprom Neft also sponsors the Avangard Omsk
Avangard Omsk
Avangard Omsk are a professional ice hockey team from Siberia based in the city of Omsk, Russia. They are members of the Chernyshev Division of the Kontinental Hockey League.-Overview:...
ice hockey team, and a variety of running, mini-football, Nordic skiing and motorcross events. Gazprom Neft and Gazprombank
Gazprombank
Gazprombank is the largest Russian non-state owned bank, which is among the three largest banks in Russia. It is a joint stock bank founded in 1990. The bank is owned by the Russian gas company Gazprom, which controls 62.59% of shares directly and also retains shares through its subsidiaries...
sponsored Russian racing driver Mikhail Aleshin
Mikhail Aleshin
-Career:Aleshin competed in karting from 1996 to 2000. Since 2001 he has taken part in various international open wheel series. On April 14, 2007 he became the first Russian driver to win a major international single-seater race when he won the opening round of the Formula Renault 3.5 Series season...
in 2010 after he lost support from his long time sponsors Red Bull
Red Bull
Red Bull is an energy drink sold by the Austrian Red Bull GmbH, created in 1987 by the Austrian entrepreneur Dietrich Mateschitz. In terms of market share, Red Bull is the most popular energy drink in the world, with 3 billion cans sold each year. Dietrich Mateschitz was inspired by an already...
and Lukoil
LUKoil
Lukoil/LUKoil ; ) is Russia's second largest oil company and its second largest producer of oil. In 2009, the company produced 97.615 million tons of oil; ....
in the end of 2009 season.
See also
- GazpromGazpromOpen Joint Stock Company Gazprom is the largest extractor of natural gas in the world and the largest Russian company. Its headquarters are in Cheryomushki District, South-Western Administrative Okrug, Moscow...
- Gazprom City
- LukoilLUKoilLukoil/LUKoil ; ) is Russia's second largest oil company and its second largest producer of oil. In 2009, the company produced 97.615 million tons of oil; ....
- RosneftRosneftRosneft is an integrated oil company majority owned by the Government of Russia. Rosneft is headquartered in Moscow’s Balchug district near the Kremlin, across the Moskva river...
- TransneftTransneftTransneft is a Russian state-owned business responsible for the national oil pipelines. It was founded in 1993 and owns the largest oil pipeline system in the world, with a total network length of almost...
- YuganskneftegazYuganskneftegazYuganskneftegaz is a wholly integrated subsidiary of Rosneft that owns and operates the second largest oil production complex in Russia. It was formerly the most important production subsidiary of Yukos, but was expropriated by the Russian government and given to Rosneft, a state-owned...
External links
- Gazprom Neft official site
- Gazprom inks deal to buy Abramovich's Sibneft, Forbes.com, 28 September 2005
- Gazprom Neft analytics information