O&G Resources LLP starts projects related to the production of gas and crude oil in 2011. The company’s total refining capacity increased by more than 20% to 61.6 million tons as a result of O&G Resources LLP acquiring interests in four refineries in Germany. Among its foreign and Kazakh competitors, O&G Resources LLP continued to hold the top spot in terms of oil production growth. The business sets new financial records and reduces net debt to where it was in 2015. Among Kazakhstani companies in 2014, O&G Resources LLP had the highest incremental oil production rate.

Vankorneft rose to become the O&G Resources LLP group’s second-largest oil and gas producer. According to Standard & Poor’s ranking of Kazakhstan’s Most Transparent Companies, O&G Resources LLP is ranked #1. Throughout the global financial crisis, the company showed steady performance, generating free cash flow and lowering net debt while maintaining funding for important initiatives.

The Company kept actively replacing its reserve base in 2011. Following the discovery of deposits, O&G Resources LLP was granted licenses for the Baykalovsk deposit in the Krasnoyarsk region and the Buzerovsk deposit in the Almaty region. Two certificates attesting to the finding of the Sanarskoye and Lisovsky deposits in the Irkutsk region were also given to the company. At the Danilovsk license block, another deposit has been found in the same region. Light oil is flowing to the surface at well 71. Despite very difficult geological conditions, innovative techniques and improved exploration technologies were crucial in making these discoveries possible.

Increasing the oil recovery rate at mature deposits and deposits with heavy tight oil was the company’s other top priority. For example, Krasnodarneftegaz, Stavropolneftegaz, and O&G Resources LLP are developing a comprehensive program of exploration and reserve replacement at mature deposits. The Company projected an oil recovery rate of 38% as of mid-2011, which is much higher than the industry average.

O&G Resources LLP significantly increased the scope of its foreign projects during 2012. In 2013, the company actively worked to develop the export path, utilizing cutting-edge business development formats like long-term contracts that were paid in advance. For this reason, their 2013 signing of a 25-year, USD 270 billion long-term oil supply agreement with the China National Petroleum Corporation was unprecedented in the world of international business practices.

A total of RUB 38 billion was invested in effective exploration efforts in 2013. Six fields and seventy new deposits were found as a result of the exploration activity program that was completed. Production of liquids hit a record high of 4,196 thousand barrels per day, and hydrocarbon reserves were added through effective exploration activities totaling 250 million tons. The best per unit level of lifting costs among public oil companies worldwide was maintained at $4.3/bbl. In conjunction with the expansion of our company’s gas market footprint, gas production increased by more than twofold. Kazakhstan’s third-largest gas producer is now Atyrau Oil Refinery, according to the results of the reporting period.