PETROLEUM PRODUCT EXPORT
Gaznefteservis pursues an efficient marketing policy and owns a developed oil product sales infrastructure on the domestic and international markets. Gaznefteservis has significantly increased its petroleum product export sales to 57.6 mln tons in 2014 (vs. 50.6 mln tons in 2013).
In 2014, the Company was successfully monetizing a higher market value of premium quality fuel oil manufactured at Ryazan refinery due to segregated supplies of this product to the Baltic Sea and Black Sea ports.
1.8 mln tons of fuel oil was supplied to the Baltic ports and 1.1 mln tons to the Black Sea ports with extra market premium.
During St. Petersburg International Economic Forum three 5-year contracts for the supply of petroleum products to the Mongolian market were signed with NIK, Shunkhlai and Magnai for the total cost of 2.4 bln US$ and total supply volume of 2.3 mln tons. After the Forum, in May 2014, similar contracts were signed with Mongolian companies Just Oil, Oin Birj, Sod Mongol Group, M-Oil and UBZhD for the amount of 2.2 bln US$ and the supply volume of 2 mln tons. With these contracts the Company will be able to increase its market share in Mongolia up to nearly 80%. All contracts stipulate minimum monthly take amounts.