Tatneft : Meeting of the PJSC TATNEFT’s Board of Directors

A meeting of the Board of Directors of PJSC TATNEFT named after V.D. Shashin chaired by R.N. Minnikhanov, President of the Republic of Tatarstan, was held in Kazan on September 24, 2020.

The meeting considered the results of the Company's budget execution of for eight months of 2020 and approved the budget for October and the fourth quarter of the current year.

The meeting participants got acquainted with the development of the TATNEFT's petrochemical complex project. The Board of Directors approved the updated programs for the further development of the TATNEFT's oil and gas chemical complex. Special attention was paid to environmental safety in the course of the project implementation: in addition to the application of the best available technologies, careful consideration is also given to the projects that radically improve the environmental friendliness of the production.

The information on the modernization of the Nizhnekamsk CHPP aimed at the application of new technologies in the energy sector and expanding the heat sales market was presented to the meeting participants. Currently, there are three key projects being implemented: construction of an overpass with process pipelines for supplying heat energy and hot water to the TATNEFT's tyre manufacturing complex; reconstruction of installed power boilers, as well as the construction of a gas turbine unit within the frame of the DPM-Shtrikh program. The listed projects will increase the load of the CHPP equipment and ensure the optimal operation.

The issues of integrating the fifteenth UN goal aimed at protecting and restoring terrestrial ecosystems and promoting their rational use into the Company's Activities were considered at the meeting. As part of this work, TATNEFT is creating a register of economically viable technologies aimed at reducing the occupied land and forest areas under crude oil production facilities and restoring the ecosystems' biodiversity. An important role is cast to the upgrading of the reservoir pressure maintenance system, which makes it possible to reduce the specific electrical energy consumption. The use of wastewater from urban wastewater treatment plants will allow reducing the consumption of fresh water. The application of plastic pipes will exclude the use of corrosion inhibitors and increase the water lines service life.

Currently, the value-added use of associated petroleum gas in the Company exceeds 96% thanks to purposeful work. The plans provide for increasing this level to 98% through the implementation of technological solutions, including workover and expansion of the gas collection system from oil production facilities; construction of additional facilities for the use of APG, as well as technical re-equipment and modernization of production.

Also, TATNEFT together with other companies, is introducing environmentally friendly technologies to reduce the negative impact on the environment.

The Board of Directors decided to take into account the impact of projects on the conservation of terrestrial ecosystems when assessing the effectiveness of the Company's investment projects.

The information was also presented to the meeting participants about external challenges, risks and opportunities that form the external environment of the TATNEFT Group business. This topic is discussed at the Company's Management Board meetings on the regular basis, while the conclusions are taken into account in operating activities and in the development of strategic initiatives. The strategic planning and development unit, together with the business units of the Company, continuously monitors the state of the markets to ensure timely informing of the Board of Directors members about the risks of the changing dominant trends.

There was also the award presented to Nurislam Syubaev, Deputy Director General for Strategic Development. Following the decision of the Administration and Company's Trade Union Committee N.Z. Syubaev was awarded the title of the Honorary Oilman of PJSC TATNEFT for many years of fruitful work and great contribution to the development of the oil industry.