East Oil

"East Oil" - for 2022 the largest project Rosneft"."

The East Oil project in Taimyr has several key advantages:

• Premium oil - it has a uniquely low sulfur content of 0.01-0.04%. Sulfur compounds cause serious environmental damage, so its regulatory content in fuel is constantly tightening.

• The resource base is over 6 billion tons of premium oil and about 2 trillion cubic meters of natural gas. The first oil supplies in the amount of up to 30 million tons per year are planned to begin in 2024, and after 2030 it is planned to reach 115 million tons per year.

• Its logistics are the largest oil loading terminal in Russia and the berth of the Sever Bay port, located on the Northern Sea Route in the Yenisei Bay.

• Operating efficiency - low unit production costs.

Sulfur treatment technologies are very complex and expensive, so low-sulfur oil is sold at a premium to other grades. For example, Saudi Aramco sells its Super Light grade, which contains 0.09% sulfur, at a premium of almost $11 to the price of the reference Dubai crude, which trades roughly in parity with Brent.

Premium oil of the Vostok Oil project contains 2-9 times less sulfur compared to Saudi Super Light. For this reason, it can become an independent "Arctic" standard, to the price of which other varieties of black gold will be tied. This will allow it to trade at a premium of $15-25 to the Russian sour oil Urals, which contains about 1.3% sulfur.

History

2024: Rosneft appoints Andrei Lazeev as new CEO of Vostok Oil

On July 1, 2024, it became known about the change of the general director of Vostok Oil: this position was taken by Andrei Lazeev instead of Vladimir Chernov. Read more here

2022

European trader Vitol withdrew from Vostok Oil capital

In December 2022, European trader Vitol withdrew from Vostok Oil capital.

Rosneft began production drilling at the Payakhskoye field

In July 2022, Rosneft began production drilling at the Payakhskoye field, which suggests that the implementation of the Vostok Oil project is proceeding as planned.