Rosneft Improves ESG Indicators

Rosneft Improves ESG Indicators

Ensuring the sustainability of its production activities, Rosneft works continuously to minimise its impact on the environment so as to preserve it for the advantage of current and future generations.

The Company may be a member of the UN Global Compact, thus confirming its commitment to the very best principles of sustainable development. Rosneft publishes details of its ESG activities annually in its sustainability reports.

Rosneft is implementing variety of comprehensive programmes for the preservation and restoration of natural resources. consistent with sustainability reports, Rosneft has reduced its gross emissions by 17% over the past three years, partly through its programme of associated petroleum gas utilisation. In Upstream, the pipeline reliability programme has reduced the extent of adverse impact caused by pipeline failures by 17% over three years. Rosneft has reduced its previously accumulated drilling waste by quite 1.3 million tonnes in 2020. Furthermore, several enterprises within the Group achieved 100% remediation of legacy land.

One significant element of the climate agenda is that the development of a mechanism for natural carbon sequestration. during this regard, Rosneft sees huge potential for the absorption capacity of Russian forests and places increased emphasis on this initiative. Between 2018 and 2020, Rosneft subsidiaries’ employees planted quite 3.5 million seedlings, with some 4 million seedlings and young trees planted within the half of 2021.

The Company’s activities involve the utilization of water resources, so it pays considerable attention to water management. Over the past three years, the quantity of wastewater disposal for recycling to other organisations has increased by 22%.

The Company carries out regular aquatic biological resources reproduction activities to conserve and enhance the fish fauna. In 2020, Rosneft’s subsidiaries released quite 65 million juvenile fishes of Siberian sturgeon, muksun, peled, salmon and other species into Russia’s river systems, with quite 70 million juvenile fishes already released into water bodies within the half of 2021.

Improving safety culture is one among Rosneft’s key priorities. Over the past three years, training in health, safety and therefore the environment has increased by 22%. Despite the restrictions caused by the coronavirus infection, additional measures were taken in 2020 to implement the Golden Rules for Workplace Safety, with quite 130,000 employees undergoing distance training.

To improve management efficiency and minimise the environmental impact of its operations, the corporate has invested quite 122 billion roubles in fixed assets since 2018 (programmes to enhance the associated petroleum gas utilisation, pipeline reliability, to construct treatment facilities, etc.), with recurrent (operating) costs amounting to 92 billion roubles over this era .

Rosneft has set ambitious long-term goals for the climate agenda. Long-term efforts are designed to create a scientific approach to achieving those, reflecting the heightened specialise in environmental protection at global, regional and native production levels.

In 2020, the corporate developed an Environmental Vision, which, along side the 2035 Carbon Management Plan, has become a key component of Rosneft’s long-term environmental agenda, defining the essential principles of its environmental activities.

The Environmental Vision combines three priority areas as follows:

carbon management,
biological diversity preservation, and
environmental protection activities (water and air protection, land remediation, industrial waste management).
Rosneft company shares and actively supports international and national global climate change goals. In 2020, Rosneft was the primary Russian oil and gas service to line climate targets through 2035 as a part of its Carbon Management Plan. The document stipulates preventing greenhouse emission emissions of 20 million tonnes of CO2-equivalent, reducing the emission intensity in oil and gas production by 30%, and achieving a methane emission intensity below 0.25%.

The Carbon Management Plan also envisages zero routine flaring of associated petroleum gas. This indicator has already reached the target 95% at a number of Rosneft’s subsidiaries, including Samotlorneftegaz, RN-Vankor, RN-Purneftegaz, Kharampurneftegaz, North Chaivo, Bashneft Dobycha, Sorovskneft, etc.

The Company is developing cooperation in carbon management and sustainability with foreign partners. Rosneft entered into cooperation agreements with BP and Baker Hughes to assess, among other things, the prospects for decarbonisation (the use of CO2 capture, utilisation and storage technologies).

Rosneft is recognised because the leading Russian oil and gas producer during a number of international ESG ratings, including Refinitiv and Bloomberg. Sustainalytics, a world agency, improved the Company’s ranking in its rating twice in April 2021. With a score of 33.9, Rosneft became the simplest among Russian oil and gas companies.