Logistics, Refinement and Sales Segment

As a result of energy efficiency measures, energy costs were reduced by RUB 947 million. Energy conservation activities within the division achieved savings of 3,900.8 TJ of heat, electricity, and fuel, and reduced the increase in energy consumption associated with the commissioning of new process facilities by 2.4%.

During the reporting year, the Company's refineries continued to improve their reliability and to upgrade and strategically develop electricity supply systems.

Gazprom Neft is exploring and investigating opportunities for using alternative energy sources. In 2014, construction of two cogeneration plants that produce electricity and heat by utilizing APG was completed at the Serbian company NIS, in which Gazprom Neft owns a 56.5% share. Geothermal energy projects were implemented, and facilities in the cities of Bečej and Palić were commissioned.

Significant outcomes of work to improve reliability and upgrade and strategically develop electricity supply systems:

• completion of a project to reconstruct internal and external electricity supply systems at Moscow Refinery. The project included a unique technical solution to supply electricity to the plant from two independent substations belonging to different energy grids (Federal Grid Company and Mosenergo)
• full-scale replacement of obsolete electrical distribution equipment at facilities and step-down substations at Omsk Refinery
• replacement of obsolete equipment at gasoline pool transformer substations and reconstruction of the Slavneft YANOS substation
• conclusion of agreements with electricity networks to add 280.7 MW (in total) of additional capacity. This will secure 100% of the future needs of the Omsk and Moscow refineries until 2025.