Supply Chain Sustainability

Corporate requirements in terms of HSE, OS, and CD standards are considered when selecting contractors. One of the important pre-qualification criteria for contractors is that they comply with Gazprom Neft HSE, OS, and CD requirements. This minimizes the risk of working with unscrupulous contractors. The Company pays particular attention to a contractor's industrial and environmental safety policy, whether it has an HSE, OS, and CD management system that focuses on risk management for the service they supply, and whether it has training programmes that take the specific industry into account. All contractors sign an HSE, OS, and CD agreement that stipulates mandatory compliance with the Company’s industrial and environmental safety standards.

In 2014, the Upstream Division developed the Steps strategy to improve the efficiency of its work with contractors in the area of HSE, OS, and CD. The strategy aims to engage all professionals from associated directorates, subsidiaries, and contractor companies in resolving production safety issues. It covers all steps of the process from initiating contracts to the completion of service provision. As part of implementing the strategy across all Upstream Division subsidiaries and major projects, diagnostic audits of contractor cooperation procedures will be conducted, and specialized training will be organized for contract advisers, supervisors, and technical supervision specialists. By the end of 2015, the Upstream Division plans to have updated its procedural guidelines in this area. The project will ensure that the cooperation process with contractors is organized in accordance with the corporate HSE, OS, and CD policy and standards. The Company expects that the implementation of the Steps strategy will have a dramatic effect on accident statistics and reduce the number of incidents, most of which are currently attributed to contractor fault.