Zarubezhneft CEO S.Kudryashov discusses conventional energy future

Moscow, October 15 - Neftegaz.RU. Sergey Kudryashov, the General Director of Zarubezhneft Group of Companies, took part in the session «Russian Fuel and Energy Complex in the Conditions of Energy Transition» at the Russian Energy Week.

The session was opened by the Prime Minister of Vietnam Pham Minh Tinh, who noted that the country pays great attention to sustainable development, adaptation to climate change, reduction of carbon emissions, and efficiency of the energy industry.
The General Director of Zarubezhneft, said:

• In its activities, Zarubezhneft is guided by global trends
• Take Vietnam as an example - a country where gas, wind and solar power are the priority energy sources
• By 2030, we plan that our portfolio will have 50% oil, 50% gas, today the shares are distributed as follows: 80% is oil and 20% is gas
• We forecast that production volumes should more than double
• We also expect that Zarubezhneft will have its own power generation in the amount of 1GW

Russia and Vietnam have developed strong relations in the energy sector and joint projects are the basis for the further development of cooperation in new areas, including renewable, green energy.
A vivid example of efficient and promising cooperation between the 2 countrie are Vietsovpetro in Vietnam, as well as Rusvietpetro in Russia.

According to Kudryashov, the oil business will face high competition, and the key challenge for oil and gas companies will be to improve the efficiency of production and field development, and work with costs.
He noted:

• We are planning to increase investments in the gas sector
• The 1^st steps were taken by the company in Vietnam, where Zarubezhneft is forming a gas cluster based on existing assets
• The company entered a large pipeline consortium and acquired several blocks in Vietnam and Indonesia
• The main investments in gas for geological exploration are in Vietnam and Indonesia
• Similarly, in the area of renewable energy sources, it is a synergy with existing assets

Zarubezhneft CEO also noted that the issue of capturing and storing carbon dioxide is undoubtedly important, and the company is closely monitoring the situation and technologies in this area, and already last year, pilot works were carried out at the Zarubezhneft fields in Russia.
Sergey Kudryashov commented:

• Geothermal energy is a new direction that we are now considering
• The company has already started working on geothermal projects
• We see close synergy with our long-term experience in the underground development of oil and gas fields
• We believe that this will help increase the efficiency of projects in a new direction
• This, among other things, will allow us to reduce the carbon footprint of our oil producing assets