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SIBUR and LUKOIL have signed a long-term agreement for the supply of associated petroleum gas

The petrochemical holding company SIBUR and the LUKOIL Oil Company have signed a long-term agreement for the supply of associated petroleum gas (APG).

SIBUR and LUKOIL have signed a long-term agreement for the supply of associated petroleum gas

The petrochemical holding company SIBUR and the LUKOIL Oil Company have signed a long-term agreement for the supply of associated petroleum gas (APG).

According to the terms of the agreement, LUKOIL will supply APG from the fields of LUKOIL–Western Siberia to Nyagangazpererabotka. In the period from 2011 to 2015 the total volume of APG supplied will be over 2.5 billion cubic meters.

Currently, the capacity of Nyagangazpererabotka is designed to accept up to 2.14 billion cubic meters of associated gas per year. The volume of APG processed in the company in 2010 amounted to 1.3 billion cubic meters, from which was produced 1.18 billion cubic meters of dry stripped gas, 88,000 tonnes of stable gas gasoline and 247,000 tonnes of propane and butane, used mainly as household and motor fuel.

At the beginning of 2011 Nyagangazpererabotka became part of the company Yugragazpererabotka – a joint venture of SIBUR and TNK-BP for the refining of associated petroleum gas from fields in the Khanty-Mansi Autonomous Area. With the integration of the assets, the general principles for the supply of associated petroleum gas (APG) to Nyagangazpererabotka, as well as the provision of services for the processing and sharing of production, comply with the conditions set with the creation of Yugragazpererabotka.


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