Bitumen materials

Sales of bitumen materials (mn t) Source: Company data

With modern bitumen material production facilities in Moscow, Omsk, Yaroslavl, Ryazan and Vyazma, Gazprom Neft is one of the biggest producers and suppliers of bitumen products in Russia. In addition to its Russian plants, the Company manufactures bitumen products in Serbia and Kazakhstan. Total bitumen material sales amounted to 1.83 million tonnes in 2016, a 6.4% increase from 2015. The Company’s share of the conventional bitumen materials market in the Russian Federation increased to 31.3% (+0.2 p.p.).

Gazprom Neft considerably strengthened its positions on the premium bitumen materials market in 2016 by acquiring a controlling stake in Nova-Brit LLC (Vyazma), a major manufacturer of innovative bitumen products. Thanks to the purchase of the stake in Nova-Brit LLC, the Company entered the market for high-tech bitumen products used to build roads, airfield runways and pipelines in addition to industrial construction. The Company began supplying premium bitumen products to the markets of Poland, Uruguay, Costa Rica, Paraguay, Brazil and Serbia in 2016. The expansion in the range and geography of supplies enabled the Company to increase sales of premium products by 88% to 105,000 tonnes.

The Company shipped and delivered an all-time high of 377,000 tonnes of binders using branded carriers during the reporting period, an 80% increase from 2015.