Gazprom continuing consistent work on import substitution

The Gazprom Management Committee took note of the information about the progress achieved in terms of import substitution efforts in 2019, as well as about the measures to facilitate the integration of domestically-manufactured equipment and technologies in the production operations of the Gazprom Group.

It was highlighted that the intensive work in this sphere in conjunction with Russia’s science and technology complex is aimed at reinforcing the technological leadership of Gazprom within the gas, oil, and power sectors. In 2019, the corporate list of priority products for import substitution and local content development was extended for the benefit of Gazprom Neft and Gazprom Energoholding.

As part of import substitution efforts, special attention is paid to subsea hydrocarbon production and liquefied natural gas (LNG) production. For instance, it is with the participation of Gazprom that a full range of key equipment for operating offshore fields was developed and presented last year.

Another important endeavor is the development of energy supply sources for remote production facilities. These energy supply sources help reduce capital expenditures and operating costs during the implementation of projects in new regions, namely, in the Arctic and in eastern Russia, where there is no sufficient power grid coverage yet. To this end, prototypes of a gas microturbine and a fuel cell generator were created for the needs of the Company. The generator uses hydrogen extracted from natural gas to produce electricity.

It was pointed out that the overall economic effect from the import-substituting technologies, equipment and materials applied at the Gazprom Group’s facilities in 2016–2019 amounts to RUB 35.5 billion.

The issue of the import substitution work performed in 2019, including the approval of the report on the implementation of the corporate import substitution plan, as well as the measures to facilitate the integration of domestically-manufactured equipment and technologies in the production operations of the Gazprom Group, will be submitted for consideration by the Gazprom Board of Directors.