2.1.The Company’s Standing in the Industry

Oil Transportation

In 2019, oil production (including gas condensate) in the Russian Federation amounted to 560.2 million tonnes. 266.0 million tonnes were exported, and 290.3 million tonnes were processedThe production volumes are specified in accordance with the data provided by the Ministry of Energy of the Russian Federation..

The Company’s share in the transportation of Russian oilThe production volumes are specified in accordance with the data provided by the Ministry of Energy of the Russian Federation.
The Company’s share in the transportation of Russian oil

Petroleum Products Transportation

In 2019, a total of 131 million tonnes of light petroleum products (diesel fuel, motor petrol, aviation kerosene) was produced by all the oil refineries in the Russian Federation, including 105 million tonnes from the refineries connected to the petroleum products trunk pipeline system. Of these, transportation of petroleum products via the PPTP system amounted to 37.7 million tonnes.

The Company’s share in the total transportation of petroleum products manufactured in Russia
The Company’s share in the total transportation of petroleum products manufactured in Russia

The Company’s share in the transportation of light petroleum products on the domestic market in 2019 amounted to 12.6%. The Company’s share in diesel fuel transportation to the domestic market from the refineries connected to the PPTP system stood at 20.1%.

In 2019, the Company’s share on the market for transportation of light petroleum products for export amounted to 57.2%, with 82.6% of diesel fuel exported from the refineries connected to the PPTP system.

Transneft’s share in the transportation of oil and light petroleum products
Name 2017 2018 2019
Oil Transportation
Oil production (including gas condensate), million tonnes 546.7 555.8 560.2
Transneft’s share in oil transportation 84.0% 83.1% 83.1%
Petroleum Products Transportation
Transneft’s share in the transportation of light petroleum products to the domestic market 12.3% 12.7% 12.6%
Transneft’s share in the transportation of diesel fuel from connected refineries to the domestic market 25.6% 21.4% 20.1%
Transneft’s share in the transportation of light petroleum products for export 47.2% 60.6% 57.2%
Transneft’s share in the transportation of diesel fuel from connected refineries for export 83.6% 85.8% 82.6%

Main Competitors of Pipeline Transport in Petroleum Products Transportation

Railway Transport

Water Transport

Motor Vehicle Transport

Pipeline transport has a number of competitive advantages compared to the other types of transport, such as:
  • short delivery terms for petroleum products;
  • the ability to store petroleum products and create reserves;
  • a high level of protection from adverse weather conditions.