Key Results of 2018
In 2018, the volume of oil transportation did not differ from the previous year, having increased by an insignificant 0.5%. At the same time, petroleum products transportation grew significantly, by 18.4%. This was due to the launch of the Yug Project for transportation of diesel fuel to the port of Novorossiysk, an increase in the volume of transportation to the port of Primorsk, as well as an increase in the supply of motor fuels and aviation kerosene to the Moscow area.
In 2018, the Company’s financial indicators rose markedly as a result of increased revenues from transportation of oil and petroleum products, as well as in connection with the acquisition of a controlling stake in NCSP Group in September 2018. The indirect share in NCSP that had already been owned by the Group was revalued to the fair value at the date of acquisition in connection with the acquisition of a controlling stake.
In 2018, the total length of oil trunk pipelines increased slightly. The length of petroleum products trunk pipelines decreased slightly, by 200 km, as a result of decommissioning and dismantling of the disconnected and unused sections of pipelines at Transneft Urals, Transneft Western Siberia and Transneft Kama Region, as well as after repurposing of the Vtorovo – Yaroslavl petroleum products trunk pipeline for pumping oil.
In 2018, the Company’s investment in environmental protection increased by 24.9% and amounted to RUB 3.35 billion. Most of it was aimed at modernising existing and building new wastewater treatment facilities at Transneft subsidiaries, as well as reproducing aquatic bioresources.