Vostok Oil: the energy megaproject that Russia has been waiting for so long


The day before, the head of Rosneft, the largest domestic oil company, Igor Sechin, officially presented to President Putin a mega-project for the development of the north of Russia and the Arctic under the name “East Oil”. Its implementation may lead to the emergence in our country of an independent "oil and gas province" and even a change in its administrative map.


What is East Oil? This is a group of large oil fields located mainly in the Krasnoyarsk Territory. Their total volume is estimated at 37 billion barrels of high-quality oil. However, its development is a real problem due to the great remoteness, lack of necessary infrastructure and harsh northern conditions.

To begin the extraction of "black gold" and its export, it will be necessary to carry out tremendous work, Igor Sechin explains:

15 fishing towns, two airfields, a port, approximately 800 kilometers of trunk and 7000 kilometers of infield pipes, two thousand megawatts of electricity generation and about 100 thousand new jobs will be created.

The total project cost is estimated at 10 trillion rubles. The money is very big even for Rosneft, which is currently the largest taxpayer in the country. The company is ready to invest 2 trillion at the initial stage and involves the active attraction of foreign investors. It is very gratifying that it was decided to conduct a more multi-vector policies, and instead of China, India is considered as a partner.

In general, a long-awaited project of this kind can be welcomed because of its positive synergistic effect for the domestic economics:

At first, the state will gain access to high-quality oil, which can be sold with an additional premium.

Secondly, Under this project, Rosneft invested in the construction of the Zvezda shipyard in Primorye, where they will create modern ice-class ships, supertankers and icebreakers. In particular, there will begin the production of super-icebreakers, which have no analogues in the world, of the Leader class, which will be able to provide pilotage of vessels along the Northern Sea Route even in winter. The emergence of such large-scale production in the depressed region will contribute to improving the economic performance of the Far East.

Thirdly, the launch of Vostok Oil will increase the load on the Northern Sea Route and related infrastructure. Together, this will lead to an increase in the popularity of this waterway, offering a shorter transport route from Europe to Asia than the Suez Canal. Thanks to such a project, Russia will be able to gain a foothold in the Arctic.

The implementation of Rosneft’s plans, according to Igor Sechin, will add 2% to Russian GDP. True, under this case, the head of the company asks for serious tax benefits from the state, which they are likely to give him now.

This project has another dimension. Sechin said that a “new oil and gas province” will be formed in the north of our country. Perhaps this is a figure of speech, but it is possible that something like this will happen literally. So, as part of the process of adopting amendments to the Constitution of the Russian Federation, Senator Andrei Klishas proposed introducing the concept of “federal territory”. This is part of Russia, not included in any of its subjects, with direct federal subordination. Klishas himself said that they were acquainted with the idea in the Kremlin.

Someone thought that the Kremlin was preparing to associate the DPR and LPR with Russia. But it is possible that in practice everything will result in the creation in the Arctic region of the real “oil and gas province” for the Rosneft project. Of course, this is only a hypothesis, and time will tell whether it was true.
Photos used: Rosneft
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  1. steelmaker Online
    steelmaker 12 February 2020 14: 02
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    And what prevents now without this super-duper project from lowering prices and tariffs by at least 2 times? But Sechin knows that the minimum wage in Russia is 11300 rubles. per month. And Sechin DAY 2-3 million rubles. And FOR PEOPLE, at first these 2 trillion rubles are poorly allocated? This whole project is HELD so that the state (the word must be censored) is robbed. People have a problem - how to survive on such a salary by paying a communal apartment, and Sechin has a problem - where to spend the money !!!
    1. rotkiv04 Offline
      rotkiv04 (Victor) 12 February 2020 16: 18
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      You are not an optimist, from the word at all. No, in order to be happy for the people, Gazprom’s managers turned the businessman over, now they are sitting quietly, digesting the results.
  2. gorenina91 Offline
    gorenina91 (Irina) 12 February 2020 17: 29
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    Vostok Oil: the energy megaproject that Russia has been waiting for so long

    - Another very, very costly undertaking for Russia ... - It is easier to say: again, “Seven with a spoon, and one with a bipod” ... - With a bipod, this is, as always, Russia, and with a spoon it’s all the raven that flies to easy gratuitous production in the form of all kinds of imported "investors" and "co-founders" ...
    - And Russia will remain ... as always .., from its legitimate natural wealth ... - only horns and legs ...
    - The very name "East Oil" speaks for itself ...
    - And why, then, at least simply does not commemorate this "megaproject" as ... how ...
    - “Ross-Vostok Oil”, or something like that ???
    1. Sergejluf Offline
      Sergejluf (Sergei) 13 February 2020 10: 32
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      Bile above all. And Irina cannot offer a specific megaproject. Mr. Sechin at his salary at his home contains a servant (cook, gardener, etc.). And at least this employed a few people.
      1. gorenina91 Offline
        gorenina91 (Irina) 13 February 2020 16: 47
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        - Firstly ... - And why are you doing this out of the way ??? - Ask - ask ... and personally I will answer you ...
        - Yes, personally, I can offer a "specific megaproject" ...
        - Yes, I already wrote somewhere about this for a long time ... - In the most financially huge and non-producing Russia, a dozen or three factories operate through the stump, all the technological equipment of which with a very, very big stretch can be called high-tech (mostly solid Junk from King Peas); they work cyclically, jerkily, performing random one-time orders ...
        - And all the enterprises that work like this, and that stand and don’t work ... - they all chorus ask for money for the development of production ... - And even the Russian defense industry stands with outstretched hands (somehow our mighty country produces a year two or three modern fighters, and the valiant Uralvagon cannot produce a modern Armat tank), etc ... - And what kind of money do they constantly ask for ... - rubles, dollars, gold bars, diamonds, diamonds, bitcoins or what else ??
        - All of the above-mentioned monetary abundance in Russia is and is in abundance (after all, a surplus - they themselves admitted) and all this abundance is a heavy burden and works only for two or three dozen insolent Russian oligarchs of billionaires who do not even think of investing in the Russian economy , in Russian projects, in Russian industry ...
        - Moreover, these parasites sabotage and provoke an artificial shortage of funds in Russia ... It is very beneficial for them to create a vacuum in Russia for drawing in foreign investment funds, speculating that it is necessary for some new Russian projects; to finance gigantic construction; to create entire regional industries, etc ... - They are absolutely not afraid that Russia, as a result of such "complicity" in these import campaigns, gets an ordinary parasite and an absolutely unnecessary shareholder who has the legal right of owner to Russian goods ... - And all this suits our oligarchs because they get a decent kickback from all these foreign investors, whom they themselves squeeze into the management of the Russian economy ... - That's the circle and closed ...
        - And that’s the only thing that happened today in Russia ... - As soon as some profitable money project is launched, connected with enormous profits and promising to develop into a super megaproject ... - so all these “import investors” and “co-founders” .. . - right here...
        - And you need to specifically answer ... - I answer - all of today's and upcoming projects and megaprojects in Russia absolutely do not need “imported funds” ... - Russia itself has an abundance of its own funds to finance these projects ...
        - Just created a cheap myth-dummy that Russia is constantly needed, even necessary imported funds ... - And who created this myth, you yourself guess ...
        1. Sergejluf Offline
          Sergejluf (Sergei) 15 February 2020 09: 33
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          Answer, Irina! Who are employed by you. And bile - it is bile. And no specifics.
          1. gorenina91 Offline
            gorenina91 (Irina) 15 February 2020 12: 29
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            And no specifics.

            - And what am I supposed to make for you from scratch, the technical and industrial financial plan, or what ???
            - And the state should employ, and not the kind uncle-oligarch, who at any moment can curtail production and throw you (well, not you personally) into the street; and the social guarantees of workers should be provided by the state, and not by the good gentleman; and the enterprises themselves (plants, factories, mines, mines, subsoil, deposits, etc.) should not belong to private individuals or even to many owners of assets (stocks, securities, etc. ...), but be state property, which not sold and not transferred to anyone for card debts and losing to roulette in a casino ...
            - Personally, I can hire you and your wife ... her nanny, and you ... as a guard and a worker in the maintenance of a private boiler room and a car mechanic for servicing a car (two) and a garage ... -Hahah ...
            1. Sergejluf Offline
              Sergejluf (Sergei) 17 February 2020 10: 04
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              Mrs. address and salary level. Again blah blah blah.
              1. gorenina91 Offline
                gorenina91 (Irina) 18 February 2020 09: 28
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                - You live far away ... - So ... - "roll up" ... - not in the sense of a ride (ride); but in the sense of that ... - why use the machine for rolling up ... -Hahah ...
  3. 123 Offline
    123 (123) 12 February 2020 19: 39
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    The project is costly, without investments from the side it will be difficult. India has long been spoken up on this issue. The choice is quite reasonable and reasonable.
    1. Indian investments will not be superfluous.
    2. Market, oil plans to produce a lot, to realize such volumes is problematic. And so in India, as a project participant, it becomes beneficial to purchase Arctic oil, despite closer Middle Eastern sources. Apparently, the share of sheikhs in the oil market in the future will be slightly less.
    3. As absolutely correctly stated in the article, this is diversification. India is also added to the European and Chinese markets. In the future, LNG may go for oil, possibly along the beaten track and other goods. In addition, Indians are taught to use the NSR.
    2% of GDP, of course, is a lot, but I think this is for 1 year? But still a decent amount.
    But there is another suggestion, to relax and give money to metallurgists. winked
  4. Anchonsha Offline
    Anchonsha (Anchonsha) 13 February 2020 19: 53
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    Wow, how they attacked Sechin’s proposal ... Strange. And the "steelworker", "gorenina91" and others do not see the benefit of what Sechin suggested. This is equivalent to when they refused to build a railway back in tsarist times in Siberia. Therefore, we lost the war with Japan. And now the Far East needs to be raised and ennobled so that the last people do not run away from there. The Zvezda shipyard will only require a mass of people to build super-icebreakers, tankers and other service fleets. Yes it is money. But even now, many budget money is not spent in full by the subjects of the federation (read the execution of the federal budget). Here whiners and work. And in order to reduce prices and tariffs, as the steelmaker requires, you need to increase labor productivity many times, rather than whining and waiting with your mouth open, and demanding from the local authorities that they do not wait for Putin, but do things. As long as we don’t work on the ground, but wait for the manna from heaven, nothing will happen.
  5. Rus Offline
    Rus 13 February 2020 21: 13
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    And gasoline will be even more expensive and a salary of 3.5 lama per day will also remain! But the Russians are not warm from this, but only cold.
  6. kig Offline
    kig 14 February 2020 03: 24
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    All of Russia is me, my friends, and my family. However, I don’t remember something that we even heard about such a project, especially since we were looking forward to it.
  7. gore Offline
    gore (Alexander) 14 February 2020 06: 28
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    The main thing is the name. Not East Oil, not Northeast Oil, or, at worst, Russian Arctic Oil, but its own, East Oil ...
  8. alessio Offline
    alessio (Oleg Tarasenko) 14 February 2020 09: 03
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    I have been waiting for East Oil for so long .... In the morning I get up and immediately thought: "How can I be without East Oil." Every day of torment ...
  9. Roarv Offline
    Roarv (Robert) 14 February 2020 09: 19
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    Any mega-project should pursue the goal of private state partnership ... The question is relevant here - 7-8 people are foreigners on the Board of Directors, and why investments in the project should be allocated from the taxpayers of the Russian Federation, where Rosneft and its shareholders arrived, there are Dividends - There are no profits. Let them get in their pocket ...
    But gentlemen are good, the opposite is true in the whole world ...
    We have GOSIDEOLOGY to government officials in state monopolies, give money from taxpayer money, otherwise jobs cannot be saved ... How to divide and receive dividends - there is money, how to invest - no money ....
    We have an interesting situation, a report is published annually in state monopolies, but how much each taxpayer has from each ruble invested in taxes - there is no information, not a single state-owned company.
    Damper, Tax maneuver, Subsidies and financing for repairs and reconstruction and other benefits, preferences - that's what state companies pay ... Look and see their tenders for the purchase, sale of non-core assets since 2000, these are tens of trillions of rubles that will take these statesmen from a state company whose staff is inflated like a ball.
  10. Ordos Offline
    Ordos (Utuman) 22 May 2020 15: 10
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    In the years 30-50, the Nordvik exploration expedition worked in that area. Several villages were built, 70 km of the railway. For 17 years he lived and worked without any problems. Emelyantsev Tikhon Matveevich worked as a chief geologist, the author of a textbook on the permeability of reservoir rocks. The other also worked, Puck Pinhos Solomonovich. I met his daughter Dudina Nina Pinkhosovna in Norilsk, now she should be in Germany with her son or daughter. During the war they lived as under communism. There were villages Nordvik, Kozhevnikovo, Chaydah and South Tigyan. Oil is there on Tigian and Perm, but it is secondary there, it gets from below from Devon. The Devonian salts Nordwig is a whole mountain of salt. All this goes through Khatanga to Taimyr, apparently, they gather there in the east of Taimyr. It is easier to develop the region through Yakutia. You don’t need to go around Taimyr, you’ll immediately go to that Star in Primorye. The sea is shallow everywhere. The Khatanga oil and gas exploration expedition worked in 70-80, and also drilled several wells. In their experience, even going there through Yakutia is better.