OAO Gazprom has been named the biggest overall producer of oil and gas, concludes the latest report from industry experts GlobalData.

 

The report shows the Russian petrochemicals giant produced 3,340 MMboe last year, exceeding the company’s 2010 total by 35 MMboe and substantially outweighing competitor levels.

 

Venezuelan state-owned firm, Petróleos de Venezuela (PDVSA), placed a distant second, producing 1,400 MMboe, while Mexican company Petróleos Mexicanos (Pemex) followed with 1,332 MMboe.

 

Gazprom’s dominance is firmly established by its pre-eminent position in the gas production sector, producing a staggering 18,121 Bcf in 2011 alone – more than seven times that of the nearest rival.

 

With a primary focus on natural gas, the Russian company holds a less impressive position in the oil sector hierarchy, although last year’s production of 320 MMbbl still earned the firm a respectable seventh place. PDVSA were 2011’s number one in terms of oil production, coming up with 1,142 MMbbl.

 

Such massive production saw Gazprom accrue more than $44 billion in net income last year, increasing at a compound annual growth rate (CAGR) of 14.6% from 2007, when the company announced an income of $25.7 billion.

 

Gazprom’s future supremacy is under threat, however, with the US natural gas boom presenting rivals with the opportunity to capitalize on massively abundant reserves and correspondingly low sell-on prices.