The search for ways to develop hard-to-recover reserves in Russia is a strategic priority for Gazprom Neft, with the project to develop a range of domestic technologies for developing the Bazhenov Formation, implementation of which was initiated by the company, having been awarded the status of a national project in May 2017. A pool of oil companies, scientific research organisations, service companies and industrial equipment manufacturers interested in addressing this challenge has now been put in place.

The Bazhen project now includes more than 20 participating partners. Gazprom Neft plans to invest approximately RUB7.5 billion in its implementation, and expects to commence commercial production as early as 2025.

Vadim Yakovlev, First Deputy CEO, Gazprom Neft, commented: “Developing the Bazhenov Formation is a genuine challenge: the significant distance we have already covered notwithstanding, there is still some way to go. Our ultimate strategic objective is to reduce production costs at the Bazhenov Formation as far as possible. A more tactical, short-term objective is to find the best technical solutions. We are glad that new partners are joining us. I have every confidence that, together, we will be able to develop innovative solutions allowing the profitable development of the Bazhenov Formation, in the near future.”