Gazprom Neft is to work with PwC Russia* in developing smart digital solutions in geology and oil production. The move follows the signing of a Memorandum of Strategic Cooperation at the 2021 St Petersburg International Economic Forum by Vadim Yakovlev Deputy Chairman of the Management Board, Gazprom Neft and Igor Lotakov, Managing Partner, PWC in Russia and Eurasia.
Gazprom Neft utilises self-learning software, neural networks, artificial intelligence (AI) and cutting-edge “Big Data” processing methodologies in many of its business processes. For example, the company’s self-learning digital system — the first of its kind in the world — was used in discovering new oil reserves in 2019. Following analysis of more 60,000 metrics obtained through geophysical investigations at the Vyngapurovskoye field in the Yamalo-Nenets Autonomous Okrug, the programme was able to identify the location of oil deposits from which oil inflows were subsequently obtained, without additional infrastructure having to be installed. The company is also using breakthrough digital solutions in optimising well drilling, in monitoring in-field equipment operations and geological investigations, and in logistics.
PWC Russia is proactively expanding its competencies in developing digital technologies, successfully integrating this into traditional business consulting. Major investment here has allowed the company to recruit a large number of experienced digital-technology specialists, further strengthening the firm’s technology practice.
The two companies will establish joint centres of expertise to develop technological and digital products for the oil and gas industry. Collaboration within these centres will help consolidate Gazprom Neft’s and PWC Russia’s resources in developing existing technologies in cognitive geology and digital business-process optimisation tools.
“We are focused on creating breakthrough solutions able to revolutionise production processes across the industry. Digital tools play a large part in this work — including our Cognitive Geologist project, a new IT platform used in analysing uncertainties in exploration and in building conceptual geological models. This product incorporates advance AI together with our employees’ experience, gained over many years’ work at the company’s fields. In combining our competencies with PwC’s global expertise we will create a new approach to processing geological information.”
Vadim Yakovlev Deputy Chairman of the Management Board, Gazprom Neft
“Innovation — for oil and gas companies — is all about maintaining investment attractiveness and improving efficiency, across all business processes. Continuous development can only be guaranteed by new ideas and technologies. Strategic cooperation with Gazprom Neft will allow us to join forces in creating an environment in which business and technology are organically amalgamated — something that will significantly accelerate the process of implementing solutions important in production.”
Igor Lotakov Managing Partner, PWC in Russia and Eurasia
Gazprom Neft is a vertically integrated oil company, primarily engaged in the exploration and development of oil and gas fields, oil refining, and the production and sale of petroleum products. Gazprom Neft is one of the top-three companies Russia’s oil industry. Gazprom Neft’s corporate structure comprises more than 70 exploration and production, refining and retailing enterprises throughout Russia, the CIS, and the rest of the world. The company operates across 110 countries, worldwide. Gazprom Neft’s filling station network currently totals more than 2,000 outlets throughout Russia, the CIS and Europe. Gazprom Neft is one of the Russian oil industry’s leading companies in terms of efficiency. Company revenues in 2020 were ₽2 trillion, adjusted EBITDA ₽485 billion, and net profit ₽117.7 billion. Gazprom PJSC is the majority shareholder in Gazprom Neft PJSC (95.68%), with the remaining shares in free circulation.
* PwC Russia (www.pwc.ru) provides industry-focused assurance, tax, legal and advisory services to various industries. Over 3,500 professionals work in PwC’s offices in Moscow, St Petersburg, Kazan, Ekaterinburg, Nizhny Novgorod, Novosibirsk, Perm, Krasnodar, Voronezh, Rostov-on-Don and Vladikavkaz. The company shares its thinking, experience and solutions to develop fresh perspectives and practical advice. The PwC global network includes more than 284,000 employees in 155 countries.
