The digital transformation of the Gazprom Neft Downstream Division aims to manage the entire value chain as a single asset. The transformation is focused on the key tasks of optimising resources, minimising losses and increasing efficiency at each stage, as well as improving the safety, reliability and environmental performance of assets. The practical application of this concept is based on developing end-to-end digital solutions covering the entire value chain and creating digital ecosystems to increase efficiency in each segment of the chain.
As part of this approach, a single and cohesive database is being created for the downstream segment, which will ensure the high quality and availability of all performance indicators and analytical and business information to meet the needs of the entire value chain.
The Gazprom Neft Neftekontrol ('Oil Control') System is an end-to-end operational efficiency tool for the downstream segment. It was developed in-house to continuously monitor and control the volume and quality of oil products at various stages, from the refinery to the customer.
Smart sensors and systems monitor key qualitative and quantitative metrics of all petroleum product flows in real time, sending information to the Neftekontrol System. System tools build a digital model of the movement of petroleum products, identifying potential risks, and improving performance along the chain by forecasting and reducing the risks of petroleum-products losses. The Ministry of Energy of the Russian Federation and the Federal Agency for Technical Regulation and Metrology (Rosstandart) have recognised Neftekontrol as the industry standard for the fuel traceability system for all state market participants.
Today, 90% of Downstream assets are connected to this unique system. This oversight and control system is expected to be deployed across all assets in the company’s value chain by 2020, including all of Gazprom Neft’s refining, logistics and retail facilities.
Neftekontrol is linked to another end-to-end solution that affects the efficiency of the value chain: an integrated scheduling system. Covering the entire value chain, the system generates an optimum plan for production and distribution of oil products on a daily or monthly basis. By 2021, the integrated scheduling system will cover all Gazprom Neft’s downstream assets and, as a result, planning accuracy will increase to match the global benchmark of 97–98%.
The overall integration of these two systems takes place at the Gazprom Neft’s Downstream Efficiency Control Centre (ECC). By leveraging modern data analysis technologies, predictive analytics methods and working with big data, the ECC enables the company to maximise the operational efficiency of all processes in the value chain. A single and cohesive environment for managing refining assets makes it possible to implement solutions that increase the efficiency and reliability of the entire production process hierarchy, from basic processes to groups of production facilities and entire enterprises.
The Arctic is a strategically important region for the whole of Russia and, in the oil supply segment, Gazprom Neft is the first among Russian companies to create a Digital Arctic ecosystem to manage logistics there effectively.
The company’s refining assets have reached a level of digital maturity, such that a transition to a new production-management model is assured. Gazprom Neft continues to develop new approaches, based on the smart management of process units, to utilise the most innovative digital tools and manage its production assets. The creation of the Production Control Centre (PCC) is a prime example of the new management model. An initial pilot project at the Omsk Refinery will take over operational production management, including control over daily plan fulfilment, product quality, energy consumption, equipment status assessments, and the monitoring of industrial and environmental safety.
The new centre will be built around the work of cross-functional teams, united in a cohesive environment of IT tools and big data analytics systems. Thanks to the implementation of “digital twins” – precise mathematical models of all of the refinery’s technological facilities and complexes – the PCC will be able to predict and to eliminate, proactively, any deviations from optimum operation and integrated planning. The pilot project will be implemented at the Omsk Refinery in 2020 at the Moscow Refinery by 2021. The Production Control Centre will become a part of the “digital refinery of the future”, which will be managed from a single control centre, using digital tools running on a single platform.
Our ambition is to develop a fully-fledged company-wide energy business, using the latest energy technologies and creating synergies with its traditional business. The development of the energy business will focus on captive power generation using renewable and innovative energy sources, establishment of a power engineering centre, and intelligent energy management solutions based on digital technologies. Gazprom Neft refineries will become well-balanced energy hubs serving as benchmarks in terms of reliability and energy efficiency.
Vladimir Andreev Head of Department for Power Engineering, Gazprom Neft PJSC
Company refineries: 2019 highlights
Installed capacity, mt
Volume refined in 2019, mt
Conversion rate, %
Light-product yield, %
Modernisation and technological developments
key projects implemented in 2019
key projects scheduled for 2020
Commissioning a cat-cracking regeneration gas treatment unit;
Completing the reconstruction of the diesel-fuel hydrotreatment unit, delivering a 10% capacity increase;
Commissioning the first (1 MW) solar-power electricity station in the region;
Implementing the second stage of refinery modernisation, including the construction of a crude oil distillation unit (CDU/VDU), a deep conversion complex (DCC), a delayed coking unit (DCU), a diesel-fuel hydrotreatment/dewaxing unit, and the Biosphere treatment facility.
Continuing the implementation of the second stage of the modernisation;
Completing the reconstruction and commissioning a number of process units, including the catalytic reforming unit.
Commissioning an air-tight and leak-proof road-transport loading rack for light oil products;
Completing the main construction and installation works at the Euro+ unit, starting pre-commissioning works.
Commissioning of the Euro+ combined oil refining unit;
Active phase of construction of the automated railcar oil-products loading facility.
NIS Pančevo Refinery (Serbia)
Completing the construction of a deep conversion complex based on delayed tar coking technology.
Commissioning the deep conversion complex;
Reconstruction of the catalytic cracking unit, and construction of an ethyl-tert-butyl ether (ETBE) unit.
Commissioning of the “Wet Catalysis – 2” hydrogen sulphide removal unit;
Converting the hydrogen production unit (UPV 2) to natural gas;
Continuing the construction of the deep conversion complex.
Continuing the construction of the deep conversion complex;
Continuing the upgrade of the VT 6 vacuum distillation unit;
Completing the reconstruction of the gas-loading rack.
0.00 Gazprom Neft’s share in the Mozyr Refinery’s refining volumes is subject to the oil supply schedule as approved by the Ministry of Energy of the Russian Federation. The company may process up to 50% of oil supplied to the refinery. Actual refining volumes will depend on its economic efficiency. The company did not process any of its oil at the Mozyr Refinery under tolling arrangements in 2019.
Construction of the hydrocracking unit for heavy oil residues.
Completing the construction and installation of the hydrocracking unit for heavy oil residues and initiating start-up works.