Page 13 - FSUOGM Week 20 2021

FSUOGM NEWS IN BRIEF FSUOGM

to the ice melt due to global warming. This brings the full-year dividend to RUB15 northward to New Jersey. It shut down
Russia is also developing the so-called (USc20)/share, including the interim over the weekend, causing a large share
NSR, a shipping channel across the top dividend of RUB5/share. of gas stations to run dry from Florida to
of Russia that significantly shortens the As reported by bne IntelliNews, in 4Q20 Maryland. The national average gas price
transport links between Europe with Asia Gazprom Neft's earnings beat forecasts, spiked to a seven-year high.
and is building a fleet of nuclear powered with net income coming in at $1.07bn, The US government believes that a
icebreakers to traverse it. or 9% above the consensus forecast, Russia-based criminal enterprise known
However, there are still restrictions while EBITDA was recorded at $1.82bn, as DarkSide is responsible. Russian
on accessing this oil and gas. While the surpassing predictions by 18%. cybercriminals often are alleged to have
pipeline infrastructure in Western Siberia is VTB Capital (VTBC) analysts on May some association with the Kremlin.
well developed that in Eastern Siberia and 12 estimated that the announced dividend Biden said on May 11 that there’s “no
the Arctic still needs to be built. Exploiting amount translates into a 2.7% final dividend evidence” that the Russian government is
the fields has also been made more difficult yield. This is in line with the expectation of behind the hack. He is to meet with Putin in
by US sanctions on advanced oil extraction RUB9.91/share as a final dividend, which is June in Europe during his first foreign trip
technology exports to Russia where based on a payout of 50% of 2020 IFRS net as president.
equivalent technology does not exist. income adjusted for the foreign currency
And the global warming that is making loss.
more fields accessible is also threatening VTBC analysts treat the news as slightly Gazprom gas output rises
the existing pipeline network as Russia’s positive, "considering that the company is
permafrost is melting, which could see the adjusting its net income to the shareholders’ 15% to 201 bcm in Jan 1-May
existing pipelines sink into a quagmire if benefit... even though the adjustment
the year-round rock-hard ground turns into for the FX loss was guided earlier by the 15
mud. management," while affirming a Hold
“It will be difficult to maintain recommendation on Gazprom Neft's shares. Russian gas giant Gazprom increased its
production costs of hard-to-recover oil,” To remind, at the end of 2020 the CFO natural gas output by 15.4% on the year to
Kozlov said. “The price of the end product of Gazprom Neft suggested that Gazprom 201.3 billion cubic meters from January
exerts pressure on the industry, while the could cut its stake in the oil major in an 1 through May 15, the company said in a
foreign partners do not allow the Russian SPO after the recovery in the oil sector. statement citing preliminary results.
oil industry to use some technologies. Gas exports to non-CIS states grew
Still, the government helps the companies 26.7% to 76bn cubic meters in the period.
by taking on some costs, including the Biden: FBI says Putin Local gas supplies increased by 18%, or
cost of geological exploration, so that the by 19 bcm, in the period.
companies spend more on production.” uninvolved in Colonial
Kozlov’s estimates are an upgrade from
previous estimates that put the reserves Pipeline cyberattack Novatek to fully launch
of oil at closer to 57 years, according to
Kozlov’s predecessor Sergey Donskoy in a Russian President Vladimir Putin was not Arctic LNG 2 ahead of
2017 estimate. The expanded gas estimates involved in the devastating ransomware
are based on exploration of the Arctic attack on the Colonial Pipeline, U.S. schedule
region, which contains 72% of the country’s President Joe Biden said late on May 14.
natural gas deposits and 25% of its oil. “I am confident that I’ve read the report Russian independent gas producer Novatek
Kozlov conceded that more geological of the FBI accurately. And they say they will fully launch liquefied natural gas (LNG)
surveys are needed to firm up the estimates, were not, he was not. The government was plant Arctic LNG 2 in 2023–2025, ahead of
particularly in more remote areas. not,” Biden said at the White House when the previously planned schedule of 2023–
asked if Putin was involved. 2026, CEO Leonid Mikhelson said on May
The pipelinereopened on May 13 night 17 at a meeting with President Vladimir
Russian oil major Gazprom amid reports that the company paid a $5mn Putin.
“The launch of the first line is planned
ransom to the cybercriminals.
Neft delivers on 2020 has recently said the Russian government in 2023, and of the second line in 2024.
White House press secretary Jen Psaki
Previously, we scheduled the third line for
dividends has “some responsibility” to address the 2026, but we have two docks, and I think
hack because it’s “the country where
that now the lines will be (launched) in
The board of Gazprom Neft, oil arm of individuals are located, even as a criminal 2023, 2024, and 2025,” Mikhelson said.
Russian natural gas giant Gazprom, has network.” Localization of equipment production
recommended that the company pay out The Colonial Pipeline carries gasoline, for the project will exceed 50%, and
a final dividend for 2020 of RUB10/share. diesel and jet fuel from the Gulf Coast equipment localization for further projects

Week 20 19•May•2021 www. NEWSBASE .com P13