Page 127 - RusRPTOct21

the company how to commercialise CO2 capture for geological storage, and the regulatory base in Russia is lacking, Shamsuarov said.
Lukoil acquires 25% of the SWAP project in Azerbaijan’s Caspian Sea. The company reported. The seller isP, which retains 25% and remains the operator of SWAP (Shallow Water Absheron Peninsula). Addressing a need for upstream resources. Lukoil has made several deals in recent months in the upstream, including a $500mn investment in a PSA in the Gulf of Mexico announced in July, a deal to replace Shell in Gazprom Neft’s Meretoyakhaneftegaz project in the Yamalo-Nenets Autonomous Okrug, and news that the company will get access to aaltic Sea license. Additionally, it recently announced it will increase drilling activity in 2022 to attempt to increase its production capacity. All of this increased activity works to address Lukoil’s relative lack of geological opportunities, a key issue for the company for at least the last decade.
9.2.3 Aviation corporate news
Aeroflot Group released its consolidated operating results for August on September 24. The number of passengers carried by the group increased 50.3% y/y to 5.5mn in August, though that was 10.9%elow the pre-pandemic August 2019 level. RPK grew 58.7% y/y to 12.3bn PKM,ut this was down 19.8% from the August 2019 level. The passenger load factor was down 0.1 pp y/y to 86.5%, 3.7 below the August 2019 figure. In August, the pace of the decline in traffic versus the 2019 level continued to ease for Aeroflot Group. Passenger traffic for the group was down 17.8% in June and 16.3% in July from the levels in the same months of 2019. We note that PAX grew 6% m/m in August (ory 325k passengers), whereas it normally declines from the July level. This suggests that the ongoing recovery in traffic continues. We attribute this to the resumption of flights to Turkey, as in absolute terms international PAX contributed more than domestic PAX to the m/m growth (182k versus 143k). In 8m21, Aeroflot Group's PAX reached 29.3mn passengers, up 54% y/y. This means that the company will have to carry 17.7mn passengers in September-December to reach its guidance of 47mn passengers for the full year. The task looks achievable to us. It implies a 10% decrease compared to the last four months of 2019, which is about what we saw in August. The stock climbed 3% after the results were published, though we view the update as neutral on the whole.
9.2.4 Construction & Real estate corporate news
127 RUSSIA Country Report October 2021 www.intellinews.com
PIK Group held its 2021 Capital Markets Day, during which the company focused on new growth pillars and digital transformation.
Several newrands (Forma, Mono and Villages) were launched to