Board of OAO "Tatneftekhiminvest-holding" discusses issues related to strategic development of Tatarstan

On October 1, at a board session of OAO "Tatneftekhiminvest-holding" chaired by Tatarstan President Rustam Minnikhanov issues related to strategic development of the Tatarstan economy were discussed.

Alexander Oliveira, a representative of the Ernst&Young, a British audit and consulting company, made a report on current trends in the global oil and gas industry. Telling about main trends in the global oil market, he also touched upon Tatarstan, calling it one of the most important industrial regions of Russia. Alexander Oliveira said that Tatneft Oil Company is one of the pioneers in the development of hard-to-recover-oil, noting that this topic is very relevant on a global scale. He continued that the development of the TANEKO Oil Refining and Petrochemical Complex is very important.

Director of EY Moscow Oil & Gas Center Denis Borisov also told about the Russian oil, gas and petrochemical industries in the global context. In particular, he is skeptical about attempts of the Russian leadership to achieve the modernization of the oil refining industry by means of tax maneuvering without encouraging improvement of reservoir recovery in the oil production sector.

Borisov said that the upcoming “big tax maneuver” will result in unprofitable work of  many refineries. According to him, they would not be able to work at the current European oil prices.

Rustam Minnikhanov also expressed his opinion that refining and petrochemical industries, as well as road funds would suffer from the so-called “big tax maneuver”.

Director of the Resource Center for territorial strategic planning "Leontief Centre" Boris Zhikharevich told about the place of the petrochemical complex in social and economic development of the Republic of Tatarstan up to 2030. The main thesis of his speech was the idea that if Tatarstan wants to be competitive, it is possible only in the global context. He emphasized the main competitive advantage of the republic - the synergy of the fuel and energy clusters. He promised that the first draft of the strategy will be presented to the regional leadership in December this year.