Serbia: Gazprom Neft Serbian Oil Industry Profit increased by 2%, investments higher 6%

, News Serbia Energy

Despite the difficult economic situation, NIS Group made a profit of 416.4 MEUR before taxation last year, while the total investment of the companyreached491 MEURin2013, said Gazprom Neft NIS CEO Kirill Kravchenko. Profit of  NIS groupin2013is the approximate like the profit in the previous year (up2%), and only NIS AD had a profit before tax of439MEUR, while the rest of the profit made subsidiary companies.

Internal efficiency had the most impact on the results achieved, reducing costs and introducing new technology which will continue in2014, said Kravchenko, when presenting work results NIS in the past year.

Last year, on behalf of various taxes NIS paid about1billion EUR, which is up to 30percent more than in2012,and according to preliminary results, the oil company participate sin filling the budget of Serbia with about14 percent, said Kravchenko.

He noted that this year marks five years since Russia’s Gazprom Neft has become the majority owner of NIS, and since then,the Russian partner has invested2 billion EUR, and in the next three years will invest an additional 1.5billion EUR.

Investment of NIS increased by about six percent last year compared to2012, while EBITDA rose by 5percentand amounted to592MEUR.

The greatest progress in the last year was in the area of​​processing, which grew by 36percent, and the depth of processing has increased by9percent, reaching as high as 84percent,thanks to the modernization of the Pancevo refinery, which is one of the most modern plants in the region, said Kravchenko.

“NIS is in the first third of the best refineries in Europe, and the goal is to get into the top ten percent in the coming period,” said Kravchenko.

Oil production has increased by about 2 percent, increase in retail sales by 13 percent, while the total value of purchased equipment in 2013 was about 30 MEUR.

Source; Serbia Energy