OREANDA-NEWS. May 06, 2013. A regular meeting of the Board of Directors of JSC TATNEFT was held in Kazan (Republic of Tatarstan). The Board of Directors summarized the results of the Company's budget execution for three months of 2013 and approved the Company's budget for May.

The Board of Directors discussed the results of JSC TATNEFT's financial and economic activities in 2012.

26 million 5 thousand tons of crude oil were produced at the fields of the Company in the past year accounting for 77 thousand tons increase versus 2011. The above-the-plan production amounted to 605 thousand tons of crude oil. 303 producing wells were put in operation. The Joint Stock Company produced 302,000 tons of crude oil at the licensed fields of subsidiaries outside of Tatarstan in the Russian Federation.

285 thousand tons of liquefied petroleum gas were recovered and delivered during the reporting period, while the production of associated petroleum gas amounted to 843.5 million cubic meters. The volume of extra-viscous crude oil at Ashalchinskoye field amounted to more than 73 thousand tons with the total production volume since the beginning of development amounting to more than 210,000 tons.

30 wells were drilled with application of geosteering support. 376 hydraulic fracturing jobs were performed during the year under review which resulted in the average daily production rate increase in the amount of 5.1 tons per well. For the first time in its history the Company managed to drill horizontal wells in the Devonian target horizons "D0" and "D1A."

261 wells were equipped with dual completion and production systems for simultaneous operation of two or more layers with a total number of such systems installed in 1,177 wells. The additional oil production from the start of the system operation amounted to 4.1 million tons.

The number of chain drives in wells increased by 11% up to 1,532 units. The wells' mean time between failures period reached 1,199 days.

Implementation of the resource saving program was continued and the performed activities resulted in reducing the specific energy consumption for 1 ton of crude oil production by 0.9% compared to 2011.

Net revenues (excluding VAT and export duties) increased by 8.2% compared to the last year level to the amount of 344.6 billion rubles. 87 billion rubles of profit before tax were received based on the results of the financial and economic activities. The net profit for 2012 amounted to 66.7 billion rubles increasing by 21.7% compared to the previous year results.

The total amount of taxes and payments to all levels of the budget amounted to 312 billion rubles.

63.6 billion rubles including 30 billion rubles for crude oil production were directed for the investment program execution in all the industrial activities of TATNEFT group of companies.

The Board of Directors discussed the progress in the implementation of new technologies for development and operation of JSC TATNEFT's fields. The total amount of crude oil produced through execution of geological and technical jobs in the past year amounted to 53%.

Positive results were demonstrated by the petrochemical complex of the Company. The share of tires produced by Tatarstan in the total tires production volume of domestic factories and foreign manufacturers, localized in Russia, amounted to 31% versus 26% in 2011.

The information was presented to the meeting about dividends on the shares of TATNEFT and the annual general meeting of the Company's shareholders. A number of other issues of the Company's activities were also considered.