01.11.2006, 01:19
Lukoil Board of Directors Approves the Basic Indicators of the Medium-Term Plan of Lukoil Group for 2007-2008
OREANDA-NEWS. A meeting of LUKOIL Board of Directors was held in Moscow to consider a number of issues, related to the Company’s further activity development. In particular, the Board of Directors approved the basic indicators of the Budget, the LUKOIL Group Medium-Term Plan for 2007-2008.
The main aim of the Medium-Term Plan is to secure further development of the LUKOIL Group in accordance with the Main Principles of the Intensive Growth Strategy for 2007-2016.
Main indicators of the Medium-Term Plan for 2007-2008 conform fully to the Intensive Growth Strategy for 2007-2016, recently presented by Vagit Alekperov, LUKOIL President, in New York:
- average annual rate of hydrocarbon production increment for 2007-2008 - 8,2% (against 6,7% strategically planned);
- the LUKOIL Group returns on capital employed - 19,3% in 2007 and 17% in 2008 (against 15-17% strategically planned);
- increase in crude oil refining at the Company’s refineries by 12% during the period of two years;
- production increment of new sorts of Euro-3 and Euro-4 diesel fuel by 10-11% at Russian refineries.
The company plans to invest $8,250 million and $8,600 million of capital expenditures in 2007 and 2008 accordingly to secure intensive development of the LUKOIL Group.
The main aim of the Medium-Term Plan is to secure further development of the LUKOIL Group in accordance with the Main Principles of the Intensive Growth Strategy for 2007-2016.
Main indicators of the Medium-Term Plan for 2007-2008 conform fully to the Intensive Growth Strategy for 2007-2016, recently presented by Vagit Alekperov, LUKOIL President, in New York:
- average annual rate of hydrocarbon production increment for 2007-2008 - 8,2% (against 6,7% strategically planned);
- the LUKOIL Group returns on capital employed - 19,3% in 2007 and 17% in 2008 (against 15-17% strategically planned);
- increase in crude oil refining at the Company’s refineries by 12% during the period of two years;
- production increment of new sorts of Euro-3 and Euro-4 diesel fuel by 10-11% at Russian refineries.
The company plans to invest $8,250 million and $8,600 million of capital expenditures in 2007 and 2008 accordingly to secure intensive development of the LUKOIL Group.
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