Rosneft refused to build refineries in Chechnya

Rosneft “considered it unprofitable” the construction of an oil refinery in Grozny, and the Ministry of Energy supported the company's position. This follows from a letter to the Government of the Deputy Minister of Energy Kirill Molodtsov, whom RBC got acquainted .

The document reports that, according to Rosneft’s calculations, the cash flow of the Grozny refinery in the period from 2010 to 2022 will be negative and will be “minus 26.3 billion rubles” due to a decrease in oil refining and increasing the release of light oil products.

According to Rosneft, it is possible to achieve a breakdown of the project in the case of financing the construction of infrastructure facilities at the expense of regional (5.6 billion rubles) and federal (38.7 billion rubles) budgets. Nevertheless, as the interlocutor of RBC in the Ministry of Energy stated, “it will be unrealistic” receive investments of this size for the construction of the refinery.

As an alternative, according to the document, the company considers the option of building a bitumen factory, but its profitability, according to the head of the Infotek-Consult Tamara Kandelaki, is also in question.

RBC notes that earlier the government entrusted Rosneft for the construction of the Grozny refinery, and 725 million rubles have already been spent on the development of the project.

As it became known in February, the company plans to sell its assets in the republic. In July 2015, Rosneft also abandoned the license to develop the North Dzhalkinsky site in Chechnya.