Post Show Report Neftegaz 2021

20 / 05 / 2021

The best Russian oil and gas exhibition, Neftegaz 2021, was a success. This year it celebrated its 20th anniversary.  

Neftegaz 2021 was a long-awaited offline networking event for leading manufacturers and suppliers of oil and gas and oil refining equipment.

Dates: 2629 April 2021

Venue: EXPOCENTRE Fairgrounds

Organised by EXPOCENTRE AO, Messe Duesseldorf GmbH (Germany)

Supported by the Russian Ministry of Energy, the Russian Ministry of Industry and Trade, and several industry associations   

Under auspices of the Russian Chamber of Commerce and Industry

Exhibition area: 15,000+ net sq m

Exhibitors: 449 companies (including 357 Russian companies)  

Foreign exhibitors: Siemens, Schneider Electric, Enotec GmbH, Phoenix Contact, H. BUTTING GmbH & Co. KG, Hydac International OOO, KAMAT GmbH & Co. KG, Klöpper-Therm Vertriebs GmbH, Leistritz Pumpen GmbH, Medenus Gas-Druckregeltechnik GmbH, Pleuger Industries GmbH, Rhyton Solutions GmbH, Samson Controls OOO, Sorb XT, VEGA Grieshaber KG, Walther-Präzision, Sumitomo Corporation, Enerpac B.V., Draeger, etc. (Many foreign compabies were represented by their Russian partners and representatives)

Russian exhibitors: Gazprom, Burintekh, Transneft, TMK, Velan, Goreltex, the Aluminium Association, SibBurMash, NTA-Prom, Tekknow, Emicon, Siberian Industrial Group, Krus-Zapad, United Metallurgical Company, GEA Refrigeration Rus, Zavodoukovsky Engineering Works, NKMZ-Group, B&R Industrial Automation, Total Vostok, OKB Zenith, Nefteservispribor, Tyazhpressmash, CMD, Electroshield Samara, CHETA, Cheboksary Electrical Apparatus Plant, Technodinamika, United Engine Corporation, VSMPO-AVISMA Corporation, Caspian Pipeline Consortium, Tagras Holding, Kolomensky Zavod, Prosoft Systems, Sintek, Fidmash, Volgogradneftemash, etc. 

Countries: 23

Country pavilions: Germany, the Czech Republic

Attendance: 21,000 registered visits

Sponsors: 19

Products on display

  • Oil and gas exploration
  • Oil and gas field development
  • Equipment and technology for offshore oil exploration
  • Hydrocarbon gathering, storage and transportation
  • LNG: production, transportation, distribution and use, investments
  • Specialised vehicles for oil products transportation
  • Oil and gas processing, petrochemistry
  • Oil, gas, and oil products delivery and sale
  • Equipment for oil tank farms, gas terminals, filling stations, automatic gas fillers
  • Maintenance services, equipment and technology
  • Automated control systems and instrumentation
  • IT for the oil and gas industry
  • Electrical equipment for the fuel and energy sector
  • Safety at fuel and energy facilities
  • Labour protection, safety systems and fire safety equipment

The opening ceremony of Neftegaz 2021 was attended by Russian Deputy Minister of Industry and Trade Mikhail Ivanov, President of the Russian Chamber of Commerce and Industry and Chair of the EXPOCENTRE Board of Directors Sergey Katyrin, Assistant to the Russian Presidential Administration Chief of Staff Kirill Molodtsov, Deputy Head of the Federal Mineral Development Agency Orest Kasparov, President of the Russian Union of Oil and Gas Producers Genady Shmal, President of the Russian Chemists Union Viktor Ivanov, General Manager of Messe Duesseldorf Moscow OOO Thomas Stenzel, and Director General at EXPOCENTRE AO Alexey Vyalkin. All honorary guests noted the importance of the event in showcasing innovative solutions and emphasised their interest in discussing the best ways to address oil and gas industry priorities and fruitful cooperation. The speakers drew attention to the impressive list of participants in Neftegaz 2021 from more than 20 countries, which shows the importance of the oil and gas engineering industry to a wide range of professionals.

Sergey Katyrin, President of the Russian Chamber of Commerce and Industry

The fuel and energy sector is a backbone of the Russian economy, while the Neftegaz exhibition is a major technical show demonstrating the capabilities of Russian companies and their foreign partners.

Mikhail Ivanov, Russian Deputy Minister of Industry and Trade

EXPOCENTRE organises the exhibition on the top level, in strict compliance with epidemiological requirements. Neftegaz and the National Oil and Gas Forum offer a rich conference programme. Many issues on their agenda are highly relevant. They include, for instance, energy transition, a transborder carbon tax, technological development, and transformation of the fuel and energy sector. The Ministry of Industry and Trade is planning to be an active participant in the upcoming discussions.

Alexey Vyalkin, Director General of EXPOCENTRE AO

Our event provides an opportunity not only to showcase the best achievements in oil refining, innovative products and technologies, but also to find partners and conclude commercial agreements. 

Key companies and regular exhibitors were awarded certificates of acknowledgement for their fruitful cooperation and active participation in Neftegaz from EXPOCENTRE AO. These companies were Burintekh, Volgogradneftemash, Gazprom, Zenith, NKMZ-Group, Siberian Industrial Group, United Engine Corporation, United Metallurgical Company, Transneft, TMK, and Emicon.

EXPOCENTRE AO expressed special gratitude to all sponsors and partners of Neftegaz 2021 for their support: sponsor of the electronic registration NTA-Prom, exhibition partners Phoenix Contact Rus, Sintek, Cheboksary Electric Apparatus Plant, TagraS-Holding, CHETA, Draeger, thematic partners UTair Helicopter Services, TREM Engineering, partners of supporting events Prosoft-Systems, NPO-MIR, Siemens Energy, Energomash, Tekknow, Electroshield-Samara, Goya Consulting, partner of video broadcasting LafargeHolcim, innovation partner Schneider Electric, and partner of the presentation area SSTenergomontazh.  

Feedback from the exhibitors and visitors confirms that Neftegaz is a unique event for the Russian oil and gas industry. They got the most out of their participation in the exhibition: demonstrated new cutting-edge equipment, met with old partners and gained new ones, had productive talks, and concluded lucrative contracts. Face-to-face networking was especially valuable. Many participants expressed a desire to come back next year.

Irina Korneva, Head of the Exhibition Activities Department at UEC

Our company is a regular exhibitor at this show. This year we have tried to make our stand as full as possible. The exhibition has attracted a considerable number of visitors. The exhibition is vibrant and attracts visitors with its unconventional approach. There are a lot of interesting stands. And our stand is one of them.

Svetlana Korolyova, Head of the Image Event Department at Transneft

Transneft is a regular exhibitor at Neftegaz. For the first time this year, our stand features new 3D technologies. With their help we demonstrate, among other things, pumping equipment. This year there is a large number of visitors to the exhibition. I would like to make a special mention of the excellent event management. We plan to take part in Neftegaz in the future.

Daniil Tarasov, Deputy Development Director at Nefteservispribor

Neftegaz is a meeting place for key players in the oil and gas industry. This is the tenth year that our company has participated in it. We present our products, and we are very happy that this year's exhibition has taken place. For us, as a manufacturer from a Russian region, it is an opportunity to meet our colleagues and consumers of our products, show our new products, and generate business leads. Every year, we try to bring something new to Neftegaz: new developments and modifications. The exhibition gives consumers of our products an opportunity to ask all their questions and get advice from our leading experts. 

Mikhail Martynov, Vice President on Business Development at Electroshield Samara

This is not the first time that Electroshield Samara has participated in Neftegaz. This exhibition is very important for us as it is one of the few events in the current Covid-19 times when you can really meet customers and show them new products. And of course, the opportunity for such face-to-face networking is particularly valuable. This year, the exhibition celebrates its anniversary. We wish the visitors and exhibitors to make the most of it. 

Event Programme 

The Neftegaz 2021 conference programme offered presentations of exhibitors brought together in thematic sessions. They were held in a special business presentation area.

The programme was opened by the Session on Power and Control Conductors for Oil and Gas Production, organised by EXPOCENTRE AO jointly with the Electrocable International Association and the Russian Aluminum Association. The event included eight presentations and a workshop of the Russian Aluminum Association devoted to aluminum solutions for the oil and gas industry.

Well-known experts shared their experience and innovative developments: General Director of Elkat (Moskabelmet Group), President and Board Chairman of the Electrocable International Association Maxim Tretyakov, General Director of MKM (Moskabelmet Group), Head of the Energy Sector of the Russian Aluminum Association Pavel Moryakov, and Head of the RusCable Media Holding Alexander Gusev.

The participants addressed a wide range of issues ranging from innovative cable technologies in the oil and gas industry, new information transfer technologies and digital transformation of fields to cost and tax reduction in oil and gas construction projects and aluminum solutions for the oil and gas industry. Reports were made by representatives of Stabcab, Cable Alliance Holding, Tomskabel, CRES Group, PromKhimTekh, SSTenergomontazh, Roxtec RU, and the Aluminum Association.

The Session on Current Development Trends in the Oil Extraction Industry was organised by EXPOCENTRE AO with support of the Moscow Institute of Oil and Gas Business. Total Vostok, NTA-Prom, Leobersdorfer Maschinenfabrik, KROHNE Engineering, Tekknow, LafargeHolcim Russia, Volgogradneftemash, Spraying Systems, Oil & Gas Systems, CRES Group, TK MASH, the Anselm National Centre for the Promotion of Carbon Neutrality, HQTS China, BL Group, UEC Engineering, the Chimvest Scientific and Technical Centre, Ire-Polus, and Atop Technologies demonstrated their high-tech products for the oil and gas industry. 

The session included 18 presentations and the Conference on the Current Development Trends in the Oil and Gas Business: Innovative Strategies, Digital Transformation, Increasing Operational Efficiency of Oil Companies. Speaking about innovative development of the global oil and gas industry, Rector of the Moscow Institute of Oil and Gas Business Rustem Shagiev stressed that over the past decade there had been business technological revolutions. The conference participants discussed in detail setting up of innovative teams in the oil and gas industry, exchanged views on how companies should move forward in the current conditions, and how young industry professionals should build their careers.

The Conference on the Cooperation of Science, Education and Business in the Field of Oil and Gas was organised by EXPOCENTRE AO with support of the Gubkin Russian State University of Oil and Gas and the Association Russian National Committee of the World Petroleum Council. The participants discussed current trends in training of highly qualified specialists for the fuel and energy sector, the relationship between the oil and gas industry and global economic and political processes, the energy transition, digitalisation in the fuel and energy sector, and the gender balance in the science, education and production spheres. The experts presented the best global practices of interaction between scientific and educational institutions and oil and gas companies. World Petroleum Council President Thor Fjaeran spoke at the conference via video link. According to Vlada Streletskaya, Director of Association Russian National Committee of the World Petroleum Council and Assistant Rector for International Affairs at the Gubkin Russian State University of Oil and Gas, the support and involvement of talented young people in the oil and gas industry is the most important task.

The Faculty of Geology of the Lomonosov Moscow State University and EXPOCENTRE AO arranged a special Youth Section for students of energy and oil and gas-related professions to help them fulfil themselves after graduation and join the professional community. The participants discussed the current challenges of field development in the post-Covid era, how artificial intelligence was used in exploration, the threats and opportunities for the oil and gas business in the energy transition, and other topics. Antonina Stupakova, Director of the Institute of Advanced Oil and Gas Research at the Lomonosov Moscow State University and Professor at the Department of Geology and Geochemistry of Combustible Minerals at the Lomonosov Moscow State University noted that Neftegaz was a unique platform for networking, where science and business presented the results of their work and defined the development strategy for the industry, while fundamental science, business and human resources helped find solutions to the new industry challenges, especially in a rapidly developing digital environment.

One of the world leaders in providing innovative solutions to improve efficiency and reduce the carbon footprint of businesses and the exhibitions innovative partner Schneider Electric held the Innovation Summit Moscow 2021. The company experts gave examples of digital and environmentally friendly solutions and technologies being implemented at various sites in Russia and around the world that were accelerating the arrival of a new era: automated, connected, smart, digitalized, and cyclical.

The event brought together innovation leaders, world-renowned experts, customers and investors. According to Johan Vanderplaetse, President of Schneider Electric Russia and CIS, the summit became a platform for business communication, networking and popularization of innovations.

Another major global company, Siemens Energy, together with EXPOCENTRE AO, held an event called The Future of Oil and Gas to discuss the changes in the oil and gas market and the key global trends shaping the future of the industry. The company's experts pointed out that the transformation of the global energy market was happening so fast that it was no longer enough to be flexible and adapt to the inevitable changes in the energy landscape. The speakers also touched upon such interesting topics as digital solutions for production optimisation, cloud technologies, solutions for the Arctic climate and much more. Representatives of Tekknow, a well-known Russian manufacturer and supplier of equipment for measuring, control and diagnostics and the exhibitions partner of supporting events, shared their experience and the latest developments for the oil and gas, chemical, metallurgy, glass, energy and other industries.   

On April 28, the Chimvest Scientific and Technical Centre held a strategic session on Lean Manufacturing in the Oil, Gas, Petrochemical and Chemical Industries. During this interactive event, specialists from industry enterprises, design companies and representatives of Russias leading universities, united in working groups to share their experience in integrating lean production and production optimisation at oil and gas enterprises. Those involved in the process of introducing lean production had an opportunity for mutual exchange of views, developing a common understanding of the issues in this area today and highlighting the main trends. The session was moderated by Head of the Center for the Development of the Production System of the Chemical Complex and Deputy Director of the Chimvest Scientific and Technical Centre  Igor Lyashkov.

One of the main events of the Neftegaz 2021 conference programme was the National Oil and Gas Forum on April 2728.  

The forum traditionally focused on the current problems of the oil and gas industry, the main challenges and current effective solutions. The strategic session of the first day was devoted to analysis and forecasts of energy markets. The panel participants discussed the transformation of the oil and gas industry associated with the energy transition and new technology trends.

Head of Rystad Energy Yarand Rystad had a special report on the current state of energy markets and new technology trends.

Deputy Russian Minister of Energy Pavel Sorokin noted that Russia was among the leaders of the climate agenda. According to him, this country has one of the cleanest gas-based energy mixes of any industrialised country. In the next 15-20 years Russia plans to achieve almost complete utilization of associated petroleum gas at oil and gas fields. Another important component of the climate agenda is hydrogen energy, and Russia is working to develop it. "We have selected pilot areas, and we are going to announce them in the near future, said Mr. Sorokin.

Vice President for Strategic Development of Lukoil Leonid Fedun focused on the environmental agenda which was very relevant for todays oil and gas industry.

David Campbell, President of BP Russia, focused on the energy balance and the development of new technologies. Country Chair Russia Shell Cederic Cremers shared his views on the prospects for the liquefied natural gas market in the current market environment and in the future energy transition. First Vice-President at Gazprombank Raman Panov spoke about the role of the financial sector in the energy transition to a low-carbon economy. He emphasised that global investment in renewable energy had increased 30-fold since 1998 to more than 280 billion USD.

EY partner and Head of Services for the Fuel and Energy Sector, Central, Eastern, South-Eastern Europe and Central Asia Aleksey Loza and Vice-President for Strategic Business Development of Schneider Electric in Russia and the CIS Armen Badalov also took part in the discussion.  

The first day of the forum also included a special session on taxation in the oil and gas industry. State Secretary Russian Deputy Minister of Finance Alexey Sazanov stated that there were no plans to take drastic steps to fine-tune the tax regime in the oil and gas sector in 2021. Russian Deputy Minister of Energy Pavel Sorokin noted that in the increasingly competitive global market the cost of producing energy resources would play an increasingly important role. Grigory Vygon, Managing Director of Vygon Consulting, stressed that the downside of changes in the industry's taxation system was a weak link to the results of the 2019 field inventory, which showed that only 65% of Russia's recoverable oil was profitable to develop. At the same time, the undoubted advantage of the fiscal reform was the replacement of numerous exemptions with a single tax regime.

Deputy Director General at Tatneft Azat Yagafarov noted that the reduction in the company's investments in production between 2021 and 2030 due to tax changes was estimated at 225 billion roubles. The speaker expressed fears that foreign oil and gas projects might become more efficient than Russian ones in this regard.

President at the Union of Oil and Gas Producers of Russia Genady Shmal drew attention to the high tax burden in the industry and criticised the abolition of severance tax exemptions for high-viscosity oil production. Mr. Shmal proposed a five-year moratorium on changes in tax legislation and more active development of testing sites for oil production technologies.

The first day of the forum saw a number of other sessions. Their participants discussed the development of promising technologies and international cooperation in the field of hydrogen energy, decarbonisation of the fuel and energy sector, carbon management, and new ESG projects, in particular the development of green technologies and investment in green engineering. In addition, representatives of the oil and gas community paid attention to the production of hard-to-recover energy resources, digitalization, and implementation of artificial intelligence.

The Foresight Session on the Hydrogen Strategy: Developing Promising Technologies, International Cooperation and Economic Growth Points for Russia was organised jointly with the Russian Ministry of Energy. It was moderated by Deputy Chairman of the Committee on Energy Policy and Energy Efficiency of the Russian Union of Industrialists and Entrepreneurs Yury Stankevich and KPMG partner Elena Lazko. The session was opened by CEO at DENA (the German Energy Agency) Andreas Kuhlmann, who reported on the role of hydrogen in energy development and the future transformation of the industry. General Director of the Russian Energy Agency (REA) at the Russian Ministry of Energy Alexey Kulapin said that global demand for hydrogen could reach up to 700 million tonnes by 2050. "According to REA experts at the Russian Ministry of Energy, the potential volume of hydrogen exports from Russia to the global market could be as much as 0.2 million tonnes in 2025 to 7 million tonnes in 2035 and 34 million tonnes by 2050," said Mr. Kulapin.

Director of Consulting in the Fuel and Energy Complex State Regulation Field at VYGON Consulting Daria Kozlova moderated the Panel on Hard-to-Recover Energy Reserves: Resource Base and Monetisation of Reserves. Opening the panel, she noted that the low-carbon agenda was certainly relevant, but oil and gas would remain the main sources of energy in the global fuel and energy mix for at least the next 10 years. "It is no secret that the quality of the Russian resource base is deteriorating. As a result, the reserves, which to some extent can be classified as hard-to-recover, are already about 60% of the total. This poses technological and economic challenges to the government and the industry to accelerate their monetisation," said the expert.

One more key event of the second day of the forum was the Plenary Session on Technological Development and Transformation of the Fuel and Energy Sector: New Growth Points, International Cooperation and Innovation Transfer. It was moderated by President of the Russian Chamber of Commerce and Industry Sergey Katyrin, who noted that ensuring a reliable and stable supply of electricity and fuel was one of the most pressing and complex challenges facing the international community. "The shrinking of traditional energy sources makes a prudent use of energy resources and balancing the interests of different states really necessary, said Mr. Katyrin.  

The development of the industry and the prospects for its transformation were highlighted in a presentation by Yury Shafranik, Chairman of the Council of the Union of Oil and Gas Producers of Russia. The speaker stressed that in the current economic conditions it was extremely important to maintain the volume of investment programmes of Russian oil and gas companies for further development of technologies and implementation of new projects. In addition, he proposed that the level of use of Russian technologies in oil and gas projects should be set at 70% by law. Member of the Board of Directors at INK-Capital Sergey Donskoy drew attention to the need to develop technological test sites, and intensify production of associated minerals in the development of oil and gas fields. According to the expert, when developing a strategy for the Russian fuel and energy sector, the energy trends of not only Europe but also China and India must be taken into account. "We have to build the strategy of the fuel and energy sector development in such a way that we can react quickly to changes in the market environment," concluded Mr. Donskoy.

Michael Collins, CEO of Salym Petroleum Development, spoke about technology trends used by joint ventures of Gazprom Neft and Shell. Ernesto Ferlenghi, Chairman of the AEB Energy Committee and Steering Group on the AEB Green Initiative, devoted his report to the most relevant trends in international cooperation in the fuel and energy sector.

The next event was the Session on a New Wave of Russian LNG Projects. It focused both on general trends in the LNG market in light of the development of major Russian LNG projects and on low-tonnage LNG production and development of gas liquefaction technologies.

The programme also included a technology conference on import substitution and Russia's technology strategy and a panel on challenges in oil and gas refining. Later on, discussions were held on industry standards and technological development of the fuel and energy sectors, robotics, digital transformation of the industry, and implementation of digital projects.

The Panel on Industry Standards and Technological Development of the Fuel and Energy Sector: Next Steps for Machine Builders and International Cooperation was organised with participation of the the National Technology Initiative Institute and the Russian Ministry of Energy.

The Panel on Oilfield Services and Engineering: Development Strategy, Technology Hubs, Research Centers and Test Sites concluded the programme. It was moderated by Vice-President of the Russian Chamber of Commerce and Industry Dmitry Kurochkin and  President of the Russian Union of Oil and Gas Producers Genady Shmal. Deputy Department Head at the Russian Ministry of Industry and Trade Aleksey Dubinin spoke about the trends and development prospects of mechanical engineering in the Russian fuel and energy sector.

The forum was also attended by representatives of relevant ministries, agencies and industry associations, heads of oil and gas and related companies, representatives of leading media and the expert community.

The combination of online and offline events at Neftegaz 2021 was a success.

The next editions of the Neftegaz International Exhibition and the National Oil and Gas Forum will run at EXPOCENTRE Fairgrounds, Moscow, Russia, on 1821 April 2022.

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Press Service, EXPOCENTRE AO