Introduction of EOR is an Important Factor in Increasing Production of Recoverable Reserves

Application of differentiated tax on minerals extraction (introduced in Russia from January 1, 2007) at Romashkinskoye oil field made it possible for OAO TATNEFT to direct saved funds to improve development efficiency and extension of the field's profitable operation period.

Due to introduction of these measures the production volume at the field stopped decreasing and stabilized, and application of various physical and chemical methods of enhanced oil recovery (EOR) during the past period resulted in additional production of about 5 million tons of crude oil.

Calculations show that the increase in oil recovery factor only by 1% of Devonian deposits in Romashkinskoye field allows increasing the growth of oil reserves by 42 million tons.

According to OAO TATNEFT's estimates the State encouragement of EOR introduction will make it possible to increase carbonate reservoirs recoverable reserves at the old fields under development by 150 million tons due to only increasing the oil recovery factor.