Strategic goals of LUKOIL Group regarding sustainable development

In 2017, the Board of Directors of PJSC LUKOIL determined four strategic goals of LUKOIL Group in the field of sustainable development, which can be related to 11 UN Sustainable Development Goals and 15 targets.
Industrial and environmental safety, reliability, and efficiency of processes
Competitiveness
Social responsibility, a worthy contribution to social development
Return on equity, return on investment, and continuous creation of shareholder value
We are committed to improving industrial safety, reducing on-the-job injury rates, ensuring accident-free operations at our production facilities, and continuously reducing our environmental impacts. We are focused on boosting our overall operational performance and achieving more rational use of resources (natural, human, production, and financial). We are very responsive to the requirements of our many stakeholders and always take their needs into account. We pursue a responsible social policy towards our employees and make a significant contribution to improving living standards in the regions where we operate. We follow a flexible reinvestment policy, work constantly to improve our performance, and foster technological development. Thanks to the successful implementation of our strategy, we maintain our competitive advantages, create shareholder value, and boost the Company’s investment appeal.
SDGs


KPIs
97.8%Indicator-related dynamics are assessed in relation to 2019, unless otherwise stated. Comparison with indicators for a longer period is caused by the specifics of indicators.
efficiency of APG usage throughout LUKOIL Group
0.28
lost time injury frequency rate (LTIFR)
92.7%The indicator relates to the processing of raw materials by LUKOIL Group entities at its own refineries (excluding mini-refineries).
Refinery yield
95.1%The value is calculated against the 2014 base year. The decrease in the indicator relative to the base year reflects increased energy efficiency.
Energy intensity index EII (Solomon)
280 kWh/t
electricity intensity of refining one tonne of basic raw material at entities of the “Petrochemicals” business sector
RUB 56 million / person
Specific revenue (labor productivity)
RUB 281 billion
Free cash flow
Contribution to National Projects of the Russian Federation
Ecology Digital Economy of the Russian Federation
  • Labor Productivity and Employment Support
  • Education
  • Healthcare
  • Culture
Sustainable development management system indicators
0.15
lost time injury frequency rate (LTIFR)
7%
cut of air pollutant emissions in Russian entities
55%
reduction in flaring GHG emissions across LUKOIL Group compared to 2016
6% per year
average share of electric power generated from renewable sources
90%
of LUKOIL Group employees covered by collective agreements
584 thousand person-courses
of training reached across LUKOIL Group
RUB >8 billion
external social support contributions in LUKOIL Group
RUB 5,639 billion
revenue of LUKOIL Group
RUB 407 billion
paid in dividends shares
Plans
  • Further increase in the APG use
  • Further implementation of industrial and environmental safety programs
  • Improvement and expansion of our working relationship with Сontractors in the area of occupational health and safety
  • Development of the Decarbonization Program
  • Further implementation of the energy conservation program and of renewable energy projects
  • Further improvement of the efficiency of processing raw materials and the modernization of the product mix
  • Implementation of programs related to boosting operational efficiency, digitalization and investments
  • Creation of a pool of key management personnel
  • Further implement social and economic development programs in the Russian regions
  • Implementation of programs to improve operational efficiency, digitalization, and investment programs Improvement of corporate governance

GRI / IPIECA / UNCTAD / SASB / RSPP

GRI / IPIECA / UNCTAD / SASB / RSPP

GRI / IPIECA / UNCTAD / SASB / RSPP

GRI / UNCTAD