Supporting indigenous minorities of the North

The first three organisations that joined LUKOIL in 1991 operated in the Khanty-Mansi Autonomous Area — Yugra, home to the indigenous peoples of Siberia — the Khanty and Mansi. That is why relations with the Indigenous Minorities of the North (IMN) have been a focus of development since the Company started its operations. In the 2000s, LUKOIL’s areas of operation were expanded to include new northern regions (the Nenets Autonomous Area and the Yamal-Nenets Autonomous Area).

We share the principles enshrined in the UN Declaration on the Rights of Indigenous Peoples, the UN Global Compact, and the Resolution of the World Conference on Indigenous Peoples, and are committed to ensuring a harmonious balance between the economic activities of LUKOIL Group entities in the territories of indigenous minorities of the North and the latter’s interests in preserving their traditional lifestyle and economic activity.

The Company has a history of signing economic agreements with the heads of traditional resource use areas in the Khanty-Mansi Autonomous Area — Yugra and agreements on the social and economic development of deer farms in the Yamal-Nenets Autonomous Area. Compensation includes cash payments, goods, transportation, and services.

For almost 20 years, we have been implementing the Red Chum project to preserve the health of nomadic indigenous people of the Arctic in the Nenets Autonomous Area. In 2020, due to the pandemic, health check-ups for reindeer herders and their families by mobile medical teams had to be cancelled. However, LUKOIL still donated funds to purchase an ECG unit for use in the future once the quarantine is over.

The Company has established and successfully operates mechanisms that allow indigenous minorities of the North and their organizations to contact the Company and request assistance or protection of their rights.

In 2020, the Group’s entities operating in Khanty-Mansi Autonomous Area-Yugra and NAO received no requests from the IMN regarding COVID-19 or assistance to prevent the spread of infection. At the same time, personal protective gear and medical equipment were sent to the administrations of both areas to provide on-site treatment.

There were no cases of involuntary resettlement of indigenous people during the LUKOIL Group’s operations in the traditional settlement areas and/or areas of economic activities of the indigenous minorities of the North in the reporting year. Also, no inquiries were received regarding violations of the rights of indigenous people of the North.

Dmitry Artyukhov Governor of the Yamal-Nenets Autonomous Area
We see Company’s careful and professional attitude towards our region. The document we have signed today — the agreement on collaboration — continues good traditions that have been established between LUKOIL Company and Yamal, founded on mutual benefit and positive ground. It considers key issues of Yamal people. Special thanks for assistance in the development of children’s sports and children’s medicine; by providing financial support for many social projects we are capable of solving the hardest challenges.”
Supporting indigenous minorities of the North in Russia as part of licensing obligations, RUB million