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NIS COMPANY PROFILE - НИС · NIS COMPANY PROFILE • 3 ABOUT NIS NIS Company performs oil and...

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Page 1: NIS COMPANY PROFILE - НИС · NIS COMPANY PROFILE • 3 ABOUT NIS NIS Company performs oil and gas exploration, production, and refining, sales and distribution of petroleum

NIS COMPANY PROFILE • 1

Page 2: NIS COMPANY PROFILE - НИС · NIS COMPANY PROFILE • 3 ABOUT NIS NIS Company performs oil and gas exploration, production, and refining, sales and distribution of petroleum
Page 3: NIS COMPANY PROFILE - НИС · NIS COMPANY PROFILE • 3 ABOUT NIS NIS Company performs oil and gas exploration, production, and refining, sales and distribution of petroleum

COMPANY PROFILE

Page 4: NIS COMPANY PROFILE - НИС · NIS COMPANY PROFILE • 3 ABOUT NIS NIS Company performs oil and gas exploration, production, and refining, sales and distribution of petroleum

2 • NIS COMPANY PROFILE

NIS is the greatest profit-making commercial entity in Serbia satisfying

75% of total market demand for petroleum products and contributing approximately

12% to the Republic budget in average

NIS is one of the largest

vertically integrated energy companies in

the South-East

Europe

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NIS COMPANY PROFILE • 3

ABOUT NIS

NIS Company performs oil and gas exploration, production, and refining, sales and distribution of petroleum products, and implementation of petrochemical and energy projects.

In Serbia, NIS owns a refining compound, with two units, one in Pancevo and the other in Novi Sad, an LPG production unit, as well as a network of petrol stations in Serbia and the neighboring countries.

In 2011, the Company started its regional expansion in two business directions:

oil and gas exploration (in Bosnia and Herzegovina, Hungary, and Romania)

development of the retail network (in Bosnia and Herzegovina, Romania, and Bulgaria)

In 2012, NIS began expanding its operations in the fields of electricity generation, wind generation, and geothermal energy.

Gazprom Neft owns 56.15% of the NIS’ share capital, whereas 29.87% of shares is owned by the Republic of Serbia. The remaining shares are owned by the citizens, employees, former employees, and other minority shareholders. The Company had around 2,4 million shareholders at the end of March 2013.

The main strategic goal of NIS by 2020 is to become the most efficient, fast-growing energy company in the Balkans, while maintaining the leading position on the Serbian market.

around shareholders

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4 • NIS COMPANY PROFILE

VISION

NIS as a renowned leader among energy companies in the Balkans region demonstrating a high level of social and ecological responsibility and providing

its clients with up-to-date services

MISSIONBy responsibly using natural resources and advanced technologies, we provide

people of the Balkans with energy to strive for improvement

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NIS COMPANY PROFILE • 5

Values our employees promote:

EXPERTISE

Gaining up-to-date knowledge with the goal of constant professional

development, and the ability to implement it in an

actual business processes

INITIATIVE AND

RESPONSIBILITY

Finding and suggesting new solutions both in the working

environment, and in the sphere of company

interests

COLLECTIVE RESULTS

Collective effort in achieving a visible and meaningful result,

a desire to succeed and provide each other with

needed assistance

POSITIVISM AND

COOPERATION

Readiness to participate in multifunctional groups and projects, eagerness to meet

demands of colleagues from other units of the company, willingness to exchange information, ability

to work in a team

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6 • NIS COMPANY PROFILE

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NIS COMPANY PROFILE • 7

STRATEGY

The Strategy by 2020 is defined through “Five Fives”:

MILLION tons of crude and gas produced

MILLIONtons refined

MILLIONtons oil product sold

standard of process and result

THOUSAND dinars value of NIS’ shares

EURO

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8 • NIS COMPANY PROFILE

NIS exploits around 600 oil wells.

The most significant oil fields are the following: Velebit,

Kikinda, Mokrin Rusanda, Elemir, Kikinda-varos, and Turija Sever.

Natural gas is produced from around 100 wells. The most significant gas

fields are the following: Medja, Martonos, Itebej, Torda

Plitko, and Milosevo

NIS will continue to

follow the trend of resource base

development in relation to the oil and gas

production

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NIS COMPANY PROFILE • 9

Geological oil and gas explorations in Serbia have been carried out for more than 60 years and, in that period, 2,244 exploratory and development oil and gas wells and 75 hydro-thermal wells have been drilled. 63 oil and gas fields have been identified with 271 reservoirs.

Geological researches have been carried out on the territory of Serbia and in the neighboring countries, in accordance with the adopted Geological Exploration Works Strategy for the period 2011-2020. Pur-suant to this document, an increase in oil and gas production is planned, as well as an increase in energy generating product reserves. In addition, by the end of 2020, around 450 million Euros is planned to be invested into geological exploration works in the territory of Vojvodina and Serbia, south-ward from the rivers Sava and Danube.

Production comprises the processes of pro-duction, gathering, preparation and transpor-tation of oil, natural gas and geothermal wa-ter, preventive and emergency maintenance of the system and associated infrastructure.

Geothermal water production capacities are situated in the following locations: Kanjiza, Ju-nakovic, Becej, Mokrin, Palic, Melenci, Kikin-da, Banatsko Veliko Selo, Kula, and Temerin.

LPG is produced in the Elemir produc-tion unit. The unit of capacity of 63,000 tons of liquid petroleum gas and gas-oline per year has been installed.

Science and Technological Center of NIS-Naf-tagas (STC NIS-Naftagas) is a daughter company 100% owned by NIS j.s.c.

STC NIS-Naftagas provides scientific and technical and innovative support in operations of the Exploration and Production Block and other Blocks of NIS j.s.c., with the aim of production increase, resource/value increase, and risk and operative costs minimization.

In accordance with the mother company’s strategy, the major directions of the STC NIS-Naftagas business activity are the follow-ing: performance of scientific, research and development works (SRDW), designing of

geological exploration, designing and moni-toring of geophysical works, processing and interpretation of geological and geophysical data, geological modeling and assessment of hydrocarbon reserves, design of reservoir development and monitoring projects, provi-sion of design services, laboratory and consul-tancy services, creation and implementation of the production and environmental control and environmental monitoring programs.

The goal is to develop STC NIS-Naftagas into a regional base, in order to meet the demands of NIS, Gazprom Neft, and their daughter companies, as well as to provide services to third parties outside the Company.

BUSINESS ACTIVITIES Exploration and Production

NIS is the only company in Serbia which performs oil and gas exploration and production, as well as geothermal energy production.

The production is performed from 42 oil and gas fields:

oil fields

oil and gas fields

gas fields

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10 • NIS COMPANY PROFILE

Modernization of Pancevo

Oil Refinery is an important environmental investment, given the fact

that the hazardous emission of substances into the

atmosphere, water, and soil is practically

terminated

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NIS COMPANY PROFILE • 11

Pancevo Oil Refinery

NIS has finished the first phase of Pance-vo Oil Refinery modernization, hence enabling the transfer to production of European quality fuel. This will secure the strategic leading position for the Company in the regional market of petro-leum products, while contributing to the energy stability in the Republic of Serbia.

Thus Gazprom Neft company, as a strategic partner, has fulfilled its com-mitment which it assumed based on the International Strategic Cooperation Agreement in the field of Energy, signed between Russia and Serbia in 2008. Pursuant to this Agreement, more than 540 million EUR has been invested in the renewal of the NIS’ refining capacities.

The most competent companies from Serbia, Japan, Czech Republic, Rus-sia, France, Italy and other countries were hired for implementation of the Refinery modernization project.. Up to 2,000 people were engaged in the con-struction of new units and, five million hours have elapsed since January 2010 without an occupational injury at the construction site of new compound.

Novi Sad Oil Refinery

NIS has adopted the strategy of base oil production in Novi Sad Oil Refinery, which represents the second phase of the NIS production capacity moderni-zation program. The basic raw material in the production will be “Velebit” type oil, produced in the immediate vicinity

of Novi Sad Refinery, suitable for pro-duction of naphthenic base oils, due to its chemical composition. The base oil production volume is planned to amount to around 180,000 tons per year.

Project implementation requires more than 100 million USD investments in the equipment and technology by 2015, when the start-up of modernized pro-duction compound is scheduled. The entire production in Novi Sad Refinery will be aligned with the most demanding requirements of the European Union (EU) in the field of environmental safety.

The base design will be developed by Chevron Lummus Global USA (CLG) Company. This company’s engagement is a warranty that cut-ting-edge technological solutions will be employed in the project.

REFINING

The crucial element of modernization program is construction of the mild hydrocracking and hydro processing compound (MHT/DHT) that has enabled NIS’ to make a full transfer to the production of ecologically clean fuel of European quality.

hours since January 2010 have elapsed without an occupational injury

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12 • NIS COMPANY PROFILE

Eur is planned investment for Novi Sad Refinery equipment

Following the modernization and revi-talization, it is planned that Novi Sad Oil Refinery will produce, beside base oils, middle distillates for the needs of Pance-vo Oil Refinery, heavy fuel oil, bitumen, Euro Diesel, and straight run gasoline.

high technology products and a range of logistic advantages will secure for NIS one of the leading positions in the field of lubricants in the South-East Europe.

NIS’ Products

Lubricants

Lubricants are specific segment of NIS’ business operations comprising de-velopment, production and sale of oils and technical fluids for the consumer, commercial, and industrial segment. NISOTEC production program includes a wide range of products whose quality meets the most up-to-date requirements of vehicle and equipment manufacturers. High quality products, latest technolog-ical solutions, technical services, and a modern sales approach have ensured a fast growth and the leading position on the Serbian market as well as penetra-tion in the markets of all the countries in the region. Lubricants business has rounded its products range with Gazprom Neft Lubricants premium products under the commercial name of G-Energy.

Implementation of this project will give and additional momentum to the Serbian industry enable preserving of the existing jobs and opening of new ones, and it will have a positive effect on Serbia’s foreign trade balance. The new

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NIS COMPANY PROFILE • 13

In line with the Company's

development strategy, the annual oil refining volume is expected to

reach five million tons by 2020

NIS refineries produce a wide range

of petroleum products and natural gas products which

comply with international quality standards and refinery manufacturer’s

specifications: engine fuel of Euro 5 standard, aviation fuel, liquid petroleum gas (LPG), oils and lubricants, fuel oil, bitumen,

petrochemical and other products

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14 • NIS COMPANY PROFILE

NIS exports fuel oil, propylene, benzene, toluene,

bitumen, jet fuel, straight run fuel, Diesel D-2, BMB-95

gasoline, and Euro Diesel, into Hungary, Romania, Croatia,

Bulgaria, Montenegro, Macedonia, and

Ukraine

NIS’ goal by 2020 is to have a network

comprising from 800 to 1.000 petrol stations in Serbia

and Europe, notably under two brands: GAZPROM Petrol

Stations, as the premium brand, and NIS Petrol, as

the mass brand

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NIS COMPANY PROFILE • 15

NIS has the largest retail network of pet-rol stations in Serbia (around 350 petrol stations) and it has started expanding this segment in the countries of the Balkans region (Bosnia and Herzegovina, Bul-garia, and Romania). Two million tons of fuel produced in NIS’ refineries in Serbia will be sold on these petrol stations.

Furthermore, the Company has a net-work of petroleum products storages in Serbia and it has a modern vehicle fleet for petroleum products transportation. All fuel types are subject to a strict reg-ular laboratory control and they comply with domestic and international standard requirements. Network operations effi-ciency has been increased due to intro-duction of cutting-edge technologies.

NIS develops these separate lines of busi-nessoperations:

Supplying aircrafts with jet fuel and avia-tion fuel and jet fuel exportation into the

neighboring countries: NIS is the leading supplier of airline companies with jet fuel and aviation fuel in Serbia. Over 92% of aviation fuel sales in Serbia is conducted through NIS. One sales channel is fuel supply for aircrafts in two international airports, in Belgrade and Nis and the second one includes exportation of avi-ation fuel into the neighboring markets, primarily those of Romania and Hungary. Quality of jet fuel produced by NIS meets the criteria of international and domestic standards for this type of aviation fuel. The accredited laboratory within the Aeroser-vice facility performs aviation fuel testing. At “Nikola Tesla” airport in Belgrade, NIS owns a modern facility for storage and distribution of aviation fuel which is, at the same time, the best equipped facility of this type in the region. NIS Aeroservice meets the demanding standards in terms of reliable and efficient supplying, proven by high marks of IATA International As-

sociation that controls all segments of air traffic. In late 2011, NIS acquired three new specialized tanks to supply “Nikola Tesla” Airport. Owing to this investment that is worth one million Euro, NIS has secured long-term regular, timely, and safe sup-ply of aircrafts in the Belgrade airport.

• Supplying of ships with Diesel and Euro Diesel at special stations for vessels (bunker-stations): Bunker stations in Novi Sad and Veliko Gradiste are situated at the Danube River, the most important waterway in Serbia. The facilities equipped with the latest tech-nical and ecological equipment and high-quality fuel, provide foreign and domestic ships with a reliable supply. NIS’ goal is to become a leader on the national bunkering market in several years. In order to achieve the set goals, the Company plans to launch two more bunker stations in 2013, in Smederevo and on the Croatian border, to open special bunker stations for supplying boats and yachts, to acquire a ship that would supply large passenger ships with fuel, including a joint penetration with “Marine Bunker” daughter compa-ny of Gazprom Neft into the market of Romania.

SALES AND DISTRIBUTION

Structure of NIS sales and distribution includes domestic wholesale deliveries of crude oil, gas, petroleum products, array of non-fuel products as well as the retail sale of final petroleum products in the country and abroad

filling stations is planned network in Serbia and Europe by 2015

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16 • NIS COMPANY PROFILE

stations will be opened by the end of 2013 in the Balkans region

GAZPROM station is opened in Belgrade

NIS’ BRANDS

NIS Petrol brand has assumed a trendy visual identity which has retained the characteristics of the old and renowned NIS Petrol brand, comprising two colors, red and white, while the blue inscription symbolizes synergy with Gazprom Neft brand. The regional expansion of this brand started by opening the first eight petrol stations in Bosnia and Herzegovina.

NIS introduces new customer servicing standards and new technologies into operation of NIS Petrol stations, closely inspects fuel quality at our petrol sta-tions, and applies a flexible price policy.

GAZPROM Petrol Stations brand repre-sents a milestone of NIS’ penetration into the regional market with a new premium brand. Network development under the

new brand is planned in the territory of Serbia, Bulgaria, Romania, as well as Bosnia and Herzegovina. The first GAZ-PROM Petrol Stations were opened in Serbia and Bulgaria as early as in 2012, whereas new openings are also planned for Bosnia and Herzegovina and Romania.

By the end of 2013, GAZPROM Petrol Stations network will include around 120 petrol stations operated by NIS on the territory of the Balkans region. Every new and reconstructed petrol station is equipped with modern multiplex fuel dispensers and offers to its customers the petroleum products of European quality, as well as the top service (many of our facilities are open 24 hours a day, have luxury stores with a wide range of products, and are furnished with cafe bars or restaurants with internet access, spacious parking lots, playgrounds, and access paths for disabled persons).

sthours are opened many of NIS Petrol and GAZPROM stations

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NIS COMPANY PROFILE • 17

4 countries

will have GAZPROM retail network (Serbia,

BiH, Bulgaria, Romania)

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18 • NIS COMPANY PROFILE

Oilfield Services have the goal to

strengthen their position in the region and in the

international market, therefore their priority is to provide the best

possible quality of service, increase of technical and technological

efficiency and ensure a growing number of jobs in NIS and

other companies

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NIS COMPANY PROFILE • 19

Oilfield Services owns the full equipment, production units and transportation means required for works execution. The servicing capacities of NIS also provide services to third parties in the field of oil and gas explo-ration and production:

• geophysical testing - seismic, gravi-metric, electromagnetic, and geoelec-trical testing methods

• construction, workover, and equipping of oil, gas, and hydrothermal wells

• execution of special operations and well logging for oil, gas, and water: electric logging and hydrodynamic measurements, cementing, stimulation, and testing

• maintenance and repair of facilities and equipment, construction of pipelines, installation of oil and gas technological systems, preparatory construction works for drilling and well workover.

Oilfield Services have the goal to strengthen their position in the region and in the international market, there-fore their priority is to provide the best possible quality of service, increase of technical and technological efficien-cy and ensure a growing number of jobs in NIS and other companies.

OILFIELD SERVICES

Owing to modern equipment and experienced personnel, the Oilfield Services Block executes works in many foreign countries, including the preparation for works in Hungary and Bosnia which are currently underway.

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20 • NIS COMPANY PROFILE

Investments in Novi Sad Thermal

Power Plant (TETO) are planned to include two new blocks of the capacity of 240

megawatts of electricity, which will result in the total capacity

(with the existing blocks) of 715 megawatts

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NIS COMPANY PROFILE • 21

Transformation of NIS from a national petroleum company into a regional energy holding is incorporated in the Company’s Development Strategy by 2020. In ac-cordance with this Strategy, in year 2011 NIS established a new organizational unit - “Energy” Block, and within the first year, the first steps were taken: “Plandiste” Wind Power Plant will be the first wind farm in Serbia, with an annual electricity generation of 230 GWh. Furthermore, this is the first large energy facility that will be constructed in Serbia after 25 years’ lull.

Investments in Novi Sad Thermal Power Plant (TETO) are planned to include two new blocks of the capacity of 240 mega-watts of electricity, which will result in the

total capacity (with the existing blocks) of 715 megawatts. New investments are also planned for the project of TETO Pancevo construction, which, according to the current project version, has a ca-pacity of 200 megawatts of electricity.

Block comprises: increased utilization of en-ergy in Serbia and natural gas in the region as environmentally friendly fuel; utilization of environmentally friendly renewable energy sources; NIS’ energy efficiency improve-ment; use of modern technologies for ener-gy production, including use of domestic fuel sources with minimal impact on the envi-ronment, as well as optimization of busi-ness activity in electricity and natural gas trade in the liberalized market conditions.

ENERGY

“Plandiste” Wind Power Plant will be the first wind farm in Serbia, with an annual electricity generation of 230 GWh.

megawatts of electricity is planned capacity of TETO Pancevo by 2015

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22 • NIS COMPANY PROFILE

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NIS COMPANY PROFILE • 23

In compliance with the long-term development strategy, in 2010 and 2011, NIS started expanding the Company’s activity beyond Serbia.

Brussels

NIS is the first Serbian company to open its representative office in Brussels. Opening of the Brussels office in 2011 is a part of NIS’ business strategy, in order to gain the lead-ing position in the oil and gas economy of the region and to apply European standards and cutting-edge technologies in the per-formance of its business activities. NIS’ rep-resentatives in Brussels keep themselves up to date with relevant directives and regulations of the European Union and con-tribute to the European debates in the fields of energy, minimization of hazardous gas emission, and environmental protection.

Angola

NIS has been operating in this country since 1980, and oil exploitation start-ed in 1985. From the moment of its establishment by the end of 2010, NIS produced around four million tons of oil from the concession oil fields in Angola. NIS presently operates in two produc-tion blocks in this country, on six wells and in one exploration block, in the consortium with “Sonangol” company.

Bosnia and Herzegovina

In late 2010, NIS and “Neftegazinkor”, a daughter company of the Russian company “Zarubezhneft”, jointly estab-lished “Jadran-Naftagas” – the company for exploration of hydrocarbon in the territory of the Republic of Srpska.

In early 2013, NIS acquired OMV petrol stations in Bosnia and Herzegovina, one of the most prominent networks on the Bosnian market. In 2012, the first petrol stations started operating in the Republic of Srpska. The network of 31 petrol sta-tions shall operate under two NIS’ brands: the premium GAZPROM Petrol Stations and NIS Petrol targeting mass population.

Bulgaria

The Bulgarian market is one of the priority markets in the region for development of NIS’ retail network. The affiliated company “NIS Petrol EOOD” was registered in this country in mid-September 2011. NIS has already acquired eight petrol stations in this country, whereas by the end of 2014, acquisition and construction of 68 petrol stations is planned.

Hungary

One of the leading countries for execution of geological and exploration works in the Pannonian basin.

NIS’ partners in this countries are “Falcon Oil and Gas” (Canada) and RAG (Austria), with which NIS operates in three exploration blocks in the vicinity of the Serbian border.

Commercial production from these wells is scheduled to start in 2014.

COUNTRIES WHERE NIS OPERATES

NIS established representative office in Brussels as a support to Serbia’s EU integrations while affiliated companies are in Bosnia and Herzegovina, Bulgaria, Hungary, Romania and representative offices in Russia, Croatia and Angola.

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Romania

In this country, geologically belonging to the Pannonian basin, NIS has started its geological and exploration activity in six blocks, situated in the highly-yielding region, in the Western part of the coun-try. Commercial production from these wells is scheduled to start in 2014.

In Romania, NIS cooperates with three companies - Canadian “East West Pe-troleum”, Irish “Moesia Oil and Gas” and English “Zeta Petroleum”. Regarding the retail network, acquisition and con-struction of 80 petrol stations is sched-uled to take place by the end of 2014.

Russian Federation

NIS’ representative office in the Rus-sian Federation provides protocolary,

administrative, and logistic support to the NIS company, and facilitates coop-eration with Gazprom Neft company.

Turkmenistan

For more than ten years, NIS’ services have been present in the Turkmenistan market. some projects were implemented in the past decade in which NIS’ drilling, workover and geological monitoring equipment were employed, as well as NIS’ services of oil exploration and production equipment maintenance for other companies. At the moment, NIS’ largest drilling rig “Nacional-1” is hired by “Dragon Oil” company. In addition, seismic testing by other companies operating in Turkmenistan (RWE, Itera) have been finished, hence announcement of new tenders is expected, and the subsequent start of exploration drilling activities.

Exploration and production

Legend

Sales

Refining

Representative offices or branch

Angola

Belgium

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NIS COMPANY PROFILE • 25

Russia

Bosnia & Herzegovina

Serbia

Romania

Bulgaria

Turkmenistan

Croatia

Hungary

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26 • NIS COMPANY PROFILE

NIS supports

numerous projects in the field of culture,

science, sports, education, and humanitarian projects

and projects that have a high priority for the local

communities in which NIS operates

NIS invests in

all business areas: exploration and production,

refining, retail network development. Furthermore, traditional and alternative

energy represent major future investment

trends

The sustainable development represents

one of priority directions of NIS’ activity. The future we build is the future of energy efficiency

with an increased use of renewable sources, future of compliance with

law and human rights, future of optimal use of available

capacities and natural resources

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NIS COMPANY PROFILE • 27

NIS is a modern company, and the na-ture of its prevailing business activities is such that it requires special and con-stant attention that will ensure healthy, secure, and safe environment. For that reason, we develop plain and strict principles and standards, application of new clean technologies and partner relationship with interested parties.

Transparency of our business activ-ities, confidence in partnership, and investment into employee safety, health, and development, responsible relation to environmental protec-tion, investments into society, its

demands and values, all form the backbone of the sustainable de-velopment principle we apply.

CORPORATE MANAGEMENT

For NIS, which strives to achieve its goals and apply the most demanding standards in all business areas, a high level of cor-porate management is very significant in order to ensure protection of shareholders’ interests, successful business operations, maintaining of the market position and con-tributing to the overall social development.

SUSTAINABLE DEVELOPMENT

The vision of NIS’ sustainable development lays in achieving balance and reliability and focuses on the responsibility to future generations.

NIS has adopted the Corporate Management Code of the Company which comprises its own principles of corporate management. The objective of the Code is to introduce approved business customs that should ensure a balanced influence of their carri-ers, consistency of the control system, and strengthening of shareholders’ and inves-tors’ trust in order to provide a long-term business development of the Company.

INVESTMENT

NIS’ dynamic growth would not be possible without investments. Total investments into the development of all business directions since the ar-rival of Gazprom Neft, a new majority owner, into the Company amounted to almost two billion Euro, which makes it the largest investor in recent years in the Balkans. As a result of invest-ment into an accelerated retail network development, refining capacities and environmental projects, in 2012, the Company was awarded the recognition “Investor of the Year”. Future plans are even more ambitious and investments will grow accordingly. The planned investment volume for 2013, 2014, and 2015 amounts to 1.5 billion Eur.

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28 • NIS COMPANY PROFILE

NEW TECHNOLOGIES AND ENVIRONMENTAL PROTECTION Equipment modernization, innovative approach, and application of mod-ern technologies are a prerequisite for advancement, competitiveness, and gaining of regional leadership.

NIS has adopted the Concept of Innova-tive and Science and Technical Activity Development of the Company by 2020, with the following goals: support to the implementation of the Company’s strat-egy, creating competitive advantages as to ensure a stable leading position in the region and building an image of a modern and innovative company which applies the advanced techno-logical solutions in its operations.

The successful implementation of planned projects and the Company development strategy require contin-ual training and advancement of em-ployees, including application of the latest and best quality technologies in the field of petroleum business.

billion Eur is total investment volume for 2013, 2014 and 2015

Key environmental projects of NIS in the previous period:

• Pancevo Oil Refinery modernization, resulting in a decrease of hazardous substances emission into atmos-phere, whereas the process of ob-taining EU standard 2009+ in gasoline and Diesel fuel production with an increased sulphur content have pro-duced a positive impact on the overall environmental image in Serbia.

• Construction of the spent acid regen-eration unit (SARU) has contributed to resolving the issue of storage and safe disposal of hazardous waste, including its transportation.

• Reconstruction of Pancevo wharf has contributed to prevention of air pollution during oil and petroleum products loading and unloading and to elimination of the possibility of groundwater and waterway contam-ination during petroleum products transshipment.

• Reconstruction of the waste water treatment unit has led to an improve-ment of waste water quality and min-

imization of possibility of groundwa-ter and waterway contamination.

• Construction of petrol stations in accordance with the most contem-porary world standards (installation of separators for oily waste water purification, installation of a double lined tank, energy-efficient facilities) has resulted in noise reduction and adequate groundwater and soil pro-tection.

In the forthcoming period, significant investments are planned as well as some vital environmental improvements, by means of production process improve-ment and fuel production as per the Euro-pean quality standards. Strategic goals by 2015 foresee almost 400 million Euro in-vestments, which is 6.5 times more than the funds designated for environmental protection, in line with the sales contract. Apart from the environmental projects, NIS will invest into the infrastructure pro-jects with an environmental effect, petrol stations modernization, as well as in the energy efficiency projects which indirectly lead to environmental improvement.

million Eur will is foresee amount for ecological projects by 2015

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NIS COMPANY PROFILE • 29

The Company’s

policy implies constant investment

into development of our employees and managers,

providing possibility for their professional and personal

advancement

NIS continually

renovates its oil and gas business, introduces

and improves the new methods of oil and gas exploitation, builds new refining units, automates its operations, develops and modernizes

the retail network

Environmental protection is one

of the key elements of an efficient Company

management and, for this reason, 2013 has been

declared the year of ecology in NIS

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30 • NIS COMPANY PROFILE

HEALTH AND SAFETY AT WORK, INDUSTRIAL SAFETY, AND ENVIRONMENTAL PROTECTION

NIS strives to achieve a most ration-al use of natural resources and de-crease of negative impact on human life and environment by means of improvement of HSE culture (Health, Security, and Environment).

The Company continually undertakes activities in the field of application of demanding HSE standards, in accord-ance with international trends and regulations, being one of essential re-quirements imposed by the development of technical and technological process for resource exploitation, as well as by the growing awareness of health care and environmental protection.

Our aim is to achieve a sustainable HSE integration into the everyday operations and Company culture, being the basis

for application and fulfillment of legal and other commitments, as well as the fulfillment of requirements of all inter-est groups - owners, employees, social community, partners, and the country.

NIS AND ITS EMPLOYEES

One of the most important resources of NIS, as a modern and dynamic com-pany, are its employees who contribute to the achievement of the Company’s organizational goals through realiza-tion of their personal and professional potential. Therefore, the skilled and top quality personnel are the founda-tionthat NIS’ success is built upon.

Continual investment into the develop-ment of know-how, competences and skills of young talents and “successors” enables the Company on a long-term basis to have the best employees at the key positions at any moment, and we are extremely proud of this fact.

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NIS COMPANY PROFILE • 31

NIS manages its

exposure to risk, maintaining it at the lowest

possible level, aiming to mitigate consequences of

unforeseen accidents in the fields in which the Company

performs its business activities

The crown of NIS’ success are the

best people from over 20 countries worldwide, and the proof of its investment into personnel is the title of the

Best Employer in 2012 awarded to NIS

A great attention is given to

the development of specific employee training programs, such

as “Candidate Pool”, “Leader 2013”, “Project Manager”, or “Young Experts”.

Each of the above listed programs is intended for the development of competencies of certain employee

groups, in order to train them so they can contribute to the achievement

of Company’s long-term ambitious goals

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32 • NIS COMPANY PROFILE

NOTES

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NIS COMPANY PROFILE • 33

NOTES

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34 • NIS COMPANY PROFILE

www.nis.eu

www.nispetrol.rs

www.facebook.com/NaftnaIndustrijaSrbije

www.twitter.com/NISrbije

www.youtube.com/user/NISrbije

CONTACT

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NIS COMPANY PROFILE • 35

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36 • NIS COMPANY PROFILE


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