Rosneft to invest US$18 billion for oil refinery upgrades

Rosneft plans modernize its oil refinery facilities by 2016, a move which will involve investments amounting to US$25 billion. Rosneft President Igor Sechin said that US$7 billion has already been spent so far. However, the expansion program does not take into account Rosneft’s investments in its facilities in Germany. These investments are intended to enable Rosneft to increase the output of light oil products to 78%, from the current 56%. This expansion is expected to increase daily refining capacity from 1.04 million to 1.18 million barrels. The growth of the company’s average refining margin is expected to reach US$11, from the current US$7.50, per barrel. (October 6, 2012