Following the acquisition of Bashneft, Russia’s state-owned oil giant Rosneft increased its stated reserves of hydrocarbons to 37,772 million barrels of oil equivalent (mmboe), which translates into 5,111 million metric tons of oil equivalent (mmtoe). The company announced the new figures, calculated as of December 31, 2016, on February 17, 2017.

Rosneft’s overall reserves soared three percent, or some 970 mmboe (131 mmtoe). The reserve replacement ratio for the Russian company under the Securities and Exchange Commission (SEC) classification stood at 148 percent with an organic figure of 140 percent. The estimated reserve life in line with the SEC classification now stands at 19 years.

In accordance with the Petroleum Resources Management System (PRMS) classification, Rosneft had 1P reserves of 46,075 mmboe, or 6,250 mmtoe, on December 31, 2016.

“Notwithstanding the two-year decrease of benchmark crude oil prices, the company demonstrates a stable growth in commercial hydrocarbon reserves. This is achieved by a constant increase of efficiency of developing our producing oilfields, as well as the start-up of new oilfields and blocks, and a successful implementation of the exploration program. The integration of Bashneft assets also contributed to the increase of the resource base,” the company’s statement pointed out.

Rosneft is the largest oil company and the largest taxpayer in the Russian Federation. The company’s authorized capital is RUB105.981 million (USD1.884 million). The company’s largest shareholder is the state-owned company Rosneftegaz.

The IFRS (International Financial Reporting Standards) net profit of Rosneft for the first nine months of 2016 dropped by 57.3 percent to RUB129 billion (USD2.293 billion). Revenue decreased by 11.4 percent to RUB3.503 trillion (USD62.266 billion).

The RAS (Russian Accounting Standards) net profit of Rosneft for the first nine months of 2016 decreased four times to RUB23.583 billion (USD419 million) from RUB92.992 billion (USD1.652 billion) for the corresponding period of 2015. Rosneft’s nine-month revenue decreased by 3.5 percent to RUB2.83 trillion (USD50.303 billion) from RUB2.933 trillion (USD52.141 billion) observed in the previous year. Gross profits decreased to RUB765.18 billion (USD13.603 billion) from RUB940.767 billion (USD16.722 billion).