OREANDA-NEWS. December 06, 2011. Following a Decree of President of the Republic of Tatarstan top managers of TATNEFT have been awarded the State Prize of the Republic of Tatarstan in 2011 in the field of science and technology, reported the press-centre of TATNEFT.

The title "Laureate of State Prize of the Republic of Tatarstan in the field of science and technology" has been awarded to Vladimir Lavuschenko, Deputy General Director of TATNEFT for Economics, and Victor Gorodny, Deputy General Director for Property - Head of OAO TATNEFT Property Department for the work "Restructuring of OAO TATNEFT: Methodology and Practice".

This ambitious treatise of the Company's specialists is dedicated to organizational and economic restructuring issues of TATNEFT. This paper defines the methodological basis of restructuring, the parameters and sequence of carrying it out. A general strategy developed for creation of specialized service companies has increased the production efficiency allowing TATNEFT meet the basic challenges of increasing crude oil production and optimization of financial, material and labor resources.

Switching to an external (contracting) oil servicing has fundamentally changed the organization of the Company's management and production support. The management and experts of the Oil and Gas Production Boards (NGDU), who earlier used to perform a lot of functions to organize the works' execution, including the ones in the non-production sector, have got the opportunity to concentrate on the Company's core business: crude oil and gas production.

The transition from the administrative leverage in the organization of work for the "customer-contractor" scheme and the establishment of a specialized control over the execution of works by supervisors, as well as by skilled work managers has led to increasing responsibility of the parties and improving the quality of the work performance. Switching over to outsourcing has substantially optimized the property complex of the Company.

The effect of restructuring has resulted in creating additional sources of expenditures for operating and investing activities of TATNEFT. This reserve is directed to implementation of new investment projects: development of oil and gas provinces outside the Republic of Tatarstan, development of extra-viscous oil fields, as well as development of international projects, the filling stations network, etc.. The Company uses this potential for innovative technologies and designs ensuring efficient operation of the fields.

Restructuring and creation of new businesses have also resulted in corresponding fiscal effect, increasing tax revenues to the republican and federal budgets. Simultaneously with the establishment of new enterprises the steps have been implemented to create new jobs.

The restructuring of the crude oil producing complex has resulted in establishing a structure consisting of companies that provide for a single production process regardless of the ownership category.