MOSCOW, May 16 (UPI) -- Gazprom Neft, the oil production arm of Gazprom, said Friday its output during the first quarter of 2014 increased 4.5 percent year-on-year.
Hydrocarbon production during the first quarter of 2014 was 116.75 million barrels of oil equivalent, a 4.5 percent increase from the same time last year. The company attributed the increase to deploying new technology at mature fields and production growth from its assets in the Orenbrug region and the Yuzhno-Priobskoye fields.
Gazprom Neft signed an agreement in February with oilfield services company Schlumberger to examine shale reserves in Western Siberia.
In January, a Russian joint venture between Shell and Gazprom Neft, Salym Petroleum Development, announced it started a five-well drilling program in Siberian shale.
Gazprom Neft is the No. 5 oil producer in Russia. Its net sales were up 8.2 percent compared with fourth quarter 2013.
