LUKOIL

SITUATION

1. Start-up PMO and mega projects organisations servicing a growing international portfolio of onshore, offshore, upstream and downstream projects Iraq, Uzbekistan, Caspian, Kazakhstan and Former Soviet Union with value USD$40bn+.
2. Soviet culture of operations running projects with centralised “cookie cutter” engineering.
3. Significant gap between international oil and gas best practice and Russian practice.
4. No formal wells, drilling or surface facilities project control frameworks or management systems.
5. No formal HSE, social, process safety, asset integrity or security management systems. Simple 4 page OHSAS 18001 booklet.

ACTIONS

1. Formation of Integrated Project Management System (IPMS) unit as part of PMO.
2. Development of “HSSE in Projects” Manual – A Projects HSSE MS, embedding a project HSSE standards framework into the capital projects Phase Gate management system (Identify, Select, Define, Execute and Operate).
3. Development of project HSSE standards for Process Safety and Asset Integrity, Occupational Safety, Industrial Hygiene/Occupational Health, Environment and Social and Security.
4. Roll out and implementation of “HSSE in Projects” across major projects. Supported by certified HSSE in Projects training process and provision of consulting services to projects.
5. HSSE supported extensive projects peer review process.

RESULTS

1. Formal and fully documented HSSE MS.
2. Quantum change in “HSSE in Projects” culture and results.
3. World class Iraq project teams (Mishriff and Yamama) consistently delivering outstanding HSSE performance.
4. Late but enthusiastic adoption in Russian major projects.
5. Viewed as a success - spawned the Operations Management System for West Qurna 2.

LUKOIL is one of the world’s largest vertically integrated oil and gas companies, headquartered in Russia and operating across more than 30 countries. The company spans the entire energy value chain—from exploration and production to refining, petrochemicals, and the global marketing and distribution of fuels and lubricants. LUKOIL’s products are sold in over 100 countries, making it a major player in global energy markets. With significant reserves and a diversified asset base, LUKOIL is known for its technological expertise, operational excellence, and focus on long-term value creation. The company is also investing in cleaner technologies and energy efficiency initiatives as part of its broader commitment to sustainable development and reducing its environmental footprint.