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Social Responsibility

Social Policy and Charity make up an important part of NOVATEK’s activities. In 2019, the Company continued to pay close attention to projects aimed at supporting the culture, preserving and revitalizing national values and spiritual legacy of Russia and developing amateur and professional sports. NOVATEK enters into agreements with regional governments across the Company’s geographical footprint and implements programs to improve living standards and preserve the distinctive cultural identity of the indigenous peoples of the Far North.

In 2019, NOVATEK and its subsidiaries invested RR 2.0 billion in projects and activities related to the support of indigenous peoples, charitable contributions, cultural and educational programs.

Cooperation with the regions

Within the framework of agreements signed with various regions, the Company was investing in YNAO and KhMAO, the Tyumen, Chelyabinsk, Leningrad, Murmansk and Kostroma Regions throughout 2019.

The Company also financed the repairs and upgrades of social infrastructure facilities, construction of up-to-date playgrounds for children, rural development including renovation of a water treatment system in the Seyakha village, repairs of a sewage pumping station in Tarko-Sale, as well as purchase of equipment for people with limited mobility to develop accessible environment in YNAO, and equipment supply for nine medical and obstetric centers, ambulatory clinics and eight ambulance cars for the regional ambulance station in the Murmansk region. The Company was supporting low-income families, people with disabilities, the elderly, veterans and children with desperate need.

In 2019, NOVATEK provided funds to set up the Patriot military-patriotic park in Gadjievo, the Murmansk region.

Our contribution to the social and economic development creates better understanding and ensures preserving of the cultural heritage in the Company’s core regions.

Cooperation with Indigenous Peoples of the Far North

During 2019, NOVATEK provided financial support to the Yamal for Descendants Association of indigenous peoples and its district branches. We provided assistance in conducting the 30th report-and-election meeting of the regional social movement “YNAO Yamal for Descendants Association of the Indigenous Minorities of the North” that brought together more then 200 delegates and guests from various cities and districts of Yamal and other regions of the country. The meeting considered the issues of social development of the northern indigenous peoples along with preserving their traditional economic activities.

We assisted indigenous peoples through financing the purchase of mobile housing units and technical facilities and aids for clans, equipment and materials required for the work of fishermen and reindeer herders. NOVATEK financed fuel purchases for air delivery of the nomadic population and food to remote areas. One particular area of support is taking part in organizing and staging traditional ethnic festivals of indigenous peoples as well as provision of funding for environmental programs.

Educatonal Programs

NOVATEK continued to develop the Company’s continuing education program, which provides opportunities to gifted students from the regions where we operate to further their education at top rated universities, participate in NOVATEK internships and, upon completion of their studies, possible employment with the Company.

Recruitment and career guidance for promising employees start with the “Gifted Children” program implemented at School No. 8 in Novokuybyshevsk, school No. 2 in Tarko-Sale, school No. 81 in Tyumen and in 2018, school No. 2 in Salekhard joined the program. Special classes are formed on a competitive basis from the most talented grade 10 and 11 students with above-average test scores. The Company has also implemented two Grants programs for schoolchildren and teachers living in Purovsky District of the YNAO.

In 2017, a resource center for industry-relevant student training — the Natural Science Center — was built and fully equipped in Tarko-Sale, Purovsky District, YNAO. The Center began to operate in 2018. The curriculum for pupils of 5th-11th grades includes: chemistry, biology, and physics. Subject specific classes include solving of school Olympiads and advanced level tasks, as well as training of pupils for national Olympiads and competitions.

The Grants program for schoolchildren is aimed at academic and creative development and encouraging a responsible attitude towards studies. Under the program, students in grades five (5) through eleven (11) are awarded grants from the Company. In 2019, the Company awarded 44 grants to students under this program. The Grants program for teachers is intended to raise the prestige of the teaching profession and create favorable conditions for developing new and talented teachers. In 2019, six teachers from the Purovsky District received grants under this program.

In an effort to create conditions for more effective use of university and college resources in preparing students for future professional activities, the Company has developed and successfully implemented the NOVATEK-University program. The program is an action plan for focused, high-quality training for specialists with higher education in key areas of expertise in order to grow the Company’s business and meet its needs for young specialists. The program is based at the Saint-Petersburg University of Mines, the Gubkin Russian State University of Oil and Gas in Moscow and the Tyumen Industrial University.

Students who have passed their exams with good and excellent results receive additional monthly payments. During their studies, the students are offered paid field, engineering and directed internships. This experience allows them to apply the knowledge obtained at lectures and seminars to real-life situations and gain experience in the professions they’ve chosen, while the Company receives an opportunity to meet potential employees.

Support of Cultural Traditions

In 2019, NOVATEK continued its cooperation with Russia’s leading museums including the State Tretyakov Gallery, the Russian State Museum, and the Moscow Museum of Modern Art. The Company supported artistic and musical projects in Russia and abroad.

In 2019, the Company was involved in the implementation of the first project of the State Tretyakov Gallery in Samara “The Ship of Tolerance by Ilya and Emilia Kabakov”. Problems of peace maintenance, tolerance and development of modern society were discussed during open workshops in cultural and educational institutes of the region. To mark the completion of the campaign, a 18-meter wooden ship was built at the city’s embankment. The ship’s sails were made of canvas using the works of the project participants.

Supported by NOVATEK, the State Russian Museum hosted an exhibition “To the Shores of Antarctic and Arctica” dedicated to the 200th anniversary of the southernmost continent’s discovery by Russian seafarers Thaddeus Bellingshausen and Mikhail Lazarev and the “Year of Antarctic” in Russia.

The Company also supported the Russian Museum’s charity project “Museum for Children” aimed at adapting exhibition spaces for children with disabilities.

In the reporting year, the Company sponsored Ivan Gorshkov’s solo exhibition at the Moscow Museum of Modern Art (MMMA). The artist is a prominent personality of Russian modern art famous for his reimagining of traditional arts media — painting and sculpture.

NOVATEK took part in the organization of the anniversary exhibition “MMMA 99/19. Thematic Exposition Dedicated to the Museum’s 20th Anniversary”. The project gathered 20 professionals from different fields of science and culture, from directors and musicians to health professionals, scientists and restorators.

As part of NOVATEK’s 25th anniversary celebrations, a festival “PLAYMMOMA: play with modern art!” took place, which is a special educational program developed by MMMA. The museum team visited four cities of the Company’s operations: Kostroma, Novy Urengoy, Murmansk, Chelyabinsk, and held a number of workshops for children and adults.

NOVATEK is a permanent partner of the international festival-school of contemporary art TERRITORIYA. In 2019, 14 performances from Russia, Belgium, Netherlands and other countries were given as part of the festival, a comprehensive educational program was implemented and Yoko Ono’s exhibition took place. The play of the Theater of Nations “Our Everything... Turgenev. The Metaphysics of Love” was staged in Kostroma and Murmansk for the Company’s partners and employees.

In 2019, NOVATEK continued to be General Partner of the Moscow Soloists Chamber Orchestra led by Yuri Bashmet and provided additional support to the Orchestra during its performance in Murmansk and Hamburg at the closing of international cultural project “Russian Seasons in Germany”. The Company acted as General Partner of the tour of the Russian Youth Symphony Orchestra led by Yuri Bashmet in nine Russian cities. NOVATEK provided assistance in organizing the Russian Culture Festival in Japan. Concerts, exhibitions, tours of celebrated Russian bands took place as part of the festival.

In 2019, the Company supported the activities of the Gogol-center and the Film and Television School “Industry”, provided assistance in making films about Arctic and Antarctic.

Sports Projects

NOVATEK attaches great importance to programs for the development of mass and high-performance sports. The Company, its subsidiaries and joint ventures regularly hold tournaments in the most popular and wide-spread sports: football, volleyball, swimming, ski, to name a few.

The Company supported the children and youth sports in the regions of its operations, supported a pilot federal innovative project “Become a Champion”, intended to determine a predisposition to certain sports through testing.

In 2019, the “NOVATEK — Step to Bigger Football” Indoor Football Cup among secondary school teams expanded its geographical envelope. For the first time the Football cup was held in the Kamchatka Area in addition to the Chelyabinsk and Kostroma Regions. Over 11 thousand boys and girls from more than six hundred educational institutions took part in the Indoor Football Cup in 2019 in three regions of the country.

The Company supported the Student Basketball Association with more than 800 teams and 10,000 boys and girls participating in competitions. With the support of the Russian Federation of Dance Sports and Acrobatic Rock’n’Roll sport and acrobatic rock’n’roll clubs are active in the regions where the Company operates. In April 2019, NOVATEK teams participated in the V Russia-wide acrobatic rock’n’roll competition Rock’n’Roll & Co.

In the reporting year, NOVATEK continued cooperation with the Football Union of Russia as the General Partner of the Russian National Football Teams. The Company supported women’s volleyball club Dinamo and the NOVA Volleyball Club (Novokuybishevsk).

Charity

In 2017, NOVATEK adopted its Charity Policy, which provides for supporting children in desperate need of medical care residing in the regions where we operate.

In the reporting year, the Company continued implementation of the charity project “Health Territory”. As part of the project, lead specialists of the Russian Children’s Clinical Hospital visited children in Novy Urengoy, Tarko-Sale, Chelyabinsk, Magnitogorsk, Murmansk, Tyumen and Petropavlovsk-Kamchatsky. These visits allowed 668 children to get medical help and 162 children were taken to hospitals in Moscow. During these visits, research-to-practice conferences for regional medical professionals and case conferences took place. Targeted assistance was provided to children with severe conditions. In addition to charity policy, the Company implemented cultural programs for children with disabilities and children from low-income and large families.

The Company implements the new Telemedical Center project with the main objective to establish a single telemedical network to connect regional partner clinics in the Company’s regions of operation and the Russian Children’s Clinical Hospital. In 2019, the premises were repaired and the telemedical center in the Russian Children’s Clinical Hospital was equipped, works started to equip the regional telemedical centers.

The Rehabilitation Center project for children with disabilities was implemented during the reporting period. Seven courses of rehabilitation were completed, 266 children with disabilities (musculoskeletal diseases and psychoneurological disorders) got medical help not leaving the region.

In 2019, the key activities of the “All Together” volunteer movement remained unchanged: support for orphans and children with various diseases, seniors and the World War II veterans, providing assistance to animals.

Throughout the year the Company has been supporting industry veterans and projects aimed at preserving and increasing rare animal populations: Siberian tiger and Amur leopard.