Novatek, PJSC

About Novatek, PJSC

Novatek is a Russian gas company founded in Novokuybyshevsk, Samara Region in 1994. As of mid-2010, it is the second largest producer of natural gas in Russia. Full name: Public Joint Stock Company Novatek. The headquarters are in the city of Tarko-Sale (Yamal-Nenets Autonomous District). The founder, chairman of the board and the largest shareholder is Leonid Mikhelson.

As of 31st December 2017, the Company's proved hydrocarbon reserves under SEC standards (including a share in joint venture reserves) amounted to 15.120 million barrels in oil equivalent, including 2.098 billion cubic metres of gas and 164 million tonnes of liquid hydrocarbons. Compared with the end of 2016, hydrocarbon reserves increased by 12.8%, and the replacement ratio was 435%.

Novatek Turnover
In 2017, sales revenue amounted to 583.2 billion RUB (10.14 billion dollars), of which about 166.47 billion RUB (2.90 billion dollars) was net profit.

Image
Novatek is an international brand, widely known outside Russia.

Novatek Shares and asset prices
Novatek shares were included in the list of non-listed securities on the Moscow stock exchange on 16th August 2006, and on 9th June 2013 they were already included in the First level. Today Novatek shares are traded on Russian and foreign exchanges, as well as on the over-the-counter market, in the form of CFDs for shares. In Russia, Novatek shares are traded on the Moscow stock exchange. On the western market the shares are traded on the London Stock Exchange.

Earning potential
The average annual growth in Novatek's share prices in the period from 2006 to 2018 was about 49.0%.

Shares of Novatek in RUB from 2016 to the end of 2017 increased by 19.5%, from 566.94 RUB to 677.7 RUB.

Such profits could be obtained by investing in the purchase of these shares without credit leveraging. If you use credit leveraging (for example, 1 to 5), then you could increase the profit to 97.5%. This is a reasonable figure for 12 months, which is incomparable with the profitability of bank deposits.