Indigenous peoples of the North

We share the principles set forth in the United Nations Declaration on the Rights of Indigenous Peoples, the United Nations Global Compact, and the UN World Conference Resolution on Indigenous Peoples. We seek to achieve a harmonious combination of our subsidiaries’ business activity on the ancestral habitats of indigenous peoples of the North (the Indigenous Peoples), thereby enabling them to retain their traditional lifestyle and business activity.

Interaction with the Indigenous Peoples is carried out within the framework of federal and regional Russian law, the licensing obligations of LUKOIL Group subsidiaries, and federal and regional support programs for the Indigenous Peoples. The main forms of interaction include:

  • cooperation agreements between LUKOIL and the authorities of the regions
  • economic agreements with the heads of territories on the traditional use of natural resources
  • socio-economic development contracts with deer farms
  • cooperation with non-governmental organizations
  • sponsoring specific projects through grant-based financing as part of the LUKOIL Social and Cultural Projects Contest

Specialized divisions are responsible for the interaction, in particular the LUKOIL Public Relations Department, and surveying departments and public relations centers at LUKOIL subsidiaries.

The Russian Association of the Indigenous Peoples of the North is our constant partner, and a LUKOIL representative is a member of the Expert Advisory Board of this organization.

In 2017 a cooperation agreement was signed between LUKOIL and the Federal Agency for Ethnic Affairs. A representative of the Company is a member of the working group responsible for putting forward amendments to the procedure for conducting ethnological expert reviews of geological exploration and production projects on the territories where the Indigenous Peoples traditionally live.

Compensation payments are made annually to indigenous residents: on the territory of the Khanty-Mansi Autonomous Area-Yugra (LUKOIL-West Siberia, RITEK, LUKOIL-AIK), as part of licensing obligations; and on the territory of the Nenets Autonomous Area (LUKOIL-Komi) within the framework of contracts with deer farms. We also implement charity projects (for example, the Red Tent project in the Nenets Autonomous Area).

Mechanisms for hearing the appeals of representatives from the Indigenous Peoples and non-governmental organizations have been created, and work is successfully carried out at LUKOIL Group subsidiaries on issues related to providing assistance to or safeguarding the rights of the Indigenous Peoples. In 2017 there were 62 appeals, which related to different areas of cooperation with the Company, assistance on compensation for tuition and the treatment of the representatives of the Indigenous Peoples, the purchase of specialized equipment, and providing information on the activities and plans of the Company to support the Indigenous Peoples. No appeals were submitted that related to violations of the rights of the Indigenous Peoples.

Support for Indigenous Peoples in Russia under the licensing obligations of LUKOIL Group subsidiaries, RUB million
Region 2015 2016 2017
Khanty-Mansi Autonomous Area-Yugra 275.4 274.8 311.4
Nenets Autonomous Area 29.5 29.5 30.5
Total 304.9 304.3 341.9