MOSCOW–The recently-completed Neftegaz (the International Exhibition for Equipment and Technologies for Oil and Gas Industries) trade show held at the Moscow Expocenter was smaller than in the past. This fair is conducted every two years and is a largest local event in the oil and gas industry. This year’s fair was held April 26-29.
It’s a small trade show, and it was even this year than in past years. The number of participants was down from 550 to about 400 companies representing 18 countries. The largest delegations (besides Russia itself) were presented by Germany and China. Germany has set national expositions on the fair.
Large international companies, specializing in power machines, were not represented at the show this year. Companies such as MTU, MWM, Waukesha, and Caterpillar did not participate this year. Probably the reason was the COVID-19 pandemic, which affected the oil market.
Power machines were shown by Belorussian Fidmash and some Russian companies. Surprisingly, gen-sets were not presented at the fair this year at all. Reciprocating engines were shown by single company – Baudouin, a joint venture between KAMAZ and Weichai. The company assembles diesel and NG engines up to 2.7 MWt in Yaroslavl.
The components come from China and are used in local production. The main application for these engines is power generation, however, they are used in other segments too. They started to supply Belaz mining trucks, and projects for railway and marine applications are under development, too. During the last year, the company has assembled more than 100 engines, and the plan for this year is to exceed 200 units.
Last year’s oil crisis, related to the pandemic, has affected the industry. But the recovery has begun. It’s expected that the oil deficit will drive price growth. Goldman Sachs sees “commodities rallying another 13.5% over the next six months, with oil reaching US$80/bbl.” If this forecast turns out to be accurate, the industry will enjoy a substantial cash flow increase. PSR
Maxim Sakov is the Russian Market Consultant for Power Systems Research.
