Business news from Ukraine

Business news from Ukraine

Ukrnafta Launches Digital System for Repair and Equipment Management

22 April , 2026  

JSC “Ukrnafta” has implemented a corporate system for maintenance and repair (M&R) management and has begun putting it into practical use, according to a press release issued by the company on Tuesday.

“The goal is to create a unified electronic system for managing production assets: from equipment inventory to the analysis of maintenance and repair costs,” the press release stated.

The company explained that this essentially involves creating a “digital twin,” which allows for more accurate work planning, cost forecasting, and more efficient use of resources.

Since February 2026, the system has been in pilot operation at Ukrnafta’s regional divisions.

The project is being implemented based on the EAM (Enterprise Asset Management) approach. It encompasses 16 modules and 39 end-to-end business processes at Levels 1 and 2, ensuring management of the full lifecycle of production assets.

According to Ukrnafta, one of the project’s key priorities is the creation of a unified equipment database. Approximately 47,000 fixed assets have already been identified, of which 39,000 (over 80%) have been uploaded to the system. Approximately 8,000 repair objects have been created, over 150 types of equipment (more than 4,800 models) have been standardized, and more than 7,000 units of technical documentation have been uploaded.

A digital passport is created for each object, containing a complete history of repairs, defects, downtime, and relocations.

In addition, a maintenance and repair (M&R) standards database has been created: over 10,000 process charts contain per-operation labor costs, standards, a list of tools, and qualification requirements. All resources are integrated with the ERP system, enabling the automation of procurement requests and order generation.

The request management process (BPMN 2.0) has also been standardized—from defect recording to analysis of completed work and transfer of costs to the ERP. Approximately 500 typical defects have already been defined for the analysis of technical failures.

The system is integrated with the ERP, ensuring transparent financial accounting of repairs and cost control at every stage.

“We are systematically transitioning to a digital model of production asset management. This is not a standalone IT project, but a shift in the approach to production management. The system enables control at all stages—from equipment condition and work planning to costs and performance results,” said Ukrnafta CEO Bohdan Kukura, as quoted by the press service.

According to him, this results in increased process transparency, execution discipline, and the quality of management decisions.

In turn, as explained by Oleg Deberyna, head of the maintenance and repair system implementation department, Ukrnafta is effectively creating a unified digital asset management system that enables real-time monitoring of equipment status, work planning, and control over resources and costs.

“It is important that the system covers the entire cycle—from defect recording to failure root cause analysis and management decision-making. This significantly improves the efficiency and manageability of production processes,” he added.

As the company summarized, the implementation of the M&R system represents a shift in the approach to asset management: unified rules for working with equipment, standardization of processes, enhanced data management, and improved production reliability and safety.

The next stage is scaling the system to all of the company’s structural units, including internal services. Implementation will proceed in phases until mid-2027.

JSC “Ukrnafta” is Ukraine’s largest oil production company, carrying out a full cycle of activities in the field of production: exploration, oil and gas production, provision of oilfield services, as well as management of the largest network of gas stations in Ukraine, UKRNAFTA.

The company has over 1,106 oil wells and 131 gas wells on its balance sheet.

The shareholders of JSC “Ukrnafta” are NJSC “Naftogaz of Ukraine” and the Ministry of Defense of Ukraine. Since 2022, the company has been under state management and is implementing a large-scale business transformation.

UKRNAFTA is Ukraine’s largest network of gas stations, comprising nearly 700 stations and ranking among the top three in terms of fuel sales volume. The UKRNAFTA brand consolidates networks that previously operated under the Glusco, Shell, and U.Go brands.

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