Petroleum industry

The oil industry, economic sector, producing, processing, transportation, storage and sale of natural minerals - oil and related petroleum products. For related industries include geophysics, drilling, oil and gas production equipment. The basis of the oil industry are vertically integrated oil companies.
Oil production
Oil production - a complex manufacturing process, which includes exploration, well drilling and repair, cleaning of crude oil from the water, sulfur, wax and more. Engaged in oil and gas oil production management - enterprise (or a structural unit of the company) is engaged in mining and pumping "crude" oil and gas to a host of commercial accounting. The infrastructure typically includes NGDU CSN (booster pump stations), SNS (group pumping station) Treatment Plants (node ​​preliminary water), infield pipelines (Pipelines)
transportation of oil
Pipelines is engineering construction pipeline designed to transport oil. Distinguish between main and field pipelines. Construction and maintenance of the pipeline is very expensive, but still - it's the cheapest way to transport oil and gas.
For oil on the waterways used tankers and supertankers (mega ocean tankers with a displacement of 320 000 metric tons (see dwt) which is used to transport crude oil from the port of loading to the place of an overload or directly to the refinery.)

oil refining

The purpose of processing of oil (petroleum) is the production of petroleum products, primarily different fuels (automotive, aviation, boiler, etc.) and raw material for subsequent chemical processing. Gasoline, kerosene, diesel oil and industrial oils are divided into different grades depending on the chemical composition. The final stage of production refinery is to mix the received components for finished products desired composition.

Corruption in the oil sector

The risk of corruption in the oil sector is associated with the following features:

the volume of transactions - transactions in the industry associated with very large sums;

large margin (price sector is generally much higher than the cost of production);

concentration of financial flows and thus reducing accountability of government agencies receiving income to the population;

complexity of technology, industry structure, legal and fiscal mechanisms to help mask their corrupt activities;

natural monopolies: the emergence of natural monopolies, typical for the industry, creating opportunities for corruption through the regulation of access to resources or the introduction of fees for their use.

Types of corruption what are typical for the industry

Political corruption, whose mission - to influence policy in the industry, the adoption of laws and tax regimes that benefit certain individuals or groups of individuals to the detriment of the common good.

Administrative corruption - the abuse of a position of authority in order to illegally obtain income or other benefits in exchange for the approval of any transactions (trade or business), condoning corruption, the "right" interpretation of the tax laws.

Commercial corruption - abuse in procurement and bidding, kickbacks and inflated costs.

Large-scale corruption - a direct appropriation of large sums of money through the unauthorized use of production capacity, product, or income.

The main participants of corruption schemes in the industry

Government - corrupt relations can occur between governments, its oil and mining it.

Oil companies and companies serving the oil sector.

Influential merchants whose activities range from lobbying before the conclusion of illegal transactions, from the political to the large-scale corruption.

Banks - the laundering of funds illegally obtained through corrupt activities.