29 Jun 2015 07:13
OJSC Surgutneftegas / AGM Statement 29.06.2015 07:12 Dissemination of a Regulatory Announcement, transmitted byEquityStory.RS, LLC - a company of EQS Group AG.The issuer is solely responsible for the content of this announcement.--------------------------------------------------------------------------- ANNUAL GENERAL SHAREHOLDERS' MEETING FOR 2014 HELD IN SURGUT ON 27 JUNE In line with the agenda, the shareholders approved the annual report and annualaccounting statements of OJSC 'Surgutneftegas', including the income statement for2014.The meeting resolved to declare payment of dividends for 2014 as follows: RUB 8.21per preference share and RUB 0.65 per ordinary share.The meeting elected the following members of the Board of Directors:V.L.Bogdanov, A.N.Bulanov, V.P.Erokhin, I.K.Dinichenko, V.M.Krivosheev,N.I.Matveev, V.I.Raritsky, I.Sh.Usmanov and V.A.Shashkov.The meeting also elected the Auditing Committee of three people andapproved LLC 'Rosexpertiza' as auditor for 2015. In addition, the meeting resolvedto approve transactions that may be conducted in the future by OJSC'Surgutneftegas' and its affiliates in the course of its general businessactivity.In his report about the 2014 results, Vladimir L. Bogdanov, DirectorGeneral of OJSC 'Surgutneftegas', said that the Company pursued its plans:increased the resource base, actively developed the fields, opened up newprovinces, continued upgrading refining capacities and development of our ownelectric power solutions, implemented environmental and socially significantprograms.In the reporting year, oil production of OJSC 'Surgutneftegas' totaled 61.4million tonnes and gas production amounted to 9.4 billion cubic meters. TheCompany still sees the mid-term goal for the annual oil production at 61-62million tonnes; there are plans for sustaining this level in place: explorationand drilling operations, new fields exploitation, and a number of wellintervention and stimulation operations to enhance oil production.'Increasing a resource base is a key factor for the Company's stableoperation. Every year we ensure reserves additions above the level ofproduction. In 2014, exploratory drilling exceeded 200 thousand meters; two fieldsand 32 new oil accumulations were discovered; reserves additions of C1 recoverableoil totaled 77 million tonnes.'Last year OJSC 'Surgutneftegas' started developing three new fields in WesternSiberia - Vysotnoye, Kochevskoye and Verkhnekazymskoye. 'The Company continues toincrease its production in Eastern Siberia. In the reporting year the oilproduction increased by 7% to 7.7 million tonnes. The input of the region in theCompany's oil production amounts to 13%.'In his report, Vladimir Bogdanov put particular emphasis on an important line ofthe Company's activity in Western Siberia - building new oil production clusters.He mentioned that the Rogozhnikovskoye group of fields is one of such clusters; atthe year-end 2014, it includes three active fields. The next important step willbe putting online the field named after V.I. Spielman (Severo-Rogozhnikovskoye),where building the infrastructure was in progress in the reporting year. Togetherwith this field, the Rogozhnikovskoye group will yield about five million tonnesofoil a year. The prospects for the Company development in Western Siberia are alsorelated to forming a new production cluster in Uvatsky District in TyumenskayaOblast and adjacent territories of the south of Khanty-Mansiysky Autonomous Okrug- Yugra where the Company holds 12 license areas covering seven oil fields withover 40 million tonnes of class С1+С2 oil.In 2015, the Company started to build the infrastructure at theYuzhno-Nyurymskoye field that will be put online in 2016. We will determine thetime of development of the other fields of this cluster based on the explorationresults.In the downstream sector, the quality of products has significantlyimproved. Due to the start of operation of the deep conversion plant in 2013, andupgrade of the existing units of the KINEF plant, the output of light petroleumproducts grew by 1.1 million tonnes in the reporting year. At the year-end, thewhole amount of the diesel fuel produced complies with the requirements of theenvironmentalClass 5.As a part of the step-by-step upgrading of the refinery process scheme, buildingof the high-octane LK-2B gasoline plant with a capacity of 2.3 million tonnes ayear continued in 2014.In the energy sector, the Company continued to build its own generationcapacities. In the reporting year, a 36 MW gas turbine power plant was put inoperation at the Fedorovskoye field. All in all, in 2014, the Company's powerplants generated 5.3 billion kWh of electric power which covered 44% of OJSC'Surgutneftegas' consumption needs in the upstream sector.Talking about the financial results of the year, Vladimir L. Bogdanov noted thatthe Company's production performance and external factors made it possible for thenet profit to grow nearly 3.5 times to RUB 891.7 billion.'The main pride of OJSC 'Surgutneftegas' has always been its team,'Vladimir Bogdanov added. I am convinced that the results achieved by our employeesin the reporting year, their experience and professionalism, initiative andcreative approach to solving large-scale technical problems will be a solidfoundation for realization of further development plans of the Company. I greatlyappreciate the contribution of our employees, management team and the Board ofDirectors to the achievements of the Company.'We entered the year of 2015 with a stable financial position and goodoperational indicators. We have knowledge and experience, continuous scientificand technical search, adherence to the best working traditions, and leadingpositions in a number of activity directions. These factors will allow the Companyto overcome present difficulties, confidently plan our future and subsequentlyachieve the goals set for us by the shareholders. 29.06.2015 The EquityStory.RS, LLC Distribution Services include RegulatoryAnnouncements, Financial/Corporate News and Press Releases.Media archive at www.dgap-medientreff.de and www.dgap.de --------------------------------------------------------------------------- Language: EnglishCompany: OJSC Surgutneftegas Grigoriya Kukuyevitskogo, 1, bld.1 628415 Surgut RussiaPhone: Fax: E-mail: Internet: www.surgutneftegas.ruISIN: US8688612048Category Code: AGMTIDM: SGGDSequence Number: 2719Time of Receipt: Jun 29, 2015 07:12:53 End of Announcement EquityStory.RS, LLC News-Service ---------------------------------------------------------------------------UK-Regulatory-announcement transmitted by DGAP - a service of EQS Group AG.The issuer is solely responsible for the content of this announcement.