29 Jun 2012 09:48
OJSC Surgutneftegas / AGM Statement 29.06.2012 10:48 Dissemination of a UK Regulatory Announcement, transmitted byEquityStory.RS, LLC - a company of EquityStory AG.The issuer is solely responsible for the content of this announcement.--------------------------------------------------------------------------- ANNUAL GENERAL SHAREHOLDERS' MEETING FOR 2011 HELD IN SURGUT ON 29 JUNE In line with the agenda, the shareholders approved the annual report and annualaccounting statements of OJSC 'Surgutneftegas', including the profit and lossaccount for 2011.The meeting resolved to declare payment of dividends for 2011 as follows: RUB 2.15per preferred share and RUB 0.6 per ordinary share.The meeting elected the following members of the Board of Directors: S.A.Ananyev,V.L.Bogdanov, A.N.Bulanov, I.N.Gorbunov, V.P.Erokhin, N.I.Matveev, A.F.Rezyapov,T.P.Klinovskaya, and V.A.Shashkov.The meeting elected the Auditing Committee of three people, approved amendments tothe Regulations on the Auditing Committee, and approved LLC 'Rosexpertiza' asauditor for 2012. 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 on the 2011 results, Vladimir L. Bogdanov, Director General of OJSC'Surgutneftegas', said that despite the unstable environment, the Company pursuedits plans, implemented investment projects, and improvedproduction performance.'Because of the long investment cycle of the oil industry, the Company's businessrequires sustainable levels of investments, irrespective of fluctuations inmacroeconomic indices and energy prices. We believe that this approach is the mostreasonable and adequate with regard to implementation of investment projects,consistent development of the Company, and increase in the shareholders' benefit,'Vladimir Bogdanov emphasized. 'In 2011, total capital investments rose 23.5% yearon year to RUB 171.8 bn. Over the last five years, we more than doubled ourinvestments.'In the reporting year, the Company increased its crude output by 2.1%, which ishigher than the average figure for the industry. At year end, Surgutneftegasproduced 60.8 mn tons of crude oil.The Company added 136 mn tons to oil reserves. The cumulative growth of oilreserves over the last five years has exceeded crude output by 80%.Surgutneftegas has the highest ratio of associated petroleum gas utilization inthe sector, which reached an all-time high (97.8%) in 2011.In 2011, the Company processed 7.4 bcm of gas and produced 7.1 bcm of dry strippedgas and approximately 760 thousand tons of liquid hydrocarbons. Production ofliquid hydrocarbons grew by 5.3% compared to the previous year.Refining throughput in the reporting year exceeded 21 mn tons. We are completingthe construction of the deeper refining complex based on residue hydrocrackingprocesses at the Company's refinery. In late 2011, the Company commissioned andtested several units in the hydrocracking complex.Surgutneftegas implements the energy saving program and deploys energy efficienttechnology. In the reporting year, power savings reached 573 MW; energyconsumption savings, 343 mn kWh. Growth of the Company's own power-generatingcapacities is the key element of sound resources management and higher energyefficiency. In 2011, 19 gas turbine power plants and 7 gas piston power plants ofthe Company increased in-house power generation by 16% to 4.2 bn kWh, which coversmore than one third of the Company's requirements.In his report, Vladimir Bogdanov put particular emphasis on the Company'soperations in Eastern Siberia. He said that the Company's fields in this regionmade a major contribution to the production growth. The Company created a modernand reliable base in Yakutia for development of existing and new fields andconstructed almost all production infrastructure. The Company also beganconstruction of its own airport in the reporting year.In 2012, the share of the region in the total oil production is expected to exceed10%.Speaking about the Company's financial performance during the year, VladimirBogdanov noted that improved oil and petroleum products market environment,coupled with the Company's pursuit of operational excellence,led to unprecedented financial results in 2011 since Surgutneftegas has startedits business as a joint-stock company. The Company's net profit for the reportingperiod amounted to RUB 233 bn.'In 2012, Surgutneftegas will celebrate its 35th anniversary,' Vladimir Bogdanovsaid. 'Over those years, we have trodden a long and arduous path to excellenceshowing vigor, commitment, and ability to work effectively inthe toughest environments. And today, we have earned recognition as a trustworthy,highly efficient energy company.Surgutneftegas is a high-sustainability company able to withstand the recessionarytrends. We boast a strong financial position and reserves, a balanced projectportfolio, operational efficiency and highly qualifiedpersonnel. I believe that we will meet the forthcoming challenges despite all thedifficulties, and maintain sustainable business growth along with maximizingshareholder wealth.' 29.06.2012 EquityStory.RS, LLC's 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: AGMLSE Ticker: SGGDSequence Number: 1117Time of Receipt: Jun 29, 2012 10:48:18 End of Announcement EquityStory.RS, LLC News-Service ---------------------------------------------------------------------------UK-Regulatory-announcement transmitted by DGAP - a company of EquityStory AG.The issuer is solely responsible for the content of this announcement.