Employees Conference

30 Jan 2008 07:00

O.A.O. Tatneft29 January 2008 29 January 2008 On 29 January 2008 OAO Tatneft ("Tatneft" or the "Company") issued a pressrelease addressing certain results of 2007 (the "Press Release") discussed atthe annual conference of Tatneft's employees that took place on 29 January 2008. The preliminary non-consolidated results of the Company for 2007 that werediscussed in the Press Release included, inter alia: • the Company's oil production in 2007 is 25,740,000 tones of crude in2007, an increase of 1.3% from 2006; • it is expected that sales in 2007 would be 198 bln rubles, an increaseof 24 bln rubles from 2006; • Tatneft's profits before tax in 2007 would be approximately 64 billionrubles, an increase of 27% from 2006; and • Tatneft's petrochemical complex sales are expected to reach 24.4 blnrubles and increase of 14.6% from 2006, and profits before tax are expected toreach 1.8 bln rubles, an increase from 197 mln rubles in 2006. Further Tatneft's 2007 results and activities were discussed in the PressRelease: • Tatneft continued tests of technology for pilot production of bitumenon Ashalchinsky oil field employing a unique system of two pairs of two parallelhorizontal wells with debit of 20 tons per day. So far, more than seven thousandtons of bitumen oil were produced. On 27 September 2007 Tatneft and ShellExploration Company (RF) B.V. entered into Agreement on Principles of StrategicPartnership in order to accelerate development of bitumen oil deposits andemploy the most modern technologies and equipment; • the Company owns licenses for 28 oil deposits in five Russian regionsoutside the Republic of Tatarstan; in 2007 several new deposits were discoveredin the Samara Region and the Nenets Autonomous District. Overall production ofoil and gas outside the Republic of Tatarstan increased four times in 2007 incomparison with 2006; • Tatneft is performing several service contracts in Vietnam, Oman andSaudi Arabia and is performing two large exploration and development projects inLibya and Syria; • the Company continued its environmental and social activities; and • further, Tatneft's employees accepted the terms of a new collectiveagreement for 2008. Press-Service of OAO Tatneft Forward-looking statements: This information contains certain forward-lookingstatements of OAO Tatneft. OAO Tatneft can give no assurance that any of theevents mentioned in such statements will occur, or as to the precise timing oftheir occurrence. This information is provided by RNS The company news service from the London Stock Exchange