Social Programs and Charity

Rosneft’s social policy is integral part of its development strategy. The Company implements a wide range of social programs in the interests of thousands of people in various regions of Russia. In 2007, the Company invested RUB 14.2 bln. (USD 556 mln.) in its social programs, which in terms of their scope are on a par with those of the world’s largest corporations.

Rosneft is particularly concerned about social welfare of its employees. The Company strives to provide its staff with safe and comfortable working conditions, equal opportunities for professional and personal development, and decent living conditions upon retirement. The Company is also implementing a housing construction program and a corporate mortgage program to continuously improve the housing conditions of its employees and their families. In addition, the Company finances comprehensive healthcare programs, measures to promote healthy lifestyle, and various recreational activities.

Another key priority for Rosneft is ongoing socioeconomic development of the regions where the Company operates. In accordance with regional agreements, Rosneft is implementing large-scale housing development programs and actively participates in the construction of educational and healthcare facilities, cultural centers, sports facilities, as well as in local infrastructure development. The Company pays particular attention to improving the living conditions of indigenous minorities of the Russian North and Far East.

Rosneft is also engaged in charitable and sponsorship activities to provide financial aid to educational establishments, creative and sporting associations, etc. Seeking to contribute to the preservation of national cultural and religious heritage, the Company actively participates in the construction and renovation of churches. Furthermore, Rosneft constantly improves the social welfare of retirees and veterans by providing them with comprehensive financial assistance.

Rosneft’s social programs and charitable activities are in line with housing, educational, and healthcare national projects currently being implemented by the Russian Government.

In 2007, Rosneft and its subsidiaries were nominated in recognition of their achievements in several categories at the 7^th National Competition, The Enterprise of High Social Efficiency, which is organized by the Russian Government. LLC Rosneft-Purneftegaz won the Social Programs award, LLC Rosneft-Severnaya Neft and LLC Rosneft-Nakhodkanefteprodukt took the second place in the Compensation and Charity categories, respectively, whereas LLC Rosneft-Krasnodarneftegaz won an industry award.