Samaraneftegaz

Samaraneftegaz is the largest oil and gas producer in Russia’s Samara Region and the second largest production unit of Rosneft after Yuganskneftegaz. It was established in May 1994 by transforming the Kuibyshevneft industrial association into a joint-stock company. Rosneft acquired Samaraneftegaz at an auction held in May 2007.

As of year-end 2008, Samaraneftegaz held over 130 exploration and development licenses. In 2008, hydrocarbon production was underway at more than 110 fields. Samaraneftegaz’s largest fields are West-Kommunarnoye, Belozersko-Chubovskoye, Ozerkinskoye, and South-Neprikovskoye. The company’s fields have access to Transneft’s trunk pipelines running through the Samara region. Crude oil is supplied for processing to Rosneft’s Kuibyshev, Novokuibyshevsk and Syzran refineries. Proximity of fields to Russia’s biggest oil refining center ensures the high economic efficiency of crude oil production.

In June 2007, Samaraneftegaz won the Regional Mineral Resource Agency’s auction of development licenses to the Sovetsky (Kinelsky region) and Biryukovsky (Bogatovsky region) oil blocks, which both have access to the company’s production infrastructure. The company paid RUB 932 mln (USD 36 mln) for the licenses.

In March-May 2008 Samaraneftegaz obtained two licences for exploration and production of hydrocarbons subsequent to discovery of the Kiselevskoye and South-Butlerovskoye fields in Samara Region. The licenses are valid for 20 years.

Samaraneftegaz produced 70.3 mln barrels of oil and gas condensate and 0.33 bln cubic meters of gas during 2008. Thanks to increased development and use of the latest technologies a 2.3% increase in oil and gas condensate output was achieved at Samaraneftegaz fields in 2008 compared with 2007.

Major fields: West-Kommunarnoye, Belozersko-Chubovskoye, Ozerkinskoye, and South-Neprikovskoye.

Samaraneftegaz’s reserves (PRMS, DeGolyer & MacNaughton, as of December 31, 2008)

Proved hydrocarbon reserves, mln boe	1,003
Proved oil reserves, mln barrels	970
Proved gas reserves, bcm	5.6

Probable hydrocarbon reserves, mln boe	482
Probable oil reserves, mln barrels	472
Probable gas reserves, bcm	1.7

Possible hydrocarbon reserves, mln boe	569
Possible oil reserves, mln barrels	552
Possible gas reserves, bcm	2.8

Samaraneftegaz’s hydrocarbon production (100%)

	2006	2007	2008
Oil, thousand tonnes	9,309	9,391	9,606
Oil, mln barrels	68.1	68.7	70.3
Gas, mcm	287	293	327

Rosneft’s share in Samaraneftegaz’s hydrocarbon production

	2006	2007	2008
Oil, thousand tonnes	0	5,996	9,606
Oil, mln barrels	0.0	43.9	70.3
Gas, mcm	0.0	173	327

Samaraneftegaz’s operating highlights

	2007	2008
Exploration drilling, thousand m	6.2	4.3
2D seismic, linear km	1,428	1,190
3D seismic, square km	283	50
Production drilling, thousand m	21.5	44.9
Producing oil wells, units	4,232	4,088
New production wells, units	9	13