Rosneft geologists have discovered a new high-yield oil deposit in the western part of the Sladkovsko-Morozovsky oil and gas region of the Slavyansko-Temryuksky license field in the Krasnodar Region. Recoverable reserves are initially estimated at over 500,000 tons of oil.

The first well in development is Zapadno-Mechetskaya No. 4 at a depth of 3,525 meters. Preliminary results indicate that the deposit has significant potential. Expected well production could be between 220 and 350 tons of oil per day.

Rosneft has stepped up exploration work in the Krasnodar Region in line with management goals set out during the working visit of Rosneft President Eduard Khudaynatov to the region in December 2010. The company is also developing a reserve replacement program in the southern regions of Russia in which it operates. The program will include deposits controlled by Krasnodarneftegaz, Stavropolneftegaz and Grozneftegaz, as well as deposits in Dagestan and Ingushetia. The program will run between 2012 and 2020.

One of Russia’s oldest oil and gas provinces is located in the Krasnodar Region, where oil deposits have been developed since the end of the 19th century. The region has been well explored and is considered to have highly depleted deposits (85-87%) making it challenging to discover new deposits in the area.

Commenting on the discovery of the new field, Rosneft President Eduard Khudaynatov noted: “The flow rate on this well is the most significant of any discovery in the last ten years, productivity is ten times the average for Russia. The discovery of such a deposit in such a well explored oil and gas province is the result of new project solutions and serves as a strong example of Rosneft's reserve replacement program.”

In 2010 Krasnodarneftegaz extracted 950,000 tons of oil and gas condensate and 2.8 billion cubic meters of gas. Krasnodarneftegaz has proven reserves of 10.13 million tons of oil and 48.528 million cubic meters of gas.

Rosneft Information Division
Tel.: +7 (495) 411 54 20
Fax: +7 (495) 411 54 21
June 27, 2011

These materials contain statements about future events and expectations that are forward-looking in nature. Any statement in these materials that is not a statement of historical fact is a forward-looking statement that involves known and unknown risks, uncertainties and other factors which may cause actual results, performance or achievements expressed or implied by such forward-looking statements to differ. We assume no obligations to update the forward-looking statements contained herein to reflect actual results, changes in assumptions or changes in factors affecting these statements.