OREANDA-NEWS. December 25, 2009. A press conference of Sh.F. Takhautdinov, General Director of OAO TATNEFT, for representatives of Federal and Tatarstan mass media was held in OAO TATNEFT. Sh.F. Takhautdinov presented an assessment of the current financial and economic situation of TATNEFT and reported on some of the Company's plans for 2010, reported the press-centre of TATNEFT.

General Director stated that the global financial crisis, which had began at the end of the year before, forced to revise the original plan of OAO TATNEFT for the year 2009 and elaborate a program to maintain financial stability that would optimize the costs and the investment program. According to him implementation of such activities allowed OAO TATNEFT to balance income and expenditures and to achieve the planned financial, economic and industrial indicators.

Crude oil in the amount of 23.65 million tons was produced from the fields of OAO Tatneft during the period of 11 months in 2009 with the above-the-plan production accounting for 408.2 thousand tons. As a result of the Company's efforts, as well as due to the stabilization of world oil prices the Company managed to partially restore the amount of investments for drilling and geological engineering activities in the second half of the year. About 67 billion rubles of profit before taxation is expected as a result of the financial and economic activity for 11 months. The total amount of assessed taxes and payments to the budget of all levels for this period amounted to 154 billion rubles, including the amount of 19.9 billion rubles credited to the budget of the Republic of Tatarstan.

The total crude oil production of TATNEFT for 2009 is expected to reach the level of 25.8 million tons. The net revenues from the sale of shipped products are expected to total 214 billion rubles. It is planned to receive about 68 billion rubles of profit before taxation. The expected amount of assessed taxes and payments to the budget of all levels will exceed 171 billion rubles (with VAT and export duties), including more than 20 billion rubles to the budget of the Republic of Tatarstan.

According to Shafagat Takhautdinov implementation of strategic projects such as construction of the TANEKO complex of refineries and petrochemical plants in Nizhnekamsk, development of extra-viscous oil deposits, development of the license areas outside Tatarstan still remain priority fields for the Company in 2010.

The forecast of the financial and economic activity of OAO TATNEFT in 2010 has been formed on the basis of the macroeconomic environment with the Urals brand oil sale price amounting to US58 per barrel and the exchange rate of 1 U.S. = 33.9 rubles. In accordance with the assumed terms and calculations of the OAO TATNEFT’s financial and economic activities forecast the Company will receive 45.2 billion rubles of profit before taxation. The total amount of assessed taxes and payments in 2010 are projected to total 170.9 billion rubles, including 13.6 billion rubles to be credited to the consolidated budget of the Republic of Tatarstan.

General Director also answered numerous questions of the journalists. In particular, he spoke about the ongoing pilot extra-viscous oil deposits development; preparation of a new energy saving program; implementation of the TANEKO project; development of TATNEFT’s tire production complex. He also informed about the progress of OAO TATNEFT outside Tatarstan, including Syria and Libya. He also addressed the issues of the social policy of the Company, its participation in the republican and national projects.

Forward-looking statements: 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 a 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. OAO TATNEFT assumes no obligations to update the forward-looking statements contained herein to reflect actual results, changes in assumptions or changes in factors affecting these statements.