OREANDA-NEWS. April 06, 2012. The Board of Directors of JSOC Bashneft at the scheduled meeting held approved the implementation status of the Company’s functional strategy on managing oilfield service companies and the measures for implementing it.

In accordance with the strategy, Bashneft will establish 100% subsidiaries that will operate as service companies forming an indispensable part of production process (such as refinery service, communications and IT, research and development, energy service).

The strategy also involves establishing an oilfield service holding company in the current year on the basis of market-oriented service companies specializing in drilling, well workover, oilfield equipment manufacturing, technical support for production, capital and road construction and transport.

Bashneft will purchase services from all service companies (including its subsidiaries) on market terms. All service companies submitting tenders to Bashneft will have to meet the same requirements for technical equipment, workforce qualifications, and compliance with occupational health and safety regulations.

In the future Bashneft is planning to divest the companies which form part of the holding company in order to enhance their operational efficiency and create a competitive environment in line with international practices. Potential buyers of these enterprises will have to assume responsibility for ensuring social protection of the employees.

The Board of Directors removed a member of the Executive Board Viktor Mishnyakov from office before the end of his term, approved Igor Marchenko as Bashneft’s Vice-President in the Strategy and Development Department for a three-year term and elected him to the Executive Board.

The Board of Directors also approved the action plan to hand over the powers of the sole executive body of OJSC Ufaorgsintez to the managing company OJSC United Petrochemical Company. The Board of Directors instructed Bashneft’s representatives to vote in favor of this plan at the Extraordinary Meeting of Shareholders of OJSC Ufaorgsintez in May 2012.

At the Meeting, the Board of Directors also considered other issues concerning the Company’s current operations, including preliminary results of budget implementation for the fourth quarter 2011 and for the full year 2011; updating regulations on human resources management.

Note: Igor Valentinovich Marchenko was born on April 23, 1968. He graduated from Moscow State Institute of Radioengineering, Electronics and Automation in 1994, and from the Graduate School of International Business of the Academy of National Economy under the Government of the Russian Federation in 1998. In 1994–1997, he worked as a project manager for the Russian Oil Initiative consultant agency. In 1997–2006, he held various positions in OJSC Sibneft, where he started as the Chief Economist and the Head of Department and eventually became the Head of the Strategic Development Department. From February to October 2006, he was a Director for Financial Consulting of the Financial Consulting Department of Renaissance Capital Financial Consultant LLC. From November 2006 to November 2007, he held the position of the Development Director of ITERA Oil and Gas Company LLC. In 2007–2009, he worked as a Vice President for Development in JSC  NK RussNeft.

In 2009, Igor Marchenko joined AFK Sistema. In 2009–2011, he worked as an Executive Vice-President of Sistema Corporation, the Director of the Strategy Department of the Fuel and Energy Business Unit. Since April 2011, he has been an Executive Vice-President for Development of Oil Assets of the Core Assets Business Unit of Sistema Corporation.