LUKOIL COMPANY IN IMAGES AND FIGURES

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LUKOIL TODAY

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1% of global oil reserves2.2% of global oil production

0.4% of global gas reserves0.6% of global gas production

LUKOIL operates in 37 countries of the world.

Exploration 11 countries

Proven oil reserves 6 countries

Proven gas reserves 4 countries

Oil production 6 countries

Gas production 4 countries

Oil Processing 6 countries

Petrochemical 3 countries

Fueling Stations 27 countries

LUKOIL among the global private companies:Number 1 in the amount of proven oil reservesNumber 3 in the amount of proven HC reservesNumber 3 in oil productionNumber 6 in HC production

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OIL PROCESSING

1.6% of global oil refining capacity1.8% of global refining volumes

Total refineries' capacity

71.5 mln tons per annum

6 refineries in Russia, including two mini-refineries3 refineries overseas: Ukraine, Bulgaria, Romania60% in the oil refineries in Italy 45% in the oil refineries in Netherlands

16.1% of the all-Russian oil refining capacity18.2% of the all-Russian oil refining volumes

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REFINED PRODUCTS

6,508 petrol stations in 27 countries Motor fuels of Euro 4 and Euro 5 standards230 types of lubricants44% of overall Russian lubricant production

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ENVIRONMENTAL PROTECTION -OUR TECHOLOGY

ENVIRONMENTAL PROTECTION COSTS, million USD

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HUMAN CAPITAL130,000 specialists 60 Russian regions 37 countries of the world:

AsiaEuropeAfricaMiddle EastNorth AmericaLatin America

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S.C. PETROTEL – LUKOIL S.A. Refinery was founded in 1904 under the name ROMANIAN – AMERICAN REFINERY, upon the initiative of Standard Oil of New Jersey. In 1903 officials of Company “Standard Oil” lay the basis of an oil exploitation and trade company, purchasing and assigning oil lands in Prahova and Moldova counties.

In 1998, the Refinery is included on the privatization list of the Romanian Government and it is taken over by LUKOIL Company, changing its name on 12th of June 1998 in “PETROTEL-LUKOIL”.

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Major investment was done between 2003 -2004 and brought revamps within:

Crude-Oil Atmospheric and Vaccum Distillation Plant( DAV3) Gasoline Hydrofining Plant ( HB ) Catalytic Reformation Plant ( RC ) Oil-Diesel-oil Hydrofining Plant( HPM ) Catalytic Cracking Plant ( CC ) Delayed Catalytic Cracking Plant Gas Desulphiding and Sulphur Recovery Plant ( DGRS ) .

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Cat. Cracking Gasoline Hydrodesulphiding ( HDS – CC ) Hydrogen Plant C5-C6 cut Isomerization Plant MTBE &TAME Plant Reconstruction work within steam and power plants, pre-treatment and

treatment of waste waters, as well as measures for the cut of the technological losses, applying changes for oil tanks, a new conception of their quantity management and the revamp of the unit for gas recovery from flare system.Goal of project development: to achieve the best technology for the plants, so that we provide products according to the quality under European, Worldwide standards. Moreover, to comply with customer requirements for r2010 – 2015 and to provide the legal frame of environment issues.

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As a result of the afore-mentioned revamp, the processing-depth hasincreased from 87,9% to 98%. The yield of the white products has increasedfrom 73,3% to 81,7%. Starting with 2005 PETROTEL-LUKOIL has totallypassed from the oil products manufacturing according to Euro 4 standardsand starting with 2008 - Euro5.

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In 2007 we have obtained The Environment Integrated Certificate in compliance with Resolution 96/61/CE and Government Resolution (OUG) 152/2005 regarding the prevention and control of pollution. Within this document, there was issued a staged action plan to provide full compliance of the refinery with National and European requirements in the field of environment. The investment achievement, over 120 mln $ targets that by the end of 2014, the legal transition time, PLK will have complied with all legal requirements.

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The high technology obtained within plants has brought visible effects for environment:

-40% cut of techological losses-diminishing volatile organic compounds -diminishing of the pollutants within waters that reach the treatment stationsMoreover, reducing power consmption has resulted into the decrease of the

greenhouse gas effect by 10%.

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The investment that has been done in this field comply with BAT, trying to reduce the pollutant emissions for some of the sources and to improve teh quality of the air in the influence area of the refinery. We would liek to mention some of them:

TAIL GAS Plant – effect: the increase of the conversion rate within Sulphur Recovery Plant to min. 99%;

CLAUS II Unit– thus increasing the processing capacity of the refinery gas and the capacity of sulphur manufacturing;

Waste Water Stripping Plant and its integration within Claus Plants-achieving a significant cut of the SO2 emissions, thus leading to an improvment of the water quality to the treatment station of the refinery;

Providing the tanks with inner membrans or double sealing systems , revamping the loading arms with vapour recovery units.

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A major work towards which the Refinery directs the Company human and financial efforts is that of the lagoon treatment.

When LUKOIL bought the Refinery (former Teleajen) took over five lagoons. For these lagoons, called hystoric lagoons, Company LUKOIL took its legal obligation to eliminate pollution and to comply with European Directive within waste field. Up to present time, there have been treated two of the five lagoons, the others being processed on time and upon legal framework.

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Four objectives are on PETROTEL-LUKOIL list for short-timed plans regarding the work dedicated to environment:

To control emissions within CC Plant accroding to BAT; To complete the work of revamp of the Gas Desulphiding Plant, gas used as

fuel for the techonological heaters; To treat soil totally on the entire platform; To treat its lagoons.

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Refinery PETROTEL-LUKOIL intends to achieve an Investment Schedule(abt. 300 mln $), towards main directions of activity: The achievement of its objectives for Environment Safety; The cut of technological losses up to 0, 4 % gr; The cut of EII indicator up to the level 90 %; The cut of PI indicator up to level 170 (h/man EDC); The implementation of the advanced automatization system for the

technological processes.

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Thank you for your attention!