OJSC “Surgutneftegas” summed up its preliminary operating results for 2003 with substantial growth shown practically across all operating indicators.

Oil production rose by 10% to over 54 mln. tons, gas production increased by over 4% to nearly 13.9 bn. cubic meters. The Company put onstream 4 new oil fields including Tretyakovskoe, Zapadno-Chigorinskoe, Ulyanovskoe and Severo-Seliyarovskoe. Drilling rose by 5% against 2002 to over 3 mln. meters.

Surgutneftegas explored 37 structures and 23 fields. Exploratory drilling totaled 244,100 meters, which resulted in discovery of 5 new fields and 9 deposits of oil.

The Company commissioned 929 new wells, constructed 533.6 km of pipe-lines, 93.7 km. of motor roads, 247.0 km of 6 KV high-voltage power lines and 117.3 km of 110 KV high-voltage power lines.

Surgutneftegas constructed a gas filling station and 10 new petrol filling stations in Western Siberia and in the operating area of Surgutneftegas marketing subsidiaries in the northwest of Russia. Eight filling stations were upgraded to meet international service standards.

The Company gas turbine power plants generated 280 mln. kWh with construction of 5 new plants yet to be completed.

Surgutneftegas Gas Processing Division processed 3.788 bn. cubic meters of gas, produced 3536.164 mln. cubic meters of stripped gas, 330,258 tons of gas liquids, 7,030 tons of propane, 96,517 tons of gasoline and distillates.

Business-plan for 2004 calls for further growth in oil production up to 57 mln. tons with prospects of hitting 60 mln. tons target. In 2004 Surgutneftegas is to invest over RUR 40 bn, commission at least 891 new wells, drill over 300 side-tracks and perform 321 hydrofracs.

Press Service of OJSC “Surgutneftegas”