Sibneft Confirms Commitment To Dividend Policy

Moscow, 15 May 2002; Shareholders at Sibneft’s annual meeting will be asked to approve a full year dividend for 2001 of 6.11 roubles per share, the board decided at a meeting held yesterday.

This dividend has already been paid to shareholders in two interim payments announced in August and November 2001. The total payout of $983 million (28.97 billion roubles) represents the largest dividend payout in Russian corporate history.

Sibneft’s board reiterated its commitment to the company’s dividend policy, under which the company pledges to return to shareholders in the form of dividends all free cash flow in excess of current and projected investment requirements. The policy calls for the company to make dividend payments at least once a year and pay out an average of at least 15% of net profits.