NNG Shareholders Gain Another Change to Swap

Moscow, 14th, April 1999: Sibneft has announced that following the formal closing of the official NNG exchange offer on March 15th 1999 a major Sibneft shareholder, Runicom Ltd, will continue to exchange shares in Sibneft for those of Noyabrskneftegas ("NNG") and Noyabrskneftegasgeophysica until the end of May.

EUGENE SHVIDLER, PRESIDENT of SIBNEFT, said, "Although the NNG / Sibneft swap offer was widely taken up and Sibneft now controls over 97.5% of NNG's voting shares, a large number of our smallest shareholders, for various reasons, failed to lodge their exchange documents with the company on time. We think it fair that rather than leave them with illiquid stock in a fully consolidated entity, they should have one more chance to convert into Sibneft shares."

Despite the significant recent rise in the Sibneft share price, in the spirit of equitable treatment for all shareholders to which Sibneft is committed in its Corporate Governance Charter, Runicom will continue to offer the former exchange ratio of 8 Sibneft shares for every 1 ordinary NNG share, 4 Sibneft shares for every preferred NNG share.

3 Sibneft shares are offered for every ordinary share of NNG Geophysica and 1 Sibneft share for one preferred share of NNG Geophysica.

EUGENE SHVIDLER concluded, "Sibneft's goal is to create a fully integrated oil company with one common share. I hope the remaining group shareholders who have not yet benefited from the strong rise in the Sibneft share price will now take up this last opportunity to convert."