Sibneft Appoints New President


Moscow 14th July 1998: The Board of AO Siberian Oil Company ("Sibneft") met today and accepted the resignation of the Company PRESIDENT, Mr. ANDREY BLOCH. Mr. Bloch has resigned to spend more time on projects outside of the company.

The Board of Directors noted Mr. Bloch's contribution particularly in the early development and establishment of the company. In December of 1995 he was appointed First Vice President of Sibneft and over a remarkably short period he created an integrated management team which was instrumental in the transformation of Sibneft into a leading Russian company.

In 1996 Mr. Bloch spearheaded the development of the Sibneft marketing programme for refined products which was critical to the Company's development. The Company increased its presence in key markets. Beyond the Siberian region the Company gained presence in the Urals region and European Russia, including the Moscow region.

Mr. Eugene Shvidler, the First Vice President of Sibneft will assume the responsibilities of President until the next AGM. Mr. Andrey Gorodilov, currently Vice President, will assume the responsibilities of First Vice President.