Presentation 2Q09 - English audio (presentation only)

2 Q 2009 US GAAP Financial and Operating Results

September 9, 2009

2

Disclaimer

This presentation contains forward-looking statements concerning the financial condition, results of operations and businesses of Gazprom Neft and its consolidated subsidiaries. All statements other than statements of historical fact are, or may be deemed to be, forward-looking statements. Forward-looking statements are statements of future expectations that are based on management’s current expectations and assumptions and involve known and unknown risks and uncertainties that could cause actual results, performance or events to differ materially from those expressed or implied in these statements. Forward-looking statements include, among other things, statements concerning the potential exposure of Gazprom Neft to market risks and statements expressing management’s expectations, beliefs, estimates, forecasts, projections and assumptions. These forward-looking statements are identified by their use of terms and phrases such as ‘‘anticipate’’, ‘‘believe’’, ‘‘could’’, ‘‘estimate’’, ‘‘expect’’, ‘‘intend’’, ‘‘may’’, ‘‘plan’’, ‘‘objectives’’, ‘‘outlook’’, ‘‘probably’’, ‘‘project’’, ‘‘will’’, ‘‘seek’’, ‘‘target’’, ‘‘risks’’, ‘‘goals’’, ‘‘should’’ and similar terms and phrases. There are a number of factors that could affect the future operations of Gazprom Neft and could cause those results to differ materially from those expressed in the forward-looking statements included in this presentation, inclusively (without limitation): (a) price fluctuations in crude oil and oil products; (b) changes in demand for the Company’s products; (c) currency fluctuations; (d) drilling and production results; (e) reserve estimates; (f) loss of market and industry competition; (g) environmental and physical risks; (h) risks associated with the identification of suitable potential acquisition properties and targets, and successful negotiation and completion of such transactions; (i) economic and financial market conditions in various countries and regions; (j) political risks, project delay or advancement, approvals and cost estimates; and (k) changes in trading conditions. All forward-looking statements contained in this presentation are expressly qualified in their entirety by the cautionary statements contained or referred to in this section. Readers should not place undue reliance on these forward-looking statements. Each forward-looking statement speaks only as of the date of this presentation. Neither Gazprom Neft nor any of its subsidiaries undertake any obligation to publicly update or revise any forward-looking statement as a result of new information, future events or other information.

3

Management Participants in Today’s Call

Vadim YakovlevDeputy Chairman of the Management Board and CFO

Anatoly ChernerDeputy Chairman of the Management Board, Deputy CEO for Refining and Marketing

Yuri KalnerHead of Strategic Planning Department

Boris ZilbermintsDeputy Chairman of the Management Board, Deputy CEO for Exploration and Production

4

2 Q and 1H 2009 Highlights

• Increase in Daily Production +2,9% in 2Q 2009

• Rebranding program launched - 230 new style stations by the end of 2009

• Consolidation of Sibir Energy

• Consolidation of Moscow Refinery

• Acquisition of Chelyabinsk region retail chain (+ 41 gas stations and 2 tank farms) – April 2009 (approx. $ 35 MM)

5

Key macroeconomic factors: crude pricing environment is steadily improving

• In 2Q09 Brent prices averaged at $59/bbl (-51% y-o-y, +34% q-o-q), Urals prices averaged at $59/bbl (-50% y-o-y, +33% q-o-q)

• In 2Q09 Russian Ruble depreciated vs. US Dollar by 27% y-o-y and appreciated by 5% q-o-q.• In 2Q09 Russian CPI inflation stood at 2,0% vs. 3,9% in 2Q08 and 5,4% in 1Q09.• Despite 50% average Urals price decline y-o-y in 2Q09 to 59/bbl, crude exports netback adjusted downwards by

MET reduced only 42% to $25/bbl.

Source: Platt’s, Federal Statistics Service, Company data, Central Bank of Russia, Argus

Crude pricing, RUR/USD Rate (eop) Crude Export Profitability (per bbl)

20

40

60

80

100

120

140

160

Jan-08 Apr-08 Jul-08 Oct-08 Jan-09 Apr-095

10

15

20

25

30

35

40

Urals, $/bbl (lhs) RUR/$ rate (rhs)

($40)

($20)

$0

$20

$40

$60

$80

$100

$120

$140

$160


Crude export netback less MET in Western Siberia MET Crude export duty Urals (cif Novorossiysk)

Urals down 50%

Netback less MET down 42%

58,5

117,4

35,925,2

6

42.3% 21.2% 9%

Key macroeconomic factors: crude exports netback outperformed refining netbacks in 1H09

Source: Company data

• One of the key trends observed both in 1H09 and 2Q09 was sharp reduction of refining profitability in Russia. In 2Q09 refining netbacks at all Gazprom Neft’s refineries was lower than that of crude oil export shipments.

• Going forward given crude prices staying at current level and recovered domestic prices for oil products refining netback should again exceed that of crude exports.

41.2% 18.7% 8%

ONPZ MNPZ YANOS

Refining netback, $/bblCrude exports netback, $/bblCIS crude exports netback, $/bbl

ONPZ MNPZ YANOSONPZ MNPZ YANOS

62,1

60,7

33,5

35,2

23,8

22,5

72,5

66,763,4

24,3

21,6 21,7

32,2 30,9 29,5

2Q08 1Q09 2Q09

7

$1 534

$3 607

1H08 1H09

$5 413$2 459

1H08 1H09

$18 002

$9 365

1H08 1H09

• Existing fiscal regime was the main contributor to thesurpassing quarterly EBITDA growth

• Rouble appreciation and commitment to Refining played negative role in EBITDA growth

• Gain from Sibir Energy acquisition and Fx gain were the main reasons for outstanding Net Income growth

$9 957 $10 085$4 988 $4 185 $5 180

2Q08 3Q08 4Q08 1Q09 2Q09

Gazprom Neft’s Key Financials, $ mln

Revenues*

EBITDA

Net Income

(48%)24%

(48%)

$3 204 $2 765

$416 $957 $1 501

2Q08 3Q08 4Q08 1Q09 2Q09

(55%)

$2 196 $1 594

-$543

$335$1 200

2Q08 3Q08 4Q08 1Q09 2Q09

(57%)

(53%)57%

(45%)258%

* Revenues for 2007 and 1-3Q08 were adjusted for excise tax that was previously excluded (2007 –$ 0.7B; 1Q08 – $0.2B, 2Q08 - $0.3B; 3Q08 - $0.8B)Source: Company data

• Oil price fluctuations drove Revenues up Q-o-Q and down Y-o-Y

• High Refining share in crude balance constrained quarterly revenue growth

EBITDA includes the Company’s share in its equity affiliates (Slavneft , Tomskneft, Moscow refinery and Salym Petroleum Development) EBITDASource: Company data

8

Operating Results

9

7,3 7,4 7,7

0,22,2 2,3 2,41,3 1,4

0,2

1,3

1Q09 2Q09 2Q08Ow n Production NIS Slavneft* Tomskneft* Sibir Energy

3,2 3,9 2,5

0,4 0,40,3

3,53,9

4,2

1Q09 2Q09 2Q08

Export Export CIS Domestic

0,80,8

0,8

4,1 3,54,4

1Q09 2Q09 2Q08

Crude export Crude export to CIS Crude domestic

Crude output (MM Tonnes)

11,50.3

Operational Performance

* Production figures include 50% of Slavneft and TomskneftSource: Company data

Crude Oil Sales (MM Tonnes)

Refining (MM Tonnes)

Oil Products Sales (MM Tonnes)

7.0 7.18.2

11,0

4,4 4,9 4,90,6 0,81,7 1,6 1,6

0,8 0,6

1Q09 2Q09 2Q08Omsk NIS Yaroslavl Moscow

(0,9%)3,6% 8,0% 14,1%

(15,7%) (18,9%) 17,1% 15,5%

5.14.3

5.30,2 0,2

7,5 8,1 7,10.8

11,4

10

75

77

79

81

83

85

87

89

Jan-08 Apr-08 Jul-08 Oct-08 Jan-09 Apr-09 Jul-09

Upstream: core assets daily output is surprising on the upside


January average –81 282 tonnes/day

June average –82 567 tonnes/day

August average –83 317 tonnes/day

March average –80 273 tonnes/day

11

178

122160171

151

55,451,155,7 53,454,2

2Q08 3Q08 4Q08 1Q09 2Q09Average flow at new wells, Tonnes per day

Number of New Wells Launched*

Sporyshevskoye 5,9%

Others 31,4%Sugmutskoye

13,1%

Priobskoye 24,6%

Krapivinskoye 3,5%

Sutorminskoye 7,8%

Vyngapurovskoye 11,3%

Muravlenkovskoye 2,4%

Muravlenkovskoye 2,3%

Vyngapurovskoye 12,2%

Sutorminskoye 7,7%

Krapivinskoye 3,1% Priobskoye

26,4%

Sugmutskoye 12,1%

Others 30,6%

Sporyshevskoye 5,6%

Oilfield Development

638

434494575524

2Q08 3Q08 4Q08 1Q09 2Q09

2Q091Q09

Production Drilling (Th. Meters)

Gazprom Neft Production by Field*


*Gazprom Neft data not including its share in equity affiliates (Slavneft , Tomskneft) and NIS

• Quarterly Organic production growth driven by:• Increased drilling• More new wells launched• Improved average flow rate at new wells • Production well stock optimization

• Priobskoye (+13 749 bbl a day) and Vyngayakhinskoye (+3 457 bbl a day) are leaders in terms of quarterly organic extraction growth

12

• Omsk refinery tends to be one of the most technologically advanced in Russia

• High gasoline and light products yield favors Gazprom Neft in case of equalization of export duty for heavy and light products

• Modernization at Moscow refinery is more visible in view of Sibir Energy acquisition

Refineries complexity

Fuel Oil22%

Other15%

Diesel35%

Gasoline28%

Oil Products Slate, % (6M08 and 6M09)


Refining Conversion Ratio, %

50556065707580859095

100

6M08 9М08 2008 3М09 6М09

Omsk

Moscow

Yanos

2009

2008

3,624

0%10%20%30%40%50%60%70%80%90%

100%3,869

0%10%20%30%40%50%60%70%80%90%100%

+13%

+16%

-29%

Fuel Oil19%

Other20%

Diesel32%

Gasoline29%

Other Gasoline Low-octaine gasoline High-octaine gasoline

13

673777 782

865 896

435

133

31 Dec, 2005 31 Dec, 2006 31 Dec, 2007 31 Dec, 2008 30 Jun, 2009

0,7 0,8 0,7 0,6 0,7

0,30,5 0,4

0,30,4

2Q08 3Q08 4Q08 1Q09 2Q09

Retail network other premium sales*

4,4 4,4 4,1 3,6 4,0

2Q08 3Q08 4Q08 1Q09 2Q09

Oil Products Marketing expansion


* Other premium sales includes sales of new business units – bunkering, aero fuelling and lubricants business

• Oil products sales through premium channels grew by 22% in 2Q09

• Own retail network (including NIS and Sibir) totaled 1 514 gas stations

Retail – Most Efficient Downstream Segment+15% +1% +11% +4%

+30% -15% -18%

Oil Products Sales in Russia (MM Tonnes)

Oil Products Sales Throughpremium channels (MM Tonnes)

Number of Active Gas Stations

Kirgizia Chelyabinsk region

+40 gas stations

Sales regions

Italy Serbia

Belorussia

Kazakhstan

Khabarovsk

Murmansk

Archangelsk

Ust-Luga

Novorossiysk

Caucasus Harbor

New assets -1H 2009

Bunkering

Airports

1,01,3

1,1 0,91.1

22%

NIS

Sibir

14

Rebranding campaign

Retail – Most Efficient Downstream Segment

• 45 filling stations are operating under new style; rebranding activity is on the way on 43 stations

• In 2009 a new brand is to be introduced at 230 fuelling facilities operating currently under different brands

• By the end of 2011 there will be 1003 gas stations under GazpromNeft brand

15

Financial Results

16

Sales breakdown

Source:Company data

30%

1%29%

0%

4%32%

3%

1%

Revenue Breakdown 1Q09

1Q09 2Q09Total revenues 4 185 5 180 24%Crude export 1 231 1 410 15%Crude CIS 137 209 53%Crude domestic 33 9 (73%)Products export 1 310 1753 (34%)Products CIS 148 172 16%

148519

123

1 18332

111

Change, %

Other 11%

Products domestic 26%Gas sales (41%)

Revenue Breakdown 2Q09

27%

0%29%

2%

3%

35%

4%

0%

Crude Export

Crude CIS

Crude domestic

Products export

Products CIS

Products domestic

Gas

Other

17

Taxes: Gazprom Neft benefited from lagging export duties and reduced MET

Duty lagging effect gaining ground in 2Q08 & 2Q09, $/t Actual MET vs. “OLD” MET, per bbl

• In 2Q09 Gazprom Neft’s export duty payables grew only modestly by 6,9% q-o-q to $623 mln despite strong Urals price growth by 16,6% to $58/bbl as a result of duties calculation lagging effect. Thus in 2Q09 Gazprom Neftwas benefiting from limited duties increase.

• Following MET formula calculation amendment incorporating increased crude threshold price from $9/bbl to $15/bbl effective from January 1, 2009 Gazprom Neft had net benefit of $1,3/bbl for all crude volumes produced domestically both in 2Q09 and 1H09.

0

100

200

300

400

500

600

700


+/- Actual duty Theoretical duty

$0

$5

$10

$15

$20

$25

$30


+/- MET Old MET

18

Costs under control

• In 2Q09 most of cost lines declined y-o-y following Ruble devaluation in the beginning of 2009. Upstream operating costs were down by 20% y-o-y to $291 mln. Downstream operating costs were down 10% y-o-y to $136 mln. Transportation cost in 2Q09 reduced only marginally by 1% y-o-y to $428 mln as devaluation effect was diminished by transportation tariffs hikes in the beginning of 2009. SG&A costs were up 20% y-o-y neglecting devaluation effect due to NIS and marketing units consolidation starting from 2009.

• Q-o-Q costs analysis shows Gazprom Neft’s modest cost increase if adjusted for real Ruble appreciation vs. US Dollar of 10.9% in 2Q09.

4,56

6,83

6,00

5,33

5,13

2,242,86

3,182,94

2,55

4,74 4,844,49

4,27

4,67

5,915,24

4,805,15

5,80

2,02,53,03,5

4,04,55,05,5

6,06,57,0

2Q08 3Q08 4Q08 1Q09 2Q09Upstream DownstreamTransportation SG&A

6%17%330282SG&A

1%12%428382Transportation

-5%5%136 129 Downstream2%13%291258Upstream

-1%10%427387Operating:

QoQA*QoQ2Q091Q09

Unit costs dynamics, $/bbl Absolute costs dynamics, $ mln

298

386

123262

385

2Q09A*

A* - adjusted for real Ruble appreciation vs. USD of 10.9% in 2Q09

19

EBITDA is on strong recovery track

32,2%

27,4%

8,3%

22,9%

29,0%

0%

6%

12%

19%

25%

31%

37%

2Q08 3Q08 4Q08 1Q09 2Q09

17,9

11,55,0

32,537,6

0

5

10

15

20

25

30

35

40

2Q08 3Q08 4Q08 1Q09 2Q09

• In 2Q09 Gazprom Neft’s adjusted EBITDA reduced by 53% y-o-y and increased by 57% q-o-q to $1 501 mln.

• Adjusted EBITDA per barrel of production in 2Q09 is down 52% y-o-y and up 52% q-o-q to $17,9/bbl.

• In 2Q09 adjusted EBITDA margin of 29% almost restored its pre-crisis record values.

Adjusted EBITDA MarginAdjusted EBITDA per barrel ($/bbl)

20

806 883 830475 717

63617

191282

1 264

2Q08 3Q08 4Q08 1Q09 2Q09Capex Free cash Flow

+49%

+50%

-61%

$1 498$2 075

-$502

-$1 197

-$2 219

$1 676

$1 665

Consistent Cash Performance

Available Net Cash Flow (US$MM)

• Debt used for refinancing and M&A• Capex financed by operating cash flow• $1.5B of cash remained at end 2Q09

31.12.2008 Operating Cash Flow

Capital Expenditures

Other (Investing Activities)

Debt Net Change

Dividends 30.06.2009


Operating Cash Flow (US$MM)

$1 717

$52

$1 197

$502

$2 564

$888

$2 000

$219$577

Sources Uses

Operating Activity (excl. Working Capital) Working CapitalCapital Expenditures DividendsDebt Received Debt RepaidInvestment OtherCash Increase/Decrease

Cash Sources and Uses (US$MM), 6m 2009

-21%

1 442

2 147

847666

999

21

• 2Q09 CAPEX is 11% below that in 2Q08 due to Ruble devaluation effect and CAPEX efficiency increase.

• In 2Q09 upstream CAPEX grew only modestly by 9% q-o-q to $399 mln

• In 2Q09 refining CAPEX almost tripled vs. 1Q09 level to $204 mln. due to the acceleration of upgrade programs at the Company’s processing facilities

• In 2Q09 Marketing and Distribution CAPEX more than doubled vs. 1Q09 to $114 mln due to the launch of the wide-spread rebranding program by the Company’s marketing units.

Organic Capex Breakdown

184 175

398181 224

323

72

20443

1144242

1Q09 2Q09 2Q08

Upstream - Brown Fields Upstream - Green Fields Refining Marketing & Distribution

1Q09 2Q09 2Q08$6.9/bbl

$4.6/bbl

$13.5/bbl

Upstream $7.3/bbl $12.6/bbl

Brown Fields $4.4/bbl $9.1/bbl

Green Fields $15.2/bbl $24.1/bbl

Capex Dynamics, $ mln

$806

$480

$717

+49%

-11%


22

0,00

0,30

0,60

0,90

2006 2007 2008 2Q090%

10%

20%

30%

Net Debt/EBITDA (lhs) Gearing (rhs)

Debt Profile

1 278 1 256

581

219 119

2010 2011 2012 2013 2014

Net Debt/EBITDA, Gearing (%)

Debt Structure as of March 2009, %

Maturity Profile (US$MM)


Credit Ratings

B-/B3B/B2

B+/B1BB-/Ba3BB/Ba2

BB+/Ba1BBB-/Baa3BBB/Baa2

2003 2004 2005 2006 2007 2009

Investment Grade

S&P Moodys

2008

41%

43%

16%*

Sberbank* Short-termLong-term

91%

9%

Foreign Currency (USD,EUR, RSD)RUR

Net Debt totaled US$ 3,369 *Bridge agreement, that would be refinanced under the long term basis

23

Recent transactions

25

Sibir Energy: Overview

Shares acquisition

In a series of public transactions Gazprom Neft consolidated 54.71% of Sibir Energy

Source: Company data, Public sources

Upstream businessReserves

- 120 MM Tonnes (C1 reserves)

Production

- 4.8 MM Tonnes in 2009E

Downstream business Moscow Refinery

(joint venture with Gazprom Neft )

- 10 MM Tonnes of refining throughput

(capacity 12 MM Tonnes )

- 133 filling stations

- One of the leading position in Moscow and Moscow region market of oil products

54,71%

33,72%

16,94%27,54%

23.04.2009 22.05.2009 17.06.2009 23.06.2009

Gazprom Neft share in Sibir Energy, % (as of)

26

Appendix

27

2Q 2009: Accounting reclassifications and one-offs

Other accounting reclassifications

Moscow Refinery Valuation


335

805 470

Gain from SibirEnergy acquisition

Fair ValueCarrying Value

As of June 23, Gazprom Neft purchased 55% of Sibir Energy, thus increasing it share in Moscow Refinery to 59% and making it a fully consolidated subsidiary

As per Purchase Price Allocation the Fair Value at Moscow Refinery was estimated at $805 mln

Difference between Carrying value and Fair value in the amount of $470 mln. was recorded as Gain from Sibir Energy acquisition in the Income Statement

2Q 2008

Revenue 9,957 (+146)

Opex

SG&A

Taxes

517 (-10)

265 (-10)

1,545 (+166)

Excise taxGross up

6M 2008

18,002 (+325)Revenue

974 (-21)

439 (-19)

2,859 (+365)

Opex

SG&A

TaxesUnified Social

Tax reclassification

730335

470

1Q09 2Q09

1,200

+258%

Net Income, USD mln.

Investor Relations

Presentation 2Q09 - English audio (presentation only)