A regular meeting of the Board of Directors of OAO TATNEFT chaired by R.N. Minnikhanov, President of the Republic of Tatarstan, was held in Almetyevsk on May 25, 2012.
The meeting discussed the outcome of the budget execution of OAO TATNEFT for four months of 2012 and approved the budget for June of this year and also discussed the results of the Company’s financial and economic activity for the first quarter of this year.
6 million 454 thousand tons of crude oil were produced at TATNEFT’s fields during the first three months of this year, which is 0.9% more than in the corresponding period of the last year. The above-the-plan production amounted to 142,000 tons of crude oil. The earnings from sale of products shipped during the period under review amounted to 135.4 billion rubles accounting for an increase of 21 billion rubles versus the first quarter of 2011. The net revenues (excluding VAT and export duties) increased by 19.1 billion rubles as compared with the corresponding period of the last year and amounted to 90.4 billion rubles. 34.2 billion rubles of pre-tax profit was received as a result of the financial and economic activity accounting for 5.9 billion rubles increase versus the first quarter of 2011.
The Board of Directors discussed the information on the concept of building a deep heavy residues conversion complex and the project progress of constructing the TANECO hydrocracking complex.
The meeting participants discussed the issues of the drilled wells stock use at the Company’s Oil and Gas Production Boards. Sidetracking, application of new methods of enhanced oil recovery; hydraulic fracturing, etc. were recognized as promising ways of increasing the production rates of the old wells.
The Board of Directors was briefed on the outcome of the audit of OAO TATNEFT’s financial and economic activity for 2011 by the “Energy Consulting/Audit” auditing company and the Audit Commission of the Company, the summary report on the results of the last year’s operation, annual report and annual financial statements.
The information about the annual general meeting of shareholders of OAO TATNEFT and a number of other matters of the Company’s activity were also discussed by the Board of Directors.