NORTHERN OIL

CJSC «Northern Oil» was established in 1994 in Usinsk for the development and exploration of oil reserves in the northeastern part of the Timan-Pechora oil and gas province. It holds licenses for the development of 12 fields with total recoverable reserves of more than 60 million tons. Today, NORTHERN OIL is among the most dynamically developing enterprises of the Republic of Komi and Russia as a whole. Of the 1 million tons of oil production growth recorded in Russia in 1999, 111 thousand tons came from NORTHERN OIL. In five years, it increased production ninefold — to 745 thousand tons in 1999, ranking fifth in Komi by this indicator, and entered the top five largest joint oil-producing enterprises in the country. It is expected that in 2000 the company will produce 850 thousand tons of oil, and in 2002 — 1.5 million. According to General Director Alexander Samusev, the future of the domestic oil industry belongs precisely to medium-sized enterprises. Already today, NORTHERN OIL leads in specific volume of capital investment financing — 45 dollars per ton instead of 10 dollars on average across the country. In the first half of 2000 alone, the total investment volume amounted to half a billion rubles.

NORTHERN OIL constantly creates new jobs (currently the company employs 867 people — twice as many as last year). Great attention is paid to social issues and charitable activities: if in 1999, 1.5 million rubles were allocated for these purposes, then in 2000 the amount will be about 5 million.

The successful solution of production tasks is ensured by the coordinated work of all management links of the company. The business reputation and high economic potential of CJSC «Northern Oil» are a reliable foundation for implementing new oil field development projects in the region.