JSOC Bashneft and its subsidiaries participating in the reorganization (OJSC Ufimsky refinery plant, OJSC Novoil, OJSC Ufaneftekhim, OJSC Bashkirnefteprodukt and OJSC Orenburgnefteprodukt) have bought the securities back from the shareholders who had submitted buyback requests in accordance with Article 75 of the Federal Law on Joint-Stock Companies.

The shareholders who did not vote or voted against the reorganization were given the right to submit a buyback request. The amount of funds allocated by the above mentioned companies for buyout of shares totalled 19.034 billion roubles.

The shares bought back by the companies will pass into their ownership. These shares do not give the right to vote; they are not taken into consideration during vote counting and no dividends are paid on them.

The shares bought back by JSOC Bashneft’s subsidiaries participating in the reorganization and not resold by these companies before the end of the reorganization will be cancelled.

The outstanding shares of OJSC Ufimsky refinery plant, OJSC Novoil, OJSC Ufaneftekhim, OJSC Bashkirnefteprodukt and OJSC Orenburgnefteprodukt are expected to be converted into Bashneft’s shares before the end of 2012 after state registration of issues and the Prospectus of JSOC Bashneft, as well as after some other technical procedures are completed.

On March 11, 2012, JSOC Bashneft announced the start of reorganization through legal merger of its subsidiaries with the Company (conversion of shares) aimed at increasing transparency of operations, improving efficiency, the quality of corporate governance and liquidity of the Company’s securities.

Consulting services in the course of reorganization are provided to JSOC Bashneft by Ernst & Young, Goldman Sachs (Russia) (financial adviser), Liniya Prava and Legal Capital Partners (legal advisers).

Detailed information on JSOC Bashneft’s reorganization can be found on the website www. bashneft. ru in the section Investors & Shareholders.