Moscow, December 17, 2002; Sibneft announced today that it has closed on a $150 million crude oil export-backed club loan arranged by Raiffeisen Group and Landesbank Schleswig-Holstein Girozentrale. The loan carries a tenor of three years, a nine-month grace period, and an interest rate of LIBOR+3.25%.

The deal represents a continuation of Sibneft’s industry-leading track record of obtaining low-cost, longer-term financing to fund its growth strategy and new acquisitions. The $150 million loan sets a new milestone for Sibneft in terms of pricing for long-term financing arrangements.

The new loan follows Sibneft’s successful placement of a $500 million Eurobond in November 2002. The bond, which carries a 10.75% coupon and a maturity date of January 2009, is the longest-term debt ever placed on international markets by a Russian company.

Contact:

John Mann
Sibneft
Tel: +7 (095) 777 3116
Fax: +7 (095) 777 3114
JohnM@sibneft.ru
www.sibneft.com