In accordance with a directive of the Government of the Russian Federation, today Bashneft’s Board of Directors has resolved that the Company should acquire a stake in the authorized share capital of PJSC Ufaorgsintez by purchasing 21,505,680 ordinary shares of the company (19.04% of its authorized share capital) from CJSC Sistema-Invest for 3.55 billion roubles. The transaction value has been determined on the basis of an independent valuation.

The purchase of the said shareholding in PJSC Ufaorgsintez is consistent with the strategy for the development of Bashneft’s petrochemical business. The potential transaction, which will enable Bashneft to consolidate 100% of voting shares in PJSC Ufaorgsintez, may be completed in the second quarter of 2016.