1 February 2011

Implementation of joint projects in 2010 summarized and prospects for widening cooperation discussed between Shtokman Development AG and Governor of the Archangelsk oblast

Working meeting between Company’s Chief Executive Officer Alexei ZAGOROVSKIY and Governor of the Arkhangelsk office Ilya MIKHALCHUK was held on the 31st January at the SHTOKMAN DEVELOPMENT AG Moscow office.

The meeting was dedicated to review of the results of the activities performed by the Arkhangelsk Oblast government and SHTOKMAN DEVELOPMENT AG joint working teams created in the summer 2010 and discussion of working plans for 2011. It was noted by the parties that such working format allowed fuelling bilateral cooperation significantly, especially in terms of the involvement in the project of the regional industrial companies along with exploitation of the Arkhangelsk oblast transport and logistical infrastructure. Inter-action with key educational institutions aimed at training personnel for their further employment in the SHTOKMAN project has been established.

“Outcomes of cooperation between SHTOKMAN DEVELOPMENT AG and government of the Arkhangelsk oblast in 2010 have validated in full measure not only efficiency of the form of interaction selected but testified, in addition, substantial potential for increasing a number of the projects to be executed jointly by the Company and the Arkhangelsk oblast administration”, stated Alexei ZAGOROVSKIY. “In 2011 we intend to widen cooperation with the Arkhangelsk oblast, particularly by means of the involvement in the SHTOKMAN project of the leading regional industrial companies. I am sure that the plans we have shaped so far shall be successfully implemented”.