ROSNEFTROSNEFT

On The MoveOn The Move

June 18, 2007June 18, 2007Renaissance CapitalRenaissance Capital1111thth Annual Investor Annual Investor ConferenceConferenceMoscowMoscow

2

Important NoticeImportant Notice

The information contained herein has been prepared by the Company. The opinions presented herein are based on general information gathered at the time of writing and are subject to change without notice. The Company relies on information obtained from sources believed to be reliable but does not guarantee its accuracy or completeness.

These materials contain statements about future events and expectations that are forward-looking statements. Any statement in these materials that is not a statement of historical fact is a forward-looking statement that involves known and unknown risks, uncertainties and other factors which may cause our actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. We assume no obligations to update the forward-looking statements contained herein to reflect actual results, changes in assumptions or changes in factors affecting these statements.

This presentation does not constitute an offer or invitation to sell, or any solicitation of any offer to subscribe for or purchase any securities and nothing contained herein shall form the basis of any contract or commitment whatsoever. No reliance may be placed for any purposes whatsoever on the information contained in this presentation or on its completeness, accuracy or fairness. The information in this presentation is subject to verification, completion and change. The contents of this presentation have not been verified by the Company. Accordingly, no representation or warranty, express or implied, is made or given by or on behalf of the Company or any of its shareholders, directors, officers or employees or any other person as to the accuracy, completeness or fairness of the information or opinions contained in this presentation. None of the Company nor any of its shareholders, directors, officers or employees nor any other person accepts any liability whatsoever for any loss howsoever arising from any use of this presentation or its contents or otherwise arising in connection therewith.

3

Q1 2007 Results: Key HighlightsQ1 2007 Results: Key Highlights

Q1 2007

§ Refined product prices weaker

§ Taxes, rouble appreciation

2007-2008

§ Integrating recent acquisitions

§ Optimization of enhanced downstream portfolio to grow netbacks through:

§ Enhanced MIS/technology solutions

§ Increased sales/distribution capabilities

§ Realizing benefits of new flexibility in netback options

§ EBITDA* up 2x to USD 1,741 mln vsQ4’06

§ Operating cash flow at USD 894 mln vs USD (967) mln in Q4 2006

§ Leading production growth

§ Gas sales

§ Gas prices up 47%

§ Refining volumes growth

§ Retail throughput growth

§ Cost control§ Operating expenses down 26% vs Q4’06

§ SG&A down 7% vs Q4’06

PositivesPositives Challenges, PrioritiesChallenges, Priorities

*Adjusted for accrual of fines and penalties related to pre-acquisition Yuganskneftegaz tax debt of USD 297 mln

4

Reserve Replacement DynamicsReserve Replacement Dynamics

124%

110%

78%

73%

69%

38%

192%

284%

137%

Rosneft (SPE)

ConocoPhilips

Exxon

BP

Petrochina

Total

Lukoil

Chevron

Shell

2006 Reserve Replacement Rate2006 Reserve Replacement Rate

5

14,877

673(593)344 662

15,96317,877

0

2 000

4 000

6 000

8 000

10 000

12 000

14 000

16 000

18 000

20 000

31.12.2005 Production Exploration Udmurtneftacquisition

Revisions 31.12.2006 SamNG andTomsk

acquisition

20.06.2007

Proved reserves, mln bbl (SPE basis)

Reserves AdditionsReserves Additions

1,914

6

Rosneft Oil ReservesRosneft Oil Reserves

15 927

10 850

9 781

7 806

6 696

6 471

4 197

3 481

17 877

11 618

Rosneft (SPE)

Lukoil (SPE)

Petrochina

Exxon

BP

Chevron

ConocoPhilips

Total

Shell

ENI

2006 proved oil reserves (mm bbl)2006 proved oil reserves (mm bbl)

Source: Company reports and filingsNote: SEC classification unless otherwise indicatedCrude oil SPE reserves for Rosneft include Tomskneft and Samaraneftegaz (Miller&Lents report. 2006)

2006 oil R/P ratio (years)2006 oil R/P ratio (years)

6

9

11

11

12

12

14

19

23

27

Shell

ENI

BP incl TNK-BP

ExxonMobil

Total

ChevronTexaco

Petrochina

ConocoPhillips

Lukoil (SPE)

Rosneft (SPE)

7

2006 Crude Production Growth2006 Crude Production Growth

Rosneft Daily Production 2006Rosneft Daily Production 2006

Source: Rosneft

0,3%

2,7%

3,0%

6,3%

8,3%

-1,0%

-3,0%

-3,6%

-3,9%ТNК-BP

BP

Shell

Gazpromneft

Tatneft

Surgutneftegas

Lukoil

Exxon

Rosneft

Growth Rate 2006Growth Rate 2006

Source: CDU TEK (Russian companies). Companies data

190

200

210

220

230

240

250

01.01.2006 01.03.2006 01.05.2006 01.07.2006 01.09.2006 01.11.2006

20062005

ktpd

8

1

86

444

4

61

Q1 06 YNG SevernayaNeft

Sakhalin-1 Purneftegaz Share inUdmurtneft

Other Q1 07

1,525

1,715

Q1 2007 Crude Oil Production GrowthQ1 2007 Crude Oil Production Growth

Includes share in production of affiliates

mln bbl

+12.5%

1Q2007 Crude Oil Production Reconciliation1Q2007 Crude Oil Production Reconciliation

kbpd

9

New wells average flow rate (bpd) 1Q 2007New wells average flow rate (bpd) 1Q 2007

806

554

456392

326

138

Rosneft Gazpneft Slavneft TNK-BP Lukoil Surgut

New wells average flow rate (bpd) 1Q 2006New wells average flow rate (bpd) 1Q 2006

706670

623

461

322

183

Rosneft TNK-BP Gazpneft Slavneft Lukoil Surgut

Extending Drilling Performance GapExtending Drilling Performance Gap

10

2.5

3.1

3.7

5.3

5.6

6.0

6.8

7.0

Rosneft

LUKOIL

Total

BP

ConocoPhillips

ExxonMobil

Chev ron

RD Shell

5.3

6.6

7.5

9.2

10.9

12.2

13.2

13.4

Rosneft

LUKOIL

ExxonMobil

BP

ConocoPhillips

Chevron

RD Shell

Total

Lifting cost per boe in 2006Lifting cost per boe in 2006

Superior Cost EfficiencySuperior Cost Efficiency

Capital expenditure per boe in 2006Capital expenditure per boe in 2006

11

2.390 2.562

-

1

2

3

Q1 07 Q1 06

Gas SalesGas Sales

Sales VolumesSales Volumes

20.92

30.84

-

5

10

15

20

25

30

35

Q1 07 Q1 06

Sales PricesSales Prices

+7.2% +47.4%bcm USD/kcm

12

§ Optimum Development System • Reduced well stock by more than 3 times• Initial well flow rate grew by more than 6 times• Cumulative production per 1 well over 84 mln t

§ Gas Re-injection • Recovery ratio growth• 100% of gas utilization

§ Integrated project

§ Application of cutting edge well completion technique

§ Application of Smart well completion and management systems

§ Switch from conventional wells to horizontal:• Reduction in well stock • Spike in initial well flows

Key project solutionsKey project solutions

ReservesReserves

945.9 1,184.51,902.8

2,644.7

1P Reserves as31.12.2005

1P Reserves as31.12.2006

2P Reserves as31.12.2005

2P Reserves as31.12.2006

+238.6

+741.9mln.bbl

ProgressProgress

§ Reserves upgrade on successful drilling and 3D models re-interpretation

§ 151 km (~30%) of trunk pipeline constructed and 1 booster construction is commenced

§ 6 clusters of producing wells drilled and ready for completion

Vankor Vankor ProgressProgress

13

New Upstream AssetsNew Upstream Assets

14

§ Develop an efficient production program for 2008-2012 aimed at stabilization and sustainable production volume increase through:

• Introducing modern drilling and wells construction technologies

• Introducing a full-scale drilling geological support

• Realizing the projects for optimizing ground infrastructure

• Introducing the system of integrated production and deposits development management (TPMSYS)

• Optimizing the system of formation-pressure maintenance

§ Identify and pursue expansion opportunities

Integration of New Assets: Key PrioritiesIntegration of New Assets: Key Priorities

§ 2H 2007 Production Program• Rank the projects and optimize the

drilling program in accordance with economic efficiency

• Concentrate resources on most efficient projects

• Streamline and integrate the technical databases

§ Approve 2007 business plan§ HR§ IT and accounting systems

ImmediateImmediate Longer-termLonger-term

15

Downstream Weaknesses of Rosneft PreDownstream Weaknesses of Rosneft Pre--AcquisitionAcquisition

Shortage of Proprietary Refining Capacity

High percentage of crude export yielded higher export duty

High percentage of rail shipments

Lower product sales price

High level of export duty

High transportation costs

Low Net Income

16

New Downstream AssetsNew Downstream Assets

17Source: Info ТEК-Consult, Company statistical dataCalculation of Nelson index doesn’t take into account lubricants production capacity and infrastructure complexity

БАШНЕФТЕХИМ

Nelson complexity index for Rosneft and Peers, as of 1 June 2007

7,1

6,56,1

5,65,55,5

5,15,05,04,9

4,64,44,3

3,93,93,8

3,63,5

3,42,7

2,32,0

1,81,7

1,0

7,3

4.7

ОmskyUfaneftekhim

PermnefteorgsyntesKuibyshevsky

YaroslavnefteorgsyntesUfimsky

NovokuibyshevskyRyazansky

NizhnekamskySuzransky

MoskovskyVolgogradnefteperera

Novo-UfimskySaratovsky

SalavatnefteorgsyntesKirishinefteorgsyntesOrsknefteorgsyntes

NizhegorodnefteorgsyAngarskaya PC

UkhtaneftepererabotkAchinsky

KomsomolskyKhabarovsky

The Mendeleev ORTuapskinsky

KrasnodarskyAfipsky

Substantial Improvement in ComplexitySubstantial Improvement in Complexity

18

11

47

Old Rosneft New Rosneft

Increased Volumes and EfficiencyIncreased Volumes and Efficiency

Throughput Volumes, mtpaThroughput Volumes, mtpa

>20%

<5%

4x Increase

Share in oil refining throughput in Russia

Weighted average Nelson Complexity IndexWeighted average Nelson Complexity Index

2,34,2

Old Rosneft New Rosneft

19

39

22 20

42

1611

Rosneft Lukoil TNK-BP SurgutNG Gazpromneft "Old" Rosneft

mtpa

Oil Products Output by Own RefineriesOil Products Output by Own Refineries

Leadership in Refining Output in RussiaLeadership in Refining Output in Russia

20

3.00 2.70 2.57

3.60

3.04 3.20

1Q07 1Q06 4Q06

Petroleum products output by owned refineries Petroleum products output by third party refineries

5.77

6.60

5.74

Petroleum Products OutputPetroleum Products Output

Petroleum Products OutputPetroleum Products Output

mln tonnes

21

2.76 3.17 3.524.27

4.94

2003 2004 2005 2006 1Q2007

Retail: Increasing ThroughputRetail: Increasing Throughput

Average daily sales per 1 filling stationAverage daily sales per 1 filling station

tonnes / day

22

Economic EnvironmentEconomic Environment

$/tonne

$/tonne

$/bbl

%

%

RUB/USD

499

526

54.3

11.7%

7.3%

26.31

Q1 07

28.16Average RUB/USD rate

Annual inflation rate: Q1’06 through Q1’07

Annual real RUB appreciation vs USD: Q1’06 through Q1’07

58.2Urals oil price (av. Med and NWE)

552Gasoil, 0.2% (av. Med)

527Diesel fuel (av. RF)

Q1 06

23

58.2

23.4

11.0

27.6

9.4

54.3

Urals Export Duty MET

Q1 06 Q1 07

Tax EnvironmentTax Environment

Oil Price and Taxes in 1Q 2007Oil Price and Taxes in 1Q 2007

-3.90USD/bbl

+4.2

-1.6

Oil Price Decrease –Tax Increase = -6.5 USD/bbl

24

0

100

200

300

400

500

600

700

800

1Q20074Q20063Q20062Q20061Q2006

High oсtane gasoline Low oсtane gasoline Diesel fuel Naphtha Oil price Fuel oil

Oil Products PricesOil Products Prices

USD/ton

Dynamics of product pricesDynamics of product prices

Weighted Average Price

381 USD / t 427 USD / t 432 USD / t 380 USD / t 377 USD / t

25

SG&A and Transportation ExpensesSG&A and Transportation Expenses

5.4%

8.3%

(7.0%)

qoq, %

877

735

142

Q1 06

1,125

939

186

Q1 07

20031.0%General and administrative expenses

86727.8%Pipeline tariffs and transportation costs

1,06728.3%Total

Q4 06ytd, %USD mln

General and administrative expensesGeneral and administrative expenses

525 19

186

142

28 5

0

50

100

150

200

1Q06 Inflation Salaries Operating lease Bad debtprovision

Other expense 1Q07

USD mln

26

Operating Expenses and PurchasesOperating Expenses and Purchases

12%

56%

18%

(4%)

(83%)

(67%)

(2%)

(26%)

qoq, %

105

100

83

288

10

118

315

443

Q1 06

13847%154- Processing services

131(42%)58- Oil products

228223%268- Crude oil & gas

49867%480Value of purchased goods and services

10990%19- Other

137(62%)45- Refining and Marketing

48652%478- Production

73222%542Operating expenses

Q4 06ytd, %Q1 07USD mln

27

880

1,741 1,920

44108204

192

524893

Q1 2006 EBITDA Revenues Tax Burden Hydrocarbonspurchases

Transportationcosts

Operating andexplorationexpenses

G&A costs Q1 2007 EBITDA Q4 2006 EBITDA

EBITDAEBITDA

EBITDA ReconciliationEBITDA Reconciliation

-9.3%

USD mln

*Adjusted for accrual of fines and penalties related to pre-acquisition Yuganskneftegaz tax debt of USD 297 mln

+97.8%

28

Capital ExpendituresCapital Expenditures

1629Marketing Retail

1450OJSC NK Rosneft

114Tuapse Refinery

07Komsomolsk Refinery

18Other downstream

8254Other upstream

317457Yuganskneftegaz

1276Vankor

3651Purneftegaz

-39Sakhalin-1

3039Severnaya Neft

-8

1,0339

108

916

1Q07

258105

59092

32

466

1Q06

Acquisition of licensesAcquisition of entities

TotalOther

Refining and marketing

Exploration and production

USD mln

29

High Visibility of Growth in Short and Long Term High Visibility of Growth in Short and Long Term

“Old” Rosneft“Old” Rosneft

§ Tomskneft

§ Samaraneftegaz

§ VSNK2010 2012 2015

Sakhalin 3,4,5Kamchatka

South of Russia

VankorVerknechonSakhalin-1

Gas: KharampurNovochaselskoye

Probable and Possible reserves of

Yugansk, Purneftegaz, SN

Proved reserves of Yugansk,

Purneftegaz, SN

§ 2010: >2 mbpd of oil

§ 2012: Up to 40 bcm of gas (assuming pipeline access)

§ 2015: Up to 2.8 mbpd of oil

New AssetsNew Assets

“Old” Targets“Old” Targets

30

Tuapse refinery

Komsomolsk refinery

4,1

12

2006 2010

11

91

2006 2015

Downstream DevelopmentDownstream Development

0

20

2006 2015

6,5 7

2006 2015

Rosneft total

Potential refinery in the Far East

0

20

2006 2015

Siberian Refineries Potential refinery in China

Samara group of refineries

0

20

2006 2015

12 12

2006 2015

20 20

2006 2015

31

Improved Credit Profile, Reduced Cost of DebtImproved Credit Profile, Reduced Cost of Debt

§ Borrowing margin reduced 5 times in two years

BB+(Developing

outlook)

B+

B

Baa2 (Positive outlook)

Baa2

Ba3

BB+ (Positive outlook)

BB+

as of 31.12.2004 as of 31.12.2005 As of 31.12.2006

S&P Moody's Fitch

Evolution of Rosneft Credit RatingsEvolution of Rosneft Credit Ratings Weighted Average Cost of DebtWeighted Average Cost of Debt

2.40%

3.60%

2.68% 0.74%

4.39%

5.32%

6.00%

7.07%

6.06%

0%

1%

2%

3%

4%

5%

6%

7%

8%

as of 31.12.04 as of 31.12.05 as of 31.12.2006

1m Libor Av.-Weighted Margin Av.-Weighted Rate

32

Enhanced Governance, TransparencyEnhanced Governance, Transparency

§ Simplified corporate structure following successful consolidation

§ New 9 member Board of Directors• 3 Independents

§ 3 new committees• Audit

• Strategy

• Compensation

§ 3 Listings• LSE

• RTS

• MICEX

§ New diverse shareholder base

Quarterly US GAAP and M&DAQuarterly US GAAP and M&DA2006 Highlights2006 Highlights

Shareholder BaseShareholder Base

§ Russian State§ Institutional Investors from >40 countries§ ~150,000 ordinary Russians§ NOCs§ Supermajors

33

Rosneft: Emerging SuperRosneft: Emerging Super--NOCNOC

National Oil CompanyNational Oil Company Super-MajorSuper-Major

§ Access to resources

§ Access to M&A

§ Insulation from political risk

§ Access to policy-makers

§ Cooperation with the State

§ Capital discipline

§ Cost efficiency

§ Shareholder value creation

§ Corporate governance

§ Transparency