Company Profile For OAO "Neftyanaya kompaniya "LUKOIL"

LUKOIL is an integrated oil and gas company. The Company is engaged in the exploration and production of oil and gas, production of petroleum products and petrochemicals, and marketing of these outputs. It has three main business segments: The Exploration and Production segment includes its exploration, development and production operations of crude oil and natural gas. These activities are primarily located in Russia, with additional activities in Azerbaijan, Kazakhstan, Uzbekistan, the Middle East, Colombia, and Northern and Western Africa. The Refining, Marketing and Distribution segment includes refining and transport operations, marketing and trading of crude oil, natural gas and refined products. The Chemicals segment includes processing and trading of petrochemical products. Other businesses include banking, finance and other activities. In January 2009, it acquired Energoaktiv ZAO. In Addition, in March 2009, LUKoil OAO increased its stake in TGK-8 OAO up to 60.21% from 31.38%.

BRIEF: For the six months ended 30 June 2009, Neftyanaya kompaniya LUKOIL OAO's revenue decreased 39% to $34.86B. Net profit for the period decreased 56% to $3.23B. Revenue reflects a decrease in demand for the Company's services and products as well as unfavorable market conditions. Net profit suffered from lower gross and operating profit margins due to higher interest expenses and depreciation charges as well as lower interest and dividend income.