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Friday 27 Sept. 2013  

OJSC NK Rosneft and ExxonMobil have selected contractors for the initial stage of project planning and engineering as part of an LNG project in Russia’s Far East

Sochi, September 27, 2013 — Today, Rosneft and ExxonMobil selected CB &I UK and Foster Wheeler Energy as the contractors for the initial stage of preliminary project planning as part of the planned project for liquefied natural gas in Russia’s Far East.

Rosneft and ExxonMobil expect to complete their planning by the end of 2014, including preparation of the design and engineering documentation for the LNG plant, relevant facilities and the gas pipelines, as well as engineering studies and an environmental impact assessment.

CB&I UK and Foster Wheeler Energy will work under separate contracts. The scope of their work comprises preparation of the conceptual design, including specification of the LNG plant parameters, natural gas liquefaction technology and methods for the implementation of construction works. As a result of the initial stage of the work, a contractor will be selected for implementation of the second stage of the preliminary project planning.

The estimated capacity of the LNG plant is expected to be 5 million tons per year, which can be increased in the future. As raw material, the LNG plant will use natural gas from the reserves available to Rosneft in the Far East and from other gas resources in Sakhalin.

“We are satisfied with the course of the implementation of the technical part of the work by our joint group of experts from Rosneft and ExxonMobil,” said Rosneft President Igor Sechin. “Now that we have contractors for the preliminary project planning, we will see that the project will take clearer shape in a few months. With regard to this project, we are using a hardline approach to assist in the monetization of gas resources in Russia.”

“We look forward to working with Rosneft and our contractors for the initial stage of the preliminary project planning on further evaluation of specific technical and commercial aspects of the potential LNG project,” said Glenn Waller, President of ExxonMobil Russia. “In the project planning, special attention will be paid to reducing the impact on the unique ecosystem in the work area and developing the local infrastructure.”

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