NVTK.L Regulatory News (NVTK)

29 Sep 2006 10:01

OAO NOVATEK today announced the closing of the transaction for the sale of 19.4%of the Company•s outstanding ordinary shares, to OAO Gazprom, represented by ZGGGmbH, by the Company•s main shareholders, OOO LEVIT and SWGI Growth Fund(Cyprus) Limited. As a result of the transaction, Gazprom representatives will have two seats onthe Board of Directors, which in accordance with the Company•s existing Charterprovides the new shareholder representing Gazprom with sufficient rights toparticipate in management of the Company•s activities and the equity stake ownedby Gazprom and its affiliated entities will not exceed at any time 19.9% of theCompany•s outstanding shares. The Parties to the transaction anticipate further expansion of NOVATEK•sactivities in developing its existing fields and growing its hydrocarbonresource base and an opportunity for NOVATEK to be involved in regionalgasification programs. NOVATEK believes the addition of Gazprom as a strategic investor will enhancethe Company•s ability to fully develop its hydrocarbon resource base and realizeits strategic objective of maximizing production and processing of hydrocarbons. \* TFor further information, please visit www.novatek.ru or contact:Press Service Investor Relations+7 (495) 721 22 07 +7 (495) 730 6020press@novatek.ru IR@novatek.ru\* T OAO NOVATEK is Russia•s largest independent gas producer and the second-largestnatural gas producer in Russia. Founded in 1994, the Company is engaged in theexploration, production, processing and marketing of natural gas and liquidhydrocarbons. The Company•s upstream activities are concentrated in the prolificYamal-Nenets Region, which is the world's largest natural gas producing area andaccounts for over 90% of Russia's natural gas production and 20% of the world•sgas production. NOVATEK is an open joint stock company established under the laws of the RussianFederation. The Company•s shares are listed on the Russian Trading System (RTS)and as Global Depository Receipts (GDR) on the London Stock Exchange (LSE) underthe •NVTK• ticker symbol and on the NASDAQ PORTAL System as Rule 144A DepositoryReceipts under the ticker symbol •NVATY•. Copyright Business Wire 2006