LUKOIL COMPLETES THE ISSUANCE OF US$1.5 BILLION IN EUROBONDS

Monday, November 9, 2009

LUKOIL completed the issuance of an aggregate principal amount of US$1.5 billion in a dual-tranche Rule 144A / Regulation S offering consisting of US$900 million of 6.375% notes due 2014 and US$600 million of 7.250% notes due 2019.

The 2014 notes were issued at a price of 99.474% of their face value, resulting in a yield to maturity of 6.500%, and the 2019 notes were issued at a price of 99.127% of their face value, resulting in a yield to maturity of 7.375%.

LUKOIL intends to use the net proceeds of the offering for general corporate purposes, including the repayment of existing indebtedness.