Press Release

LUKOIL’S PROVED RESERVES AMOUNT TO 20.4 BILLION BARRELS OF OIL EQUIVALENT

Wednesday, March 5, 2008

OAO LUKOIL (the Company) has completed an evaluation and independent audit of its oil and gas reserves as at January 1, 2008.

According to the data audited by Miller and Lents (USA), LUKOIL’s proved reserves as at January 1, 2008 are estimated at 20.4 billion barrels of oil equivalent (boe), including 15.7 billion barrels of oil and 27.9 trillion cubic feet of gas. In 2007 the Company had a 4% growth in proved reserves taking into account production. Thus, for eight years on end the Company has completely compensated the hydrocarbons production with the reserves additions.

The evaluation of oil and gas reserves of LUKOIL Group was performed in compliance with the SPE-PRMS requirements prepared by US Society of Petroleum Engineers (SPE), reviewed and approved by the World Petroleum Congress (WPC), American Association of Petroleum Geologists (AAPG) and Society of Petroleum Evaluation Engineers (SPEE).

The reserves included those volumes which are recoverable up to and past license expiry dates.

The Company’s total reserves in all categories constitute 100% net reserves owned by the consolidated subsidiaries and net share in appropriate reserves of affiliates.

Hydrocarbon reserves decline due to production and sale of a 50% interest in Caspian Investments Resources Ltd. (Kazakhstan) was fully offset by the following main factors:

- Additions to reserves as a result of exploration activity and development drilling;

- Acquisition of interests in producing assets;

- Favourable price environment.