NOVATEK Signed MOU with China Development Bank

FOR IMMEDIATE RELEASE

NOVATEK Signed MOU with China Development Bank

Moscow, 1 November 2017. PAO NOVATEK ("NOVATEK" and/or the "Company") signed today a Memorandum of Understanding (MOU) with the China Development Bank.

The MOU confirms the parties' intentions to cooperate in implementing the "Arctic LNG 2" project, as well as other NOVATEK's projects, including financing and investment into the capital of these projects.

The Chairman of NOVATEK's Management Board Leonid Mikhelson noted: "Our strategy envisages a rapid growth of LNG production using international financing sources. We already have a positive experience of cooperating with the China Development Bank on the Yamal LNG project, and we are glad to continue this mutually beneficial cooperation on our new LNG projects."

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For further information, please visit www.novatek.ru or contact:

Press Service Investor Relations

+7 (495) 721 2207 +7 (495) 730 6013

press@novatek.ru ir@novatek.ru

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PAO NOVATEK is one of the largest independent natural gas producers in Russia. Founded in 1994, the Company is engaged in the exploration, production, processing and marketing of natural gas and liquid hydrocarbons. The Company's upstream activities are concentrated in the prolific Yamal-Nenets Autonomous Region, which is the world's largest natural gas producing area and accounts for approximately 80% of Russia's natural gas production and approximately 16% of the world's gas production. NOVATEK is a public joint stock company established under the laws of the Russian Federation. The Company's shares are listed in Russia on Moscow Exchange (MOEX) and the London Stock Exchange (LSE) under the ticker symbol «NVTK».