Tatneft Board Decisions

Results of Tatneft's Board Meeting

24 October 2019

Today the Board of Directors of PJSC Tatneft passed the following resolutions:

The Board of Directors approved the key parameters of Tatneft Group operational projections for 2020 using the base scenario of social-economic development of the Russian Federation assuming the average Urals crude oil price of $59.7 per barrel and exchange rate of 64.9 Rubles per one US dollar. In 2020 total crude oil production by TATNEFT Group is planned at a level of 29.2 to 30.4 million tonnes, depending on possible restrictions pursuant to the "OPEC+" agreement, with highly viscous oil production exceeding 3.2 million tonnes; refining output at TANECO is planned at a level of 11.6 million tonnes.

The Board of Directors approved the exchange bonds program for up to 100 billion Rubles and the related prospectus. The program will allow the Company to raise debt financing promptly by issuing the bonds on the Moscow Exchange in tranches from 5 billion Rubles each. The current market rates are favorable for using debt financing while Tatneft's leverage is one of the lowest among local peers. The use of debt in financing the Company's projects will support the cash flow, increasing value and strengthening responsibility of management for achieving the returns targets set for such projects.

This press release contains inside information.

Forward-looking statements and waiver of liability: This press release contains statements about future events and expectations that are forward-looking in nature. Any statement in this press release that is not a statement of historical fact is a forward-looking statement that involves known and unknown risks, uncertainties and other factors which may cause actual results, performance or achievements expressed or implied by such forward-looking statements to differ. PJSC Tatneft assumes no obligations to update the forward-looking statements contained herein to reflect actual results, changes in assumptions or changes in factors affecting these statements. The amounts and percentages mentioned or referred to in this press release could be presented after rounding and, therefore, they might differ from the actual sums and results contained in the Company's reporting documents. PJSC Tatneft shall bear no responsibility to correct or reimburse any sums which might constitute the difference between the amounts mentioned in this press release and those in respective reporting documents, and all payments are made by PJSC Tatneft exclusively on the basis of decisions made by its authorised corporate bodies in the amounts and within the corporate proceedings set out in such decisions.