Yarudeyskoye Oil Field Reached its Full Capacity

FOR IMMEDIATE RELEASE

Yarudeyskoye Oil Field Reached its Full Production Capacity

Moscow, 12 January 2016. OAO NOVATEK ("NOVATEK" and/or the "Company") announced today that the Yarudeyskoye oil field has reached its planned production capacity of 9,700 tons of crude oil per day, which is equivalent to approximately 3.5 million tons per annum. Twenty-four production wells are currently in operation at the field with average flow rate exceeding 400 tons of crude oil per day per well.

Chairman of the Management Board of NOVATEK, Leonid V. Mikhelson stated: "The Yarudeyskoye field was launched in December last year and it has ramped up to its full production capacity in a record short period of time as planned. The new volumes of crude oil produced at this field will positively impact the dynamics of our production in 2016 and will contribute substantially to our Free Cash Flow generation".

NoteThe Yarudeyskoye oil field is developed by Yargeo, a joint venture between NOVATEK (51%) and Nefte Petroleum Limited (49%).

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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

[email protected] [email protected]

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OAO NOVATEK is Russia's largest independent gas producer and the second-largest natural gas producer 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 gas production and approximately 16% of the world's gas production. NOVATEK is an open 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».