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NOVATEK proposes interim dividend

Moscow, 26 July 2006. OAO NOVATEK today announced that its Board of Directors has proposed an interim dividend based on first half 2006 results according to Russian Standards of Accounting. An Extraordinary General Meeting of shareholders (the «EGM») has been scheduled to approve the interim dividend by remote voting. The deadline for the acceptance of completed ballots is 11 September 2006.

Shareholders of record at the close of business on 31 July 2006 will be entitled to participate in NOVATEK’s EGM and the interim dividend.

The Board of Directors will make its recommendation regarding the size of the interim dividend at its meeting on 7 August 2006.

PAO NOVATEK is one of the largest independent natural gas producers in Russia, and in 2017, entered the global LNG market by successfully launching the Yamal LNG project. Founded in 1994, the Company is engaged in the exploration, production, processing and marketing of natural gas and liquid hydrocarbons. Upstream activities of the Company’s subsidiaries and joint ventures are concentrated mainly in the prolific Yamal-Nenets Autonomous Area, which is the world’s largest natural gas producing area and accounts for approximately 80% of Russia’s natural gas production and approximately 15% of the world’s gas production. NOVATEK is a public joint stock company established under the laws of the Russian Federation.