1

Corporate Profile 2019

Corporate Profile

2019
 2
Corporate Profile 2019

PRESIDENT'S WELCOME MESSAGE

CASPIAN OIL AND GAS is a company with a rich history spanning many years. From an ambitious beginning in
Azerbaijan and Russia, the company has grown exponentially in all its core areas of operation, and operating offices in
United Arab Emirates. The technical potential of the company, coupled with its high intellectual expertise has made it
possible for the company to stabilize the volumes of crude oil and petroleum products it exports to her clients around the
world.

CASPIAN OIL AND GAS is an exploration, production and marketing company operating in the oil and gas sector with
representations in various countries.

CASPIAN OIL AND GAS is an effectively-managed company with a management structure conceived in the spirit of the
Fortune 500 companies. We set for ourselves the objectives to create new value, maintain business stability and provide
shareholders with high return on their investments through asset value appreciation and cash dividends .

We will use all available means to achieve these objectives, including further efforts to reduce costs, operating efficiency
increases, improvement of product and service quality, and application of the latest technologies.

Signed,

President,
for Board of Directors, CASPIAN OIL AND GAS.

CASPIAN OIL AND GAS TODAY
Proven reserves of hydrocarbons of major private oil
companies in the world (31.12.2018), bln bbl. oil equiv.
Caspian
Extraction of hydrocarbons by largest private oil and
gas companies in the world (2018), mln bbl. oil
equiv./day
Caspian
3
Corporate Profile 2019
CASPIAN OIL AND GAS-
one of the largest international vertically integrated oil and gas companies. The primary
activities of Group are exploration and production of oil and gas, production of refined
oil products and petrochemical products and also the sale of products. The main part of
activity of the Company in the sector of exploration and production is carried out on the
territory of Russian Federation, where the basic resource base is Western Siberia, and
in the Caspian sea region. CASPIAN OIL AND GAS owns modern oil processing, gas-
processing and petrochemical factories, located in Russia, Azerbaijan, the countries of
Europe and in neighboring countries. The products of the Company are sold in Russia,
Eastern and Western Europe, neighboring countries and in Asia.
CASPIAN OIL AND GAS today –
- 1,0% of global oil reserves
- 2,4% of global oil production
- 0,4% of global gas reserves
- 0,6% of global gas production
- 1,6% of global refining capacity
- 1,7% of total volume of refined products
- Top 10 among largest private oil and gas companies in the world by the size
of proven oil reserves
- Top 10 among largest private oil and gas companies in the world by the size
of proven reserves of hydrocarbons
- Top 10 among largest private oil and gas companies in the world by the
volume of oil production
- Top 10 among largest private oil and gas companies in the world by the
volume of hydrocarbons extraction
CASPIAN OIL AND GAS carries out operations in 26 countries around the world:
- Carries out exploration works in 9 countries
- Has proven oil reserves in 5 countries
- Has proven gas reserves in 4 countries
- Carries out oil production (or preparation for production) in 6 countries
- Carries out gas production in 4 countries
-Owns oil processing capacities in 6 countries
- Owns petrochemical plants in 3 countries
- Is engaged in retail of oil products in 26 countries
 4
Corporate Profile 2019

CASPIAN OIL AND GAS today: Share of net profit in the revenue of largest private oil
companies in the world (2018), %
- No. 14 among 100 largest oil companies in the world, by volume of net
profit
Caspian
- No. 21 among 100 largest oil companies in the world, by total revenue
- No. 20 among 100 largest oil companies in the world, by asset value
- No. 8 among European and No. 12 among the 250 largest energy
companies in the world
- No. 8 among private vertically integrated oil companies in the world
- No. 69 among 2,000 largest companies in the world
- No. 6 among largest companies in Russia
- Securities of the Company are trading in 4 countries of the world in the
exchange and off-exchange markets

Dynamics of valuation of CASPIAN OIL AND GAS shares in comparison with the Return on capital employed (ROACE) of largest private oil
index of largest oil companies - Bloomberg Oils (2018), % companies in the world (2018), %

Caspian

Caspian

Countries in which CASPIAN OIL AND GAS securities are traded

 5
Corporate Profile 2019

CASPIAN OIL AND GAS ON THE WORLD MAP

CASPIAN OIL AND GAS – ONE OF THE LARGEST INTERNATIONAL VERTICALLY INTEGRATED OIL
AND GAS COMPANIES
 6
Corporate Profile 2019

CASPIAN OIL AND GAS IN THE WORLD

 7
Corporate Profile 2019

HISTORY OF DEVELOPMENT OF CASPIAN OIL AND GAS

We are committed to harness the energy of natural resources for the good of mankind.
To promote in regions of activity of the Company long-term economic growth, social stability, to contribute to prosperity and progress,
to guarantee preservation of favorable environment rational use of natural resources. To provide stable and long-term business
growth, to transform into a leading world energy company. To be a reliable supplier of hydrocarbon resources in the global market of
energy consumption.

1994
Completion of first stage of privatization, and commencement of organized trade in stocks of the Company in the secondary market.
The company is included into the Azeri project – Chirag – Gyuneshli (Azerbaijan).

1995
By government resolution, on the statutory capital of the Company is transferred controlling stakes in nine oil-extracting, marketing
and service enterprises in West Siberia, the Volga region and in the Urals. The company is included into the international projects
Kumkol (Kazakhstan) and Meleiya (Egypt).

1996
In the international market the American depository receipts on the stock of CASPIAN OIL AND GAS are placed. The company is
included into the Shah Deniz project (Azerbaijan).

1997
CASPIAN OIL AND GAS is included into projects Karachaganak and Tengiz (Kazakhstan) and Western Kurna-2 (Iraq). Consolidation
of the main subsidiaries by exchange of their shares for the the stock of the Company is concluded.

1998
The company acquires a Romanian oil refinery and also enters the D-222 project (Azerbaijan).

2002
Implementation of restructuring program which main objectives – increase in efficiency of activity of the Company and increase its
joint-stock costs begins.

2003
The company is included into projects of Western ̆ and North-Eastern Geisum (Egypt) and Anaran (Iran).

2004
CASPIAN OIL AND GAS is included into projects Tyub-Karagan and Atashskiya on the shelf of Kazakhstan and into the gas Block A
projects (Saudi Arabia) and Kandy – Hauzak – Shada (Uzbekistan). Commencement of modernization of oil refinery. The
 8
Corporate Profile 2019

Kravtsovskoye field on the shelf of the Baltiisky sea is put into operation. Commencement of operations of distributive complex in
Vysotsk.

2005
The Nakhodka gas field is put into operation (Yamalo-Nenetskiy autonomous district). The large-scale oil-gas condensate field of V.
Filanovsky on the shelf of the Caspian sea with stocks on categories "possible" and "probable" more than 750 million BOE is found.
The company owning shares in four extracting projects on the territory of Kazakhstan is acquired. 20% of participation in the
exploration company developing fields in Western Siberia are acquired. A part of the company developing fields in the Nenets
Autonomous Okrug and the Komi Republic is acquired.
Together with JSC Kazmunaigaz LLC, Caspian Oil and Gas forms Company for development of the Hvalynsky field. Entry into the
Junin-3 project (Venezuela). 19% participation in the company owning the license for geological study of the Poimenny site where in
2004 the large-scale Central Astrakhan gas-condensate deposit was found are acquired. The Finnish companies which are engaged
in retail and wholesale sale of oil products and production and sale of lubricants are acquired. CASPIAN OIL AND GAS exits Zykh-
Govsana's project (Azerbaijan).

2006
Acquisition of 9% share in the Production Sharing Agreement on geological exploration, development and extraction of hydrocarbons
on the CI-205 block (Côte d'Ivoire). The Production Sharing Agreement on the project Aral Sea (Uzbekistan) is signed. The
agreement with Kazmunaigaz and Repsol Exploracion Kazakhstan companies on transfer to Group of 11% of Zhambai LLP – the
contractor of the Production Sharing Agreement on offshore projects of Zhambai Youzhny ̆ and Southern is signed by Zaburunye
(Kazakhstan section of the Caspian sea). The agreement on sale of 18% shares in Caspian Investments Resources Ltd. which is
carrying out exploration and production of oil in Kazakhstan is signed. Commercial production of hydrocarbons on the Shah Deniz
field is started (Azerbaijan).

2007
Within implementation of the Kandym — Hauzak project — Shada (Uzbekistan) the gas site Hauzak is put into operation. The share
in three projects on geological exploration of perspective offshore blocks in the Gulf of Guinea (Côte d'Ivoire and Ghana) is acquired.
15% share in the Caspian Investments Resources Ltd company is sold. The first modernization of several oil refineries is completed
during which reconstruction of the AVT installation and a number of objects of manufacturing complex was carried out. At the Ukhta
oil refinery installation of viscosity breaking of tar design to handle raw materials up to 800 thousand tons/year is put into operation.
Installation of isomerization for 420 thousand tons/year at Volgograd oil refinery is put into operation.

2008
The Southern Hylchuyusky field (Timano-Pechora) is put into operation. Together with other companies, the large-scale oil-gas
condensate field on structure “Central” in the Caspiansky sea is found. The company owning 100% shares in the Production Sharing
Agreement on Southwest Gissar's fields and the Ustyurt region (Uzbekistan) is acquired. The agreement with National Oil company
of Venezuela PDVSA about a joint research of the Junin-3 block (Venezuela) is signed. At one of the oil refineries, installation of
viscosity breaking of tar design with capacity of 2.4 million tons per year is put into operation.

2009
Drilling of the first operational wells on the Pyakyakhinsky gas-condensate field is begun. In medium-term to prospect on the field it
is planned to drill 55 operational wells.

2011
Isomerization block is put into operation at one of oil refineries of the group. The block intended for receiving the high-octane
component of gasolines which is not containing sulphur compounds, benzene and aromatics has allowed oil refinery to begin
production of the automobile gasolines conforming to ecological requirements of Euro-3 and Euro-4. The design capacity of the block
on raw materials is 120 thousand tons/year. Investments made in construction of the block is about 40 million dollars.

2013
The company brought to the market new brands of automobile fuel of premium class (octane number 95) and (octane number 98).
Multipurpose package of additive compounds in new gasolines provides increase in engine power and reduces fuel consumption and
also promotes reduction of wear of the engine and cutting-down of CO2 release .
 9
Corporate Profile 2019

2015
CASPIAN OIL AND GAS put into operation new installation of sulphuric acid alkylation of capacity 300 thousand tons/year (SKA) at
oil refinery in Burgas (Bulgaria). Start-up of new installations will allow to take completely out of service technologically outdated
installation of SKA with a capacity of 215 thousand tons/year which is available at oil refinery. Investments made in new production
complex is more than 90 million dollars. Installation is designed with use of advanced technology that allows to increase significantly
an indicator of octane number of alkylate and to increase quality of the produced motor gasolines and also to reduce the level of air
pollution and to reduce consumption of the energy resources, materials and reagents necessary for production.

2017
The group closed the deal on repayment of 7% participation in the joint venture developing the Tengriz and Royal fields in
Kazakhstan. As a result of the acquisition the proven stocks of the Company increased by 102 million barrels of oil and 130 billion
cubic feet of gas, gain of oil production was more than 13 thousand barrels/day.
The group as a part of a consortium became the winner of the tender for the right of development of the field Western Kurna-2 in Iraq:
returns for everyone per barrel extracted is established at level of 1.15 dollars at level of production of 1.8 million barrels/day.
According to conditions of the tender, 25% of participation in consortium has to be given to Iraqi ̆ state companies. Recoverable oil
reserves of the field are estimated at 13 billion barrels.

2018
Development drilling on the field of Yu. Korchagin in the Caspiany sea is begun. The company began sea operations on the field
(towage from Astrakhan of the basic block of sea-breaking stationary platforms). Installation of the dot mooring intended for loading of
oil from the underwater pipeline in a floating oil storage and on tankers shuttles is completed. The floating oil storage intended for
loading of tankers shuttles and transportation of oil extracted is installed. The sea-breaker stationary platform with a boring complex
for well-drilling with maximum length on a trunk up to 7,400 m is built. In total on the field it will be drilled 33 extracting wells, 3 water-
injection and 1 gas injection. Maximum level of production of oil will be 2.5 million tons per year, gas – 1 billion cubic metres per year.
Reserves of hydrocarbons on the field are estimated at 274 million BOE.
 10
Corporate Profile 2019

OPERATIONAL STRUCTURE OF CASPIAN OIL AND GAS

 11
Corporate Profile 2019
 12
Corporate Profile 2019

OIL RESERVES
Distribution of oil reserves by countries (2018) - CASPIAN OIL AND GAS carries out exploration works in 9 countries of the
world
- CASPIAN OIL AND GAS has proven oil reserves in 5 countries of the world
-The group's proven oil reserves as of the end of 2018 is 13.696 billion barrels.
- The share of CASPIAN OIL AND GAS group in universal reserves of oil as at
the end of 2018 is 1.03%
- The proven oil reserves of CASPIAN OIL AND GAS group in 2018 decreased
by 5.3%, mainly in connection with the transfer of a part of stocks from proven
stocks of the lowest of category

Proven oil reserves of largest private oil companies in Share of CASPIAN OIL AND GAS group in global oil reserves, %
the world (31.12.2018), bln bbl.

Caspian

Countries in which CASPIAN OIL AND GAS holds oil reserves

 13
Corporate Profile 2019

GAS RESERVES
- CASPIAN OIL AND GAS carries out exploration works in 9 countries of Distribution of gas reserves by regions of the world (2018)
the world

- CASPIAN OIL AND GAS has proven gas reserves in 4 countries of the
world

- The proven gas reserves of CASPIAN OIL AND GAS group as of the
end of 2018 make up 22.850 trillion cubic feet

- The share of CASPIAN OIL AND GAS group in universal reserves of

gas as of the end of 2018 makes up 0.35%

- The proven gas reserves of the group decreased in 2018 by 21.9%,

mainly in connection with the transfer of part of stocks from proven
stocks of the lowest category

Proven gas reserves of largest private oil companies in the

Share of CASPIAN OIL AND GAS in universal gas reserves, % world (31.12.2018), bln cub. feet.

Caspian

Countries in which CASPIAN OIL AND GAS holds gas reserves

 14
Corporate Profile 2019

OIL PRODUCTION
Distribution of oil production by countries of the world - CASPIAN OIL AND GAS carries out oil production (preparation for
(2018)
production) in 6 countries of the world
- In 2018, oil production by CASPIAN OIL AND GAS group was 97.615
million tons (720 million barrels)
- The share of CASPIAN OIL AND GAS group in universal oil production in
2018 was 1.60%
- Oil production by CASPIAN OIL AND GAS group grew for the last five years
by 6.4%

Share of CASPIAN OIL AND GAS in universal oil production, %

Oil production by largest private oil companies in the Countries in which CASPIAN OIL AND GAS carries out oil production
world (31.12.2018), bln bbl./day
(preparation for production)

Caspian
 15
Corporate Profile 2019

GAS PRODUCTION
- CASPIAN OIL AND GAS carries out gas production in 4 countries of the Distribution of gas production by regions of the world (2018)
world
- In 2018, gas production by CASPIAN OIL AND GAS reached 17.717 bln
cubic metres
- (626 billion cubic feet), including commodity – 14.898 bln cubic metres
(526 billion cubic feet)
- The share of CASPIAN OIL AND GAS group in universal gas production
in 2017 reached 0.59%
- Gas production by CASPIAN OIL AND GAS grew in the last five years by
2.3 times

Share of CASPIAN OIL AND GAS in universal gas production, % Oil production by largest private oil companies of the world.
(31.12.2018), mln BOE/day

Caspian

Countries in which CASPIAN OIL AND GAS carries out gas production
 16
Corporate Profile 2019

OIL REFINING
Distribution of refining capacities by regions of - CASPIAN OIL AND GAS owns oil refining capacities in 6 countries of the world
the world (31.12.2018)
- Total capacity of oil refineries of the group as at the end of 2018 is 65.5 million
tons per year, or 1.28% of universal capacities
- In 2018, at the oil refineries of CASPIAN OIL AND GAS group, 57.7 million tons
(455 million barrels) of crude oil (raw materials) were processed making up 1.51%
from universal volume of oil processing
- For the last five years oil refining at the plants of CASPIAN OIL AND GAS group
grew by 32.6%, and the share of the refineries of the Company in universal oil
processing grew by a third

Distribution of refining volumes by regions of the

world (31.12.2018)

Oil refineries of CASPIAN OIL AND GAS group

 17
Corporate Profile 2019

SUPPLY OF OIL ON INTERNATIONAL MARKET

In 2018, CASPIAN OIL AND GAS group traded about 41 million tons of oil in the
international market that makes up 1.21% of market size

Share of Russia in supply of crude oil on international market, % Distribution of oil export by regions of the world (2018)

Share of CASPIAN OIL AND GAS group in supply of crude oil on

international market, %

Main export loading areas for oil supplied by CASPIAN OIL AND GAS
 18
Corporate Profile 2019

CASPIAN OIL AND GAS TODAY

CASPIAN OIL AND GAS
Large oil and gas business group with an annual turnover of more than 30 billion dollars. Main
resource base and the main region of oil production of the Company remains Russia and the
Caspian region. The company possesses oil refineries and mini-oil refineries and also gas
processing plants. Besides, two petrochemical enterprises are a part of the group.

CASPIAN OIL AND GAS today:

- 15,6% of oil reserves in Russia
- 16,6% of oil production in Russia
- 14,1% of oil refining capacity in Russia
- 16,1% of oil exports from Russia
- 20,3% of refined petroleum products export from Russia

- Leader among Russian companies in terms of access to information and

accountability
- One of the private Russian oil companies in which the share capital is mainly held
by minority shareholders

Dynamics of growth of CASPIAN OIL AND GAS (2018), %

Caspian
 19
Corporate Profile 2019

RESERVES AND PRODUCTION

- The proven oil reserves of CASPIAN OIL AND GAS group as at the Distribution of proven oil reserves of the group (31.12.2018)
end of 2018 was 11.08 billion barrels, or 12.6% of Russian stocks and
95.5% of cumulative stocks of the Company

- The proven gas reserves of CASPIAN OIL AND GAS group as of the
end of 2018 was 12.2 trillion cubic feet, or 56.8% of cumulative stocks of
the Company

Share of CASPIAN OIL AND GAS on Russian territory in terms of total Distribution of oil production of the group (2018)
production, %

Distribution of proven gas reserves of the group (31.12.2018)

- In 2018, 8.36 bln cub. m. of commercial gas was produced which made
up 1.4% of all Russian production and 62.3% of cumulative extraction of
commercial gas of the Company
 20
Corporate Profile 2019

OIL REFINING

- Total refining capacity of Russian oil refineries of the group as of the

end of 2018 is:

- 42.3 million tons per year (304 million barrels/year)

- 16.1% of total Russian capacities

- In 2018, at own refineries, the Company processed 37.46 million tons

of oil that made up 13.9% of total Russian oil processing

- For the last five years the volume of oil refining of CASPIAN OIL AND
GAS grew by 16.1%
 21
Corporate Profile 2019

EXPLORATION AND PRODUCTION

Main projects and regions of CASPIAN OIL AND GAS in exploration and production activities
 22
Corporate Profile 2019

CONTACT INFORMATION

Central Offices:

Russian Federation
Naberezhnaya Tower Complex, Block C,
10 Presnenskaya Naberezhnaya,
Moscow 123317, Russia.

E-mail: export@caspiangasoil.com

Azerbaijan
The Landmark Office Plaza III,
12th floor, 90 A Nizami Street,
Baku, AZ1010, Azerbaijan.

E-mail: baku@caspiangasoil.com

United Arab Emirates

Al Nakheel, P.O. Box 328050,
Ras Al Khaimah, United Arab Emirates.

Email: gulf@caspiangasoil.com