For 2013, Alliance Oil Company plans to further reduce upstream capital
expenditures to 250-290 MUSD[1] and focus on organic development of production
assets in all regions, launching gas production in the Tomsk region and
evaluating exploration potential in the Timano-Pechora region.

Downstream capital expenditures are budgeted at 430-490 MUSD[2], essentially in
line with 2012 investments, to increase capacity and complete the
hydroprocessing complex at the Khabarovsk refinery, to connect the refinery to
the East Siberian Pacific Ocean pipeline (ESPO) and to continue expansion in
the Russian Far East wholesale and retail market. Upon completion of major
investments in 2013, the Company expects to reduce downstream capital
expenditures significantly.

Upstream

As previously announced, Alliance Oil Company's objective for the upstream
segment in 2013-2015 is to extend the Company's track record of double digit
growth in production and reserves. The upstream strategy focuses on realizing
exploration and development potential in Timano-Pechora, expanding in the
highly attractive Russian gas industry and progressing the upstream joint
venture with Repsol.

For 2013, consolidated upstream CAPEX is expected to be reduced to 250-290 MUSD
and fully funded from the segment's operating cash flow. In total the Company
plans to drill 64 production and 4 exploration wells in 2013. In
Timano-Pechora, the capital expenditures program focuses on further development
of the Kolvinskoye field and evaluation and testing of the Company's expanded
resource base, following the recent license acquisitions in the region. The
Company schedules to commence gas production in the Tomsk region in early 2013.

Downstream

In the downstream segment, a new hydrocracker and other hydroprocessing units
are expected to be launched into test operations in the third quarter of 2013.
Currently, the project progress is estimated at above 95% in engineering and
procurement, and 79% in construction works. Refining capacity is planned to be
increased from 90,000bopd to 100,000bopd in 2013.

The Company has started to construct a connection from the ESPO to the
Khabarovsk refinery. The first crude supplies to the refinery by ESPO-pipeline
are expected in the beginning of 2014 with 40,000bopd and then gradually
increases to reach up to 100,000bopd in 2015. The expansion of the Company's
wholesale and retail network in the Russian Far East will continue.

Total consolidated downstream capital expenditures are planned at 430-490 MUSD,
essentially in line with 2012 investments, and will be fully funded from the
segment's operating cash flow, existing cash and debt sources. Upon completion
of the hydroprocessing complex, the refining capacity increase and the ESPO
connection in 2013, downstream capital expenditures and funding requirements
are expected to be significantly reduced going forward.

For further information please contact:

Arsen Idrisov, Managing Director, Alliance Oil Company, Tel.: +7 495 777 18 08

Eric Forss, Chairman, Alliance Oil Company, Tel.: +46 8 611 49 90

Also visit www.allianceoilco.com

[1] 2012 upstream guidance 380-450 MUSD

[2] 2012 downstream guidance 410-440 MUSD

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