Investment activities of ZARUBEZHNEFT JSC

Projects are financed in accordance with adopted investment decisions and intended to ensure the Company’s development as per the approved Long-Term Development Program. In 2019, Zarubezhneft’s JSC investment activity was related with continuing the previously initiated investment projects — prospecting and exploration of fields in the Socialist Republic of Vietnam, Cuba, and modernization of assets in Russia. The investment program for 2019 has been approved by Zarubezhneft JSC Board of Directors (Minutes No. 162 dated December 20, 2018).

The actual funding of the investment program totaled 1.9 bln RUB, including investments into the survey activities of Zarubezhneft JSC — 1.6 bln RUB, investments of the Corporate Center (expansion of the influence zone and modernization of the CC primary funds) — 0.3 bln RUB, and funding of investment decisions for the downstream segment — 0.2 bln RUB. The intra-group borrowings amounted to 2.9 bln RUB. The investment program was funded in the fiscal year taking into account the optimization measures and current demand of the subsidiaries.