OREANDA-NEWS. On May 25, 2007 a regular OAO TATNEFT Board of Directors Meeting discussed the results of executing the budget of Tatneft for the month operation period and approved the budget for the month of June of the current year, reported the press-centre of  OAO TATNEFT.

The Board summarized the results of OAO TATNEFT financial and business activity for the first quarter of 2007. The Company produced 6 million 414 thousand tons of crude oil (101,7 %  to the level of the previous year) during the reported period with about 45% of the total produced volume accounted for by the application of the up-to-date methods of the oil recovery enhancement methods. Products sale revenues amounted to 38 billion rubles. The balance sheet profit exceeded 9 billion rubles. In the framework of the program "Development of heavy oil and bitumen reserves" application of the steam-assisted gravity drive (SGD) method allowed to produce 920 tons of oil during the first quarter of the current year while to ultimate volume of oil produced from the beginning of experimental-industrial operations at Ahalchinskoe field amounted to about 2 thousand tons of oil.

The Board of Directors reviewed the issue of selecting a strategic partner for OAO TATNEFT to develop, produce and refine bituminous oil.

The Board of Directors analyzed application of the differentiated tax for production of natural resources for the fields of the Company. It was mentioned that that enacting of the relevant Federal Law No. 151-F3 dated 27.07.2006 positively influenced the financial stability status of old oil producing regions and putting on commercial production development of the highly depleted oil fields as well as increase high viscosity oil production volumes. With regard to this the Executive Board was assigned to proceed with work on stabilization of oil production from the highly-depleted fields and also increasing the production volumes of high-viscosity oil.

The Board of Directors reviewed the audit report on the Company's financial and business activity if 2006 performed be ZAO |ENERGY CONSULTING/Audit" and by the internal auditing commission of OAO TATNEFT.

The Board of Directors reviewed a draft report of the Board of Directors on the financial and business activity of OAO TATNEFT for the year 2006. The |Board approved the annual report, annual accounting statements, including profit and loss and the Joint Stock Company's profit distribution to be proposed for approval of the annual Shareholder's Meeting. The Board entrusted the General Director of OAO TATNEFT Sh.F. Takhautdiniov to present the report to the Shareholders' Meeting.
 
The Board of Directors also approved regulations of holding the annual OAO TATNEFT general shareholders' meeting on the results of the Company's activity during the year 2006 as well as the candidacy of V.I. Gorodny, the Deputy General Director and OAO TATNEFT Property Management Department Head to act as a Chairman of the meeting. Regulations and the Chairman candidacy will be proposed for approval by the shareholders' meeting.

The Board of Directors also discussed a number of other issues of financial and business activity.