OREANDA-NEWS. On July 29, 2008 regular OAO TATNEFT Board of Directors meeting chaired by R.N. Minnikhanov Prime Minister of the Republic of Tatarstan was held in Almetyevsk, reported the press-centre of TATNEFT.

The Board of Directors reviewed the results of OAO TATNEFT budget execution for the first half of the year and approved the budget for the month of August of the current year.
The Board discussed the progress of fulfilling the program of developing extra viscous oil fields.

As of June 1, 2008 the balance of OAO TATNEFT includes the reserves of 21 extra viscous oil fields containing 118 million tons of oil in place and 41.5 million tons recoverable reserves.

Starting with application of the steam assisted gravity drainage at Ashalchinskoe oil field the amount of 14.5 thousand tons of extra viscous oil has been produced, including 7.7 thousand tons from the beginning of this year (data for 01.07.08.).

The daily bitumen production rate of the first pair of wells in June amounted to 15.4 tons, the second pair - 20 tons. Extra viscous oil production from the third pair of wells started on July 11. A program has been prepared for drilling with application of the slanted drilling rig and the plans provide for the start of drilling operations in the fourth quarter of the current year.

Appraising positively the results achieved the Board of Directors assigned the Executive Directorate of the Company to proceed working in accordance with the program approved.
The Board of Directors reviewed the information on the progress of Construction of the Complex of Petrochemical and Refining Factories in Nizhnekamsk.

The works on preparation of the design documentation as well as for financing of the construction for submitting to the State expertise are performed in accordance with the schedule. Starting from the beginning of the construction the amount of 32.1 billion rubles for capital expenditures was financed from and 20.9 billion rubles have been spent.

The Government of Tatarstan has adopted an appropriate resolution to provide for staffing of the future complex with personnel: the agreements have been concluded with a number of refining and petrochemical entities on the corporate partnership to arrange for practicing, advanced training and leasing of personnel and labor migration.

Construction of the first housing township for the builders and attracted personnel has been completed with total area of 46 thousand sq. meters and the plans provide for additional construction of 160 thousand sq. meters of housing.

The Board of Directors also considered a number of other issues of OAO TATNEFT activity.