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Licensing

Rosneft is a highly responsible user of mineral resources, strictly observing all of its license commitments.

Under the Russian law, exploration or production of mineral resources is subject to an appropriate license. Such license is issued by competent authorities and it contains information about the subsoil block to be developed, about timelines, financial and other mineral use conditions. The Company holds a number of licenses issued by competent authorities for geological surveys, exploration and extraction of raw materials at oil and gas areas within the territory of the Russian Federation and its continental shelf.

As of December 31, 2014, the Company holds 858 licenses, including 50 offshore licenses.

In 2014, 28 new licenses were acquired. All license commitments are being honoured. A massive exploration program was carried out on the Arctic and Far Eastern shelf.

The discovery of an offshore field called Pobeda in the Kara Sea and acquisition of a license of federal significance, i.e. Minkhovskoye license area, contributed to the highest increment of gas reserves in absolute and percentage terms according to the Russian classification.