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TNK-BP Holding OAO : 16 suppliers and contractors appealed to the TNK-BP Conflict Resolution Commission in June

07/05/2012| 11:23am US/Eastern
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Moscow, 5 July 2012. - This June, 16 suppliers and contractors contacted TNK-BP's Conflict Resolution Commissions, which regulate disputes between TNK-BP companies and contractors. Seven appeals were processed and nine are currently being examined.

Complaints about pre-qualification processes and selection of contractors were submitted to the following Conflict Resolution Commissions: West-Siberia, Orenburg, Saratov, Sibir and Central. The majority of the decisions were given by the Saratov Commission. In particular, a complaint about the contractor selection procedure for servicing drink vending machines to OJSC Saratov Oil Refinery was processed. Oxana Bayandina, Director of Supply Chain Management Division of OJSC Saratov Oil Refinery explained that due to the urgent need for the service, a decision was taken to sel ect the agent using a simplified method. Potential contractors were sent requests for commercial proposals and the company offering the lowest price was chosen. Having closely studied the situation, members of the Conflict Resolution Commission concluded that the tender was conducted according to the Company's established contracting rules.

Three contractors appealed to the Orenburg Conflict Resolution Commission in June. One complaint was decided in the contractor's favour, while another in TNK-BP's; hearings on another have been postponed. The Central Conflict Resolution Commission is currently examining seven complaints and one complaint is with the West Siberian commission.

Dmitry Semin, TNK-BP Director, Regional Policy Department, commented: "The feedback we get fr om contractors allows us to improve the work of the Conflict Resolution Commissions, which are a key institute of TNK-BP's contracting system."

Information for editors:

TNK-BP is Russia's third largest oil company and is owned by BP and the AAR consortium (Alfa Group/Access Industries/Renova) on a parity basis. Additionally, TNK-BP owns approximately 50% of the Russian oil and gas company Slavneft. TNK-BP's share in Russia's oil production (including its share in Slavneft) is about 16%. The Company's total proved SEC LOF reserves are 9.115 billion BOE as of December 31, 2011.

References to "TNK-BP" or "the Group" mean "TNK International and the Company's consolidated subsidiaries" unless the context requires a different reading.

For further information please contact:

Public Affairs Division: Tel. (495) 363-27-57

media@tnk-bp.com

www.tnk-bp.ru

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