PROSECUTOR’S OFFICE
OF THE RUSSIAN FEDERATION

PROSECUTOR’S OFFICE
Khanty-Mansiisk Autonomous District
628012 Khanty-Mansiisk
Chekhova St., 1 “a”
Tel.: (34671)3-32-89

General Director
TNK-Nizhnevartovsk
N.G. Smolyar

July 6, 2001

WARNING: Legal Violations Can Not Be Tolerated

On June 28, 2001 an extraordinary shareholders meeting of JSC Yugraneft Corporation was held initiated by TNK-Nizhnevartovsk. TNK-Nizhnevartovsk participated in this meeting as the owner of JCS Yugraneft Corporation’s shares. However, TNK-Nizhnevartovsk’s participation in the meeting was illegal.

In compliance with the article #51 of the Law of the Russian Federation “On Joint Stock Companies” a list of shareholders that have the right to participate in the general shareholders’ meeting, can be prepared only based on the Registry of company’s shareholders. TNK-Nizhnevartovsk has not been registered in the Registry of company’s shareholders.

Due to this fact decisions made at the Yugraneft Corporation’s shareholders meeting where TNK-Nizhnevartovsk had the majority of voting shares, can not be considered as legal.

This letter is to inform you of the above and to warn you that your further actions as the owner of Yugraneft Corporation’s shares recognized by the court, can be considered as illegal. That is why we suggest that TNK-Nizhnevartovsk should abstain from implementation of decisions of the shareholders’ meeting of Yugraneft Corporation of June 28, 2001. Otherwise, the company’s actions can result in administrative responsibility for the arbitrary actions and criminal responsibility in case of any damages to Yugraneft Corporation.



Deputy of the Prosecutor of the
Khanty-Mansiisk district

V.A. Belan