LUKOIL’s Management Committee has approved the Program for Occupational Safety, Improvement of Working Environment and Safety Arrangements, Emergency Prevention and Response for 2006-2010.

Total amount of financing for the Program will amount to RUR 26.7 bln, foreign companies of the LUKOIL Group will receive $73 mln.

Key goals and objectives of the Program include attaining such a level of occupational safety, working environment and safety arrangements, emergency prevention and response, which would fully comply with the appropriate stage in development of science, technologies and society, meet regulatory requirements prescribed by the Russian and international laws, and follow best domestic and foreign practices.

The Program implementation will allow the Company to substantially reduce risks related to breakdowns, incidents, fires and emergencies in the LUKOIL's assets, as well as mitigate risks caused by occupational accidents and diseases.

The amount of RUR 28.2 bln was spent on activities under the previous Program for Occupational Safety, Improvement of Working Environment and Safety Arrangements, Emergency Prevention and Response in OAO LUKOIL Organizations for 2001-2005.

LUKOIL is a recognized leader among Russian companies in terms of HSE management. The Company was recertified and granted certificates of conformity for health, safety and environment management systems under ISO 14001 International Standard and OHSAS 18001 Standard. After receiving its first certificates in 2001, LUKOIL has been constantly improving its HSE management systems, which, in particular, allowed the Company to achieve better compliance with the investors’ criteria and to reduce direct and indirect costs.

By 2007 LUKOIL plans to certify HSE management systems in all of its affiliated and associated organizations to ensure their compliance with the requirements of international standards.

In 2005 LUKOIL fully implemented a Corporate Program for Environmental Rehabilitation of Polluted Lands and Emergency Oil-Spills Prevention in Komi Republic for 2000-2005, with over RUR 4.6 bln invested in this region for environmental activities.