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«SIBUR» LLC is the managing organization of PJSC «SIBUR Holding».

117218, Moscow, Krzhizhanovsky st., 16/1

SIBUR Increases Spending on Personnel, Safety in the Workplace and on Protecting the Environment in 2010

Moscow, 4 July 2011. SIBUR has published its social report for 2010 on the official company website.

The holding company's consolidated social spending amounted to more than RUB 1.95 billion, an increase of 14% on 2009. This included programme budgeting for voluntary medical insurance, covering more than 90% of the companies of the holding, and amounted to more than RUB 176 million. Payments made by SIBUR to charitable causes exceeded RUB 513 million in 2010, of which RUB 293 million was directed through a regional partnership. Growth of average wages for the company as a whole amounted to 14%, with labour productivity rising by 16%.

SIBUR's social report for 2010 is dedicated to a system of selecting, developing and motivating company personnel. Among the priorities of this personnel policy was to further increase labour productivity, build up competencies to a global level and to effectively motivate employees to achieve this result. Company spending on continuing training and staff-development programmes more than doubled, and exceeded RUB 230 million.

SIBUR considers the most important part of its environmental mission to be the processing of associated petroleum gas (APG), which is formed during oil extraction. In 2010, processing of APG increased by 3.9% to 17.45 billion cubic metres, compared to 2009. According to figures for 2010, SIBUR allocated RUB 2.6 billion for the implementation of measures aimed at protecting the environment. That represents a 97% increase on 2009 figures. At the same time, the amount of spending required as a result of a negative environmental impact decreased by 14% in 2010, compared with the previous year. Emissions of pollutants into the air decreased in 2010 by 11%.

In April 2011 SIBUR confirmed its compliance with the requirements of the corporate environmental management system, as set out by international standard ISO 14001:2004. In 2010, an environmental code of conduct for SIBUR employees was adopted.

SIBUR also allocated RUB 3.6 billion in 2010 on measures to ensure labour protection and on-site safety. The accident frequency rate at SIBUR's companies is at the level of the world's leading petrochemical companies. The task for 2011 is to further reduce this rate to 1.1.

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Anna Lebed

International Media Relations

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