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13.5. On purchase of Russian-made products (Letter of Rosimushchestvo No. GN-13/7796 dated April 3, 2009) (Order No. 7)

In accordance with the resolution of the Board of Directors dated February 10, 2009, provisions providing for establishment of preferences for the suppliers of Russian goods, taking into account the specifics of JSC “Transneft”, were included in the effective local regulations of JSC “Transneft”, stipulating the order of holding tenders for acquisition of materials and equipment for the needs of JSC “Transneft”.

Currently JSC “Transneft” continues the gradual policy of replacing the acquisition of the foreign products with the Russian ones.

Foreign products are currently acquired only with the purpose of provision of safe work of foreign equipment bought in the 70s-90s, due to the absence of analogues in the Russian market, or the impossibility of delivery by Russian producers within the necessary terms.

Within the framework of implementation of the production programs, in 2012 tenders were held and equipment and material supply contracts were concluded to the amount of 65,303.9 mln rubles (excluding VAT) with the share of the Russian-made products accounting to 85%.