PAO NOVATEK : NOVATEK Announces Financial Results for the Second Quarter and First Half 2023

Press Releases and Events NOVATEK Announces Financial Results for the Second Quarter and First Half 2023

26 July 2023. PAO NOVATEK ("NOVATEK" and/or the "Company") reported today disclosable consolidated interim condensed financial statements as of and for the three and six months ended 30 June 2023.

Despite the unprecedented challenges that significantly changed the operating environment, as well as the extreme volatility of global hydrocarbon prices during the reporting period, the Company once again confirmed the resilience of its business model by demonstrating strong financial performance in the second quarter and six months 2023.

In the second quarter 2023, our total revenues and EBITDA, including share in EBITDA of joint ventures, amounted to RR 314.8 billion and RR 202.5 billion, respectively. In the six months ended 30 June 2023, out total revenues and EBITDA, including share in EBITDA of joint ventures, amounted to RR 643.0 billion and RR 415.8 billion, respectively.

Profit attributable to shareholders of PAO NOVATEK amounted to RR 62.7 billion (RR 20.98 per share) in the second quarter 2023 and to RR 155.6 billion (RR 52.08 per share) in the first half of 2023.

Net cash provided by operating activities of the Group amounted to RR 95.1 billion in the second quarter 2023 and to RR 184.2 billion in the six months 2023. Our cash used for capital expenditures amounted to RR 58.6 billion in the second quarter 2023 and to RR 105.5 billion in the first half of 2023.

Key performance indicators
(in millions of Russian roubles except as stated)

	2Q 2023	1H 2023
Financial results
Total revenues	314,766	642,975
Operating expenses	(239,033)	(500,439)
EBITDA	202,467	415,776
Profit attributable to shareholders of PAO NOVATEK	62,685	155,644
Non-current assets	2,372,865	2,372,865
Non-current liabilities	262,133	262,133
Net cash position*	25,929	25,929
Production volumes
Hydrocarbons production (million barrels of oil equivalent)	158.9	321.9
Daily production (million barrels of oil equivalent per day)	1.75	1.78
Cashflowresults
Net cash provided by operating activities	95,122	184,236
Cash used for capital expenditures	58,582	105,481

^* Represents the excess of cash, cash equivalents and bank deposits with original maturity more than three months over total debt.

Disclosable consolidated interim condensed financial statements of PAO NOVATEK and the notes thereto are available on the Company's web site (www.novatek.ru/en/).

PAO NOVATEK is the largest independent natural gas producer in Russia, and in 2017, entered the global LNG market by successfully launching the Yamal LNG project. Founded in 1994, the Company is engaged in the exploration, production, processing and marketing of natural gas and liquid hydrocarbons. Upstream activities of the Company's subsidiaries and joint ventures are concentrated mainly in the prolific Yamal-Nenets Autonomous Region, which is the world's largest natural gas producing area and accounts for approximately 80% of Russia's natural gas production and approximately 15% of the world's gas production. NOVATEK is a public joint stock company established under the laws of the Russian Federation.

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