ABO UT T HE CO MP ANY 10
Abo ut th e Co 11 mpa ny

Significant topics and stakeholders

Our glob al re ach	13
Busi mod el ness	15

About the Report..............................................................................

...................................................

STR ATE GIC RE POR T	18
Add of th e Ch airm f the Boa rd of Dire ctors ress an o	19
Add of th e Ge l Dire ctor, ress nera
the C hairm f the Man ent B oard an o agem	20
Sust aina ble D evel ent S trate opm gy	2 1
Integ ratio n of the S usta inab le De velo nt G oals pme	27
Sign ifica nt ev ents of th e Co ny's sust aina ble d evel ent . mpa opm	39
Key Indic ators	41
Mac ics roec onom	47
Inve stme nt Po licy	52
Fund Rais ing	53
Inno vativ tivitie e ac s	55
Tax Polic y	63
Gov ent R elati ernm ons	64
Sup ply C hain	65
Prod uct Q ualit y	72

CO RPO RAT E G OV ERN AN CE.	78
Corp Gov Syst orate erna nce em	79
Gov Stru cture erna nce	82
Gen eral Mee ting of S hare hold ers.	83
Boa rd of Dire ctors	84
Com mitte f the Boa rd of Dire ctors es o	97
Aud it Co mmi ttee	98
HR a nd R tion Com mitte 10 emu nera e	0
Sust aina ble D evel ent opm
and Corp orate Gov Com mitte erna nce e	101
Corp orate Sec retar y	103
Exec utive Bod ies	.104
Sys Rem ation tem for M emb uner ers
of G the C d Ma t Bo dies of over nanc e an nage men omp any	106
Sha reho lders ' Equ ity	110
Divid end polic y	114
Prot ectio d En forc nt of Sha reho lder Righ ts n an eme	115
Inter actio n wit h Sh areh olde d Inv esto rs an rs	117
Corp Con trol a nd B usin Ethic orate ess s	119
Infor mati on P olicy	128
Busi Ethi 13 ness cs	0
Anti- Corr uptio n Po licy.	.133
Antim oly P olicy 13	5
onop Syst f Re ing A dver se Im port pact em o s	136
Corp orate Cyb curit y Po licy. 1 erse	37

SUSTAINABLE DEVELOPMENT...........................140Sustainable Development..............................................................

Sust aina ble D evel ent M nt opm anag eme	1 42
Hum an R ights	.146
Staff	14 7
Colle ctive ntati rep rese on	.158
Soc ial se curit y	16 0
Prod uctio n Sa fety	162
The Envi ent ronm	171
Dec arbo nizat ion S trate f the Com gy o pany	174
Air e miss ions	18 3
Wate r inta ke a nd w ater tion cons ump	19 2
Was te m nt anag eme	200
Resp onsi ble c mpti onsu on	204
Biod ivers ity co vatio nser n	2 07
effic Reso ienc urce y	213

PROMOTION OF SOCIAL DEVELOPMENT............220

Man ach ent a agem ppro	2 21
Cha ritab le Fo unda tion	225
Soc ial in frast re de velo ructu nt pme	228
Inve nt in futu tions stme re ge nera	232
Pres tion of cu ltura l her itage erva	2 40
Inter actio n wit h loc al in dige ple nous peo
living ditio nal l ifest yle a tra	.242
Hea lthy lifest yle	2 43
Sup port for d evel ent i nitia tives opm	248
Mem bers hip i n As soci ation s	24 9
Forw ard- look ing s tate ts men	250
Publ ic as of th ort sura nce e rep	251
limit ed li abili ty in depe nden t Aud it Re port	252

APPENDIX

Report on compliance with principles and recommendations of Corporate Governance Code ................. 255 Key Risks ......................................................................................277 Report on Major and Non-Arm's Length Transactions Entered Into By Pjsc Tatneft Named After V.D. Shashin In 2022 ....... 284

nal d ents of th e Co ocum mpa ny	288
Inde x	289
D ind ex	97
f abb revia tions	298
tact infor mati on	300
	Inter GRI TCF 2 List o Con

141

GRI TCFD

The Report contains the results of the activities of PJSC

TATNEFT n.a. V.D. Shashin and the organizations included

in the TATNEFT Group. The TATNEFT Group is understood

in accordance with the International Financial Reporting

Standards (IFRS). As of 31.12.2022, the Tatneft Group

consolidated financial statements under IFRS for 2022.

The financial indicators in the Report are disclosed based on

the consolidated financial statements of the TATNEFT Group

of Trust – Audit in accordance with international auditing

under IFRS for 2022, which were audited by JSC Technologies

In preparing this Report, we apply the following standards and

The main controlled organizations are listed in the

REPORTING SCOPE

incorporated 126 companies.

standards.

guidelines:

26.12.1995

◎

STANDARDS

ABOUT THE REPORT

GRI 2-2, 2-3, 2-5, 2-14

Integrated Annual Report of PJSC TATNEFT n.a. V.D. Shashin for 2022 (hereinafter, the "Report") is the 18th report which includes indicators that characterize sustainable development and responsible behavior towards stakeholders.

The reporting period is annual. The previous Report was disclosed on June 23, 2022. This Report was generated for the period from January 1 to December 31, 2022, and includes information on the TATNEFT Group as a whole. The Report also includes data on significant events after the reporting period. The financial reporting period is an annual period that coincides with the Report period.

The 2022 Integrated Annual Report of PJSC TATNEFT n.a. V.D. Shashin was preliminarily reviewed by the Board of Directors (Minutes No. 4-з dated 16.05.2023).

The Report contains the main priorities, goals, objectives, key indicators and significant events, actions and plans of the Company in the field of sustainable development, corporate, social, and environmental responsibility.

The Report is addressed to a wide range of stakeholders: shareholders and investors, representatives of state authorities, local self-government authorities, workers, partners and clients, public and environmental organizations, scientific and educational institutions, a wide range of Russian and international communities, and the local population.

The key communication objective of the Report is the formation among stakeholders of the most complete understanding of the Company's activities as a whole, strategic plans, and the potential for their implementation, the results achieved, as well as the measures taken to improve the efficiency of the business model, taking into account the aspects of sustainable development.

The Company has various channels for providing feedback. Suggestions on the Report are accepted via telephone and e-mail specified in the Contacts section. All messages are considered and taken into account when preparing the Report for the next period of activity. To avoid duplication of information, this Report provides links to other publicly available documents. Abbreviations and definitions of the concepts used are presented in the List of Abbreviations.

The Company believes that independent verification of the disclosed information, as well as the public assurance of the Report, are the important conditions for the Report preparation. The audit firm's conclusion is published on p. 252. The conclusion on passing the Report public assurance with the RUIE Nonfinancial Reporting Council is published on p. 251 of this Report.

GRI TCFD

Regulation "On Disclosing Information by Issuers of Issue-Grade Securities" approved by Bank of Russia Order No. 714-P dated 27.03.2020

Federal Law No. 208-FZ "On Joint Stock Companies" dated

◎

Code of Corporate Governance recommended by Bank of Russia Letter No. 06-52/2463 dated 10.04.2014

◎

Bank of Russia Letter No. IN-06-28/102 "On Disclosure of Information on Compliance with the Corporate Governance Code Principles and Recommendations in Annual Reports of Public Joint Stock Companies" dated 27.12.2021

◎

Bank of Russia Information Letter No. IN-06-28/49 "On Recommendations for Disclosure by Public Joint Stock Companies of Nonfinancial Information Related Their Activities" dated 12.07.2021

Listing rules of PJSC Moscow Exchange

◎

GRI 2021 standards, industry standard GRI 11: Oil and Gas Sector 2021

◎

Recommendations of the Task Force on Climate-Related Financial Disclosures, TCFD

As a methodological basis, when preparing the Report, we focus on:

According to the Report text, the names and words

"TATNEFT," "TATNEFT Group," "Company," "Group," and

the pronoun "we" shall mean the aggregate of legal entities,

including Public Joint Stock Company TATNEFT named after

V.D. Shashin and the organizations controlled by it with direct

and indirect participation in their authorized capital, forming

The name and words "PJSC TATNEFT n.a. V.D. Shashin,"

"PJSC TATNEFT," "Company" in the Report text shall mean

PJSC TATNEFT n.a. V.D. Shashin as a separate legal entity.

◎ UN Global Compact Principles

the TATNEFT Group.

◎Sustainable Development Goals Compass

◎ Greenhouse Gas Protocol

◎ IPIECA Guidelines for Voluntary Reporting on Sustainable Development in Oil and Gas Sector

◎ International Integrated Reporting Framework

ISO 26000 Guidance on Social Responsibility

◎ AA 1000 standards developed by the International Institute for Social and Ethical Reporting (Account Ability)

◎

Recommendations of the Russian Union of Industrialists and Entrepreneurs (RUIE) on maintaining and promoting the sustainable development agenda in modern Russian practice

◎

The Report contains forward-looking statements regarding indicators characterizing the Company's further development.

information on forward-looking statements, please refer to the Forward-looking Statements section.

The implementation of plans and intentions is connected with the changing political, economic, social, and legal situation in

the Russian Federation and the world. Due to this, the actual results of operations may differ from those forecasted. For more

Baseline Performance Indicators. RUIE Recommendations for Use in Management Practice and Corporate Nonfinancial Reporting.

REPORTING PRINCIPLES

SUSTAINABLE DEVELOPMENT CONTEXT

When preparing the Report, the Company considers the results of its activities in the context of sustainable development. The Report outlines all significant issues, indicators, and initiatives in the field of preserving economic sustainability, improving environmental safety, and strengthening social stability in society. It also examines and analyzes aspects of human rights observance, ensuring cybersecurity and the level of combating and preventing corruption.

ACCURACY

The Company strives to ensure that the information provided in the Report is accurate and detailed enough so that stakeholders can use it to make decisions with a high degree of confidence. The acceptable level of error in the data is minimized. Data are presented using the generally accepted international units and calculated using standard coefficients.

BALANCE

As part of observing the principle of balance, the Report reflects both favorable operating results and the problems the Company faces. The degree of attention to various issues is proportional to their relative materiality.

CLARITY

The Company makes every effort to ensure that the information presented in the Report is clear, understandable, and useful for various stakeholders. The Report contains a list of abbreviations explaining the industry, scientific, and technical special terms and abbreviations.

COMPARABILITY

The Report ensures the comparability of the results of the Company's activities over the past periods. An explanation is provided for each material change in terms of the boundaries, scope, or reporting period. To ensure a comparison of the Company's performance with the results of other companies, when preparing the Report, the indicators included in the GRI guidelines and technical protocols were used.

COMPLETENESS

The Company strives to disclose information in the economic, environmental, and social areas of its activity to the fullest extent possible. The set of issues reflected in the Report is sufficient for the users of the Report to assess the performance of the Company as a whole and its contribution to the sustainable development of society.

TIMELINESS

The Company understands the need for timely submission of information, therefore, the publication of the Report is carried out annually, within the time limits established by current legislation for the publication of annual reports.

VERIFIABILITY

The reliability of the data contained in the Report is confirmed by the Company's Revision Commission. The Audit Committee evaluates the content of the Report, including financial indicators, indicators of the production part, social investments, environmental protection costs, and carbon footprint reduction. The Board of Directors preliminarily reviews the Report and submits it for approval to the General Meeting of Shareholders.

The Company believes that independent verification of the disclosed information, as well as the public assurance of the Report, are the important conditions for the Report preparation.

The audit firm's conclusion is published on p. 252. The conclusion on passing the Report public assurance with the RUIE Nonfinancial Reporting Council is published on p. 251 of this Report.

SIGNIFICANT TOPICS AND STAKEHOLDERS

GRI 2-14, 2-29, 3-1, 3-2

We strive to present information in a balanced manner in accordance with the interests of each group. The Company uses various forms and mechanisms of interaction with stakeholders to achieve sustainable development goals effectively. The procedure for interaction with key stakeholders is defined in the corporate standards, rules, and regulations of the TATNEFT Group.

To determine the material topics of the report, the Company analyzes and takes into account the aspects that affect the interests of the Company itself and its stakeholders as well as the aspects that affect the industry, social, environmental, and corporate factors in the reporting period.

The Company uses a reasonable approach to select the topics of the Report content. This approach is based on interaction with various stakeholder groups and their representatives, which allows for identifying the relevance of the topics concerning the Company's activities and taking into account their opinions and recommendations for analyzing opportunities to improve the effectiveness of socially oriented programs and investments in sustainable development. In the course of analyzing the Company's interaction with stakeholders and identifying significant topics of the Report, the recommendations of the GRI standard were analyzed, interviews with managers and specialists of the Company and group and individual meetings were conducted, including within the framework of investment conferences.

I

33 potentially material topics were identified, which were considered at the meeting of the Company's Management Board for Sustainable Development, stakeholders were identified in accordance with the GRI recommendations followed by the assessment of each topic's impact on stakeholders according to four criteria. A survey of eight groups of stakeholders and experts was conducted. The scores for all criteria were summed up. Based on the obtained data array, a frequency diagram (histogram) was made in accordance with the Gaussian normal distribution function. Topics with a score of 273 or more points became the threshold for inclusion in the list of material ones.

When preparing the integrated annual report for 2021, the methodology for selecting material topics significantly differed from that used in this Report and was also carried out according to the GRI standards introduced before 2022, wherefore the Company considers it inappropriate to compare the year-to-year changes in material topics.

Topics not recognized as material, based on the results of the analysis

the topic was recognized Material Topics

PROCEDURE FOR DETERMINING MATERIAL TOPICS

Identification and approval of stakeholders

Stakeholders:

◎ shareholders and investors

◎ workers and trade unions

◎ new generations

◎ population and local communities

(preschoolers and students)

II Survey of stakeholders and experts

◎ counterparties

◎ educational institutions

◎ external organizations

(NPOs, sports organizations)

◎ clients

Analysis and assessment of materiality

IV Identification of material topics required to be IIIdisclosed in the Report

as material by the decision

of the expert group

The assessment of material topics revealed 18 categories that fall under the criteria of materiality. Also, the expert group of the Governing Council for Sustainable Development recommended that the Report "Biodiversity" be additionally put on the list of material topics. (note: red in the table)

GRI 11 Oil&Gas 2021 standard contains a list of possible material topics to be considered by industry companies. Therewith, it was revealed during the analysis that stakeholders did not recognize some of the topics of the standard as material. The Company believes that these topics are regulated in detail by national legislation and do not need additional regulation by internal standards. At the same time, approaches to these topics are partially disclosed in this Report.

ABOUT THE COMPANY

GRI 2-1, 2-6

Tatneft Group is one of the largest vertically integrated oil companies in Russia in terms of oil production, proven oil reserves and refining capacity, with an 80-year operating history. Its core business is the exploration, development, production, refining and marketing of crude oil and petroleum products. The Company is also engaged in the following activities:

◎ gas production and processing
◎ production and sale of petrochemical products
◎ production of industrial equipment
◎ provision of engineering design services
◎ supply of electric and thermal energy
◎ production of composite materials
◎ development of biological technologies
◎ industrial waste treatment

The Company's key production assets are located in the territory of the Russian Federation with the main concentration in the Republic of Tatarstan. Business projects are implemented in both domestic and foreign markets. The business infrastructure is formed by the geographical proximity of production facilities and efficient logistics.

The Company has been operating in the status of a public joint stock company listed on the international stock market for over 25 years. The global reach of its shareholders spans more than 30 countries.

PJSC TATNEFT n.a. V. D. Shashin was established in accordance with Decree No. UP-466 of the President of the Republic of Tatarstan "On Measures for Transformation of State Enterprises, Organizations, and Associations into Joint Stock Companies" dated 26.09.1992, and Republic of Tatarstan Law No. 1403-XII "On Transformation of State and Communal Property in the Republic of Tatarstan (on Denationalization and Privatization)" dated 05.02.1992. The Company's headquarters is located in Almetyevsk, the Republic of Tatarstan, the Russian Federation.

The Company has representation offices in Moscow, Kazan, Ukraine, the Republic of Iraq, the Republic of Kazakhstan, the Republic of Uzbekistan, as well as branches in Libya and Turkmenistan.

The Company does not have a major controlling shareholder. The Government of the Republic of Tatarstan controls 34% of the authorized capital. The Company has a special right — a "golden share" — that allows the Government of the Republic of Tatarstan to appoint one representative to the Board of

Directors and one representative to the Revision Commission of the Company as well as to veto the General Meeting of Shareholders' decisions specified by legislation.

The main industry peers are all Russian oil majors, including Rosneft, PJSC LUKOIL, PJSC Surgutneftegas, PJSC Gazprom Neft, and PJSC ANK Bashneft as well as international oil companies. The Company competes with oil companies for the right to supply crude oil and petroleum products, as well as technologies, equipment, and engineering services.

COMPANY'S MISSION

Ensuring sustainable development based on effective management of shareholders' assets, rational use of natural resources, preservation of a favorable environment, reduction of the impact on climate aspects, and high corporate social responsibility

KEY OBJECTIVE OF THE COMPANY

Ensuring the most effective monetization of reserves and directing the profits received to create new promising points of value growth, to diversify the business, transition to rational consumption and production models, development of environmental projects, including reducing greenhouse gas emissions, which would contribute to maintaining a stable position and profitability of the Company

OUR GLOBAL REACH

LARGEST OIL FIELDS AND MAIN PRODUCTION OPERATIONS WITHIN THE REPUBLIC OF TATARSTAN, EXPLORATION AND PRODUCTION OUTSIDE THE REGION

GRI TCFD

OUR RESOURCES (CAPITALS)*

NCI FINA AL	NAT URA L
8 4 .4 R U B 1 BILLI ON IN INVE STME NTS	0 .8 R U B 1 BILLI ON O F INV ESTM ENTS IN ENVIR ONME NTAL PROT ECTIO N
R U B 1 7 7 .6 CAPI VEST S BILLI ON IN TAL IN MENT	INTE LLE CTU AL
SOC IAL TIO AND REP UTA NAL	8 RESE ARCH CENT ERS ( R&D)

OPERATIONAL

126 ENTERPRISES OF THE TATNEFT GROUP

10 BUSINESS AREAS

66 THOUSAND PEOPLE OF QUALIFIED PERSONNEL

ABOUT THE COMPANY

ACTIVE PARTICIPANT

IN THE UN GLOBAL COMPACT

HUMAN

The landmark guidance for the Company is the UN Action Program "Transforming Our World: the 2030 Agenda for Sustainable Development." TATNEFT integrates 10 Principles and 17 Goals of sustainable development

Steady reduction

of environmental impact

Compact. Sustainable development is one of the Company's strategic priorities and includes comprehensive coverage of factors and corporate actions that are aimed at achieving the goals of ensuring a high level of industrial and environmental safety, reducing the impact on the environment, occupational safety, and preserving the climate, providing social guarantees to personnel, developing a healthy social infrastructure in the territories of the Company's operations, the growth of local economies, and high quality of life of the population as well as the development of information technologies and cyber security.

into its business model as a member of the UN Global

Ensuring the sustainability of the Company through achieving the SDGs

The development of the Company's business model is based on:

◎ Integration into business processes of the Sustainable
Development Goals ◎ Implementation of decarbonization
tasks ◎ Introduction of the circular
economy principles ◎ Attention to the needs of
stakeholders ◎ Creation of a favorable

environmental and social environment

* Definition of capital types, as well as the list thereof, is provided under the International Integrated Reporting Framework published by the International Integrated Reporting Council (IIRC).

OF TRAINING PER WORKER

RUB 280 MILLION ALLOCATED TO STAFF TRAINING

INTELLECTUAL 3,235

ACTIVE INTELLECTUAL PROPERTY ITEMS

NATURAL

SOCIAL AND REPUTATIONAL 0.944 MILLION TONNES OF СО2 (EQ)

OUR RESULTS

FINANCIAL

27.6

TO SHAREHOLDERS

RUB 475

BILLION OF ADJUSTED EBITDA

BILLION OF PROFIT PAYABLE

RUB 197

BILLION OF FREE CASH FLOW

RUB 284.6

OF ACCRUED TAXES, CHARGES, AND FEES

RUB 26.9

BILLION IN SOCIAL INVESTMENTS

% ROACE

RUB 608 BILLION AS ENVIRONMENTAL EFFECT OF ACTIVITIES UNDER THE PROGRAM TO REDUCE GREENHOUSE GAS EMISSIONS

OPERATIONAL THE RESULTS ARE INDICATED IN THE BUSINESS MODEL

STRATEGIC REPORT

CHAIRMAN

SUSTAINABLE

ACTIVITIES ... 55

GOVERNMENT

OF DIRECTORS ... 19

DEVELOPMENT GOALS NAVIGATOR ... 29

FUND

RELATIONS ... 64

RAISING ... 53

DEVELOPMENT ... 39

SUPPLY CHAIN ... 65

PRODUCT QUALITY ... 72

BOARD

DEVELOPMENT STRATEGY ... 21

OF THE MANAGEMENT BOARD ... 20

IN

TEG

SIG

RES

TAX

NIFICA

AC

P

OEC

NT EVEN

OF THE S

OLICY ... 63

ATIO

DRESS F THE C

OF THE GEN

MIC

VESTM

S ... 47

OF TH

RAL DIRECTOR, THE

STAINABLE

USTAINABLE

HAIR

MAN

IN

COMPANY'S

OVATIVE

POLICY ... 52

KEY INDICATORS ... 41

SUSTAINABLE

DEVELOPMENT GOALS ... 27

THE

RUB 810.4 BILLION CAPITALIZATION

GRI 2-22

We are summarizing the year 2022 in which the changes in the global system are further unfolding.

OF DIRECTORS

Time has shown that Tatneft's expertise and competencies make it possible to solve the most demanding tasks and challenges. The Company continues to build on its momentum and is committed to delivering growth in shareholders' value in line with its strategy. We have done our best to ensure the social and economic development of the Republic and the country as a whole.

Having joined the UN Global Compact in 2019, Tatneft has integrated the principles and goals of sustainable development into its business model. The most optimal processes are selected and implemented throughout the value chain, labour productivity is increased, the efficiency of the rational use of resources is improved and a culture of energy efficiency and conservation is promoted.

The ecosystem created by the Company, based on partnerships with communities, governments and responsible investors, lays a solid foundation for economic and social development for future generations.

Dear partners, shareholders, and employees of the Company, I would like to thank you all for putting your trust and confidence in Tatneft. The Board of Directors, for its part, will continue to work on developing a successful business and strengthening the sustainability and competitiveness of the Company.

ADDRESS OF THE GENERAL DIRECTOR, THE CHAIRMAN OF THE MANAGEMENT BOARD

The energy industry is still moving ahead in the midst of unprecedented geopolitical changes. Whilst tackling the most pressing agendas, the Company is turning external challenges into new points of growth.

The viability of the Tatneft Group's business model has been proven by our success and accomplishments. Almost all business segments achieved their targets for the year. Oil production grew by 4.6%, refining output was up 26%, and petroleum product sales through the retail distribution network rose by 11%. Investment activities were boosted to strengthen financial resilience.

ESG transformation is important for sustainable business in all circumstances. Social and environmental responsibility is embedded in the DNA of Tatneft. The work is carried out in a

comprehensive manner. All projects under development are assessed for their environmental impact and contribution to the sustainable development of the regions in which Tatneft operates.

Tatneft's portfolio of production, environmental and social programmes is focused, among other things, on the climate agenda. The Company also recycles reusable materials and manufactures products with a low carbon footprint. With its green technologies, the Company is making a further contribution to a sustainable future.

We are grateful to all our partners, customers, shareholders, investors and employees of the Tatneft Group's companies for their joint efforts, and we will continue our work to ensure the Company's sustainable development for many years to come.

GRI TCFD

the objectives of preserving the environment, reducing the

carbon footprint, improving social infrastructure, expanding

innovative opportunities, economic growth, and improving

the local community and stakeholders, which improves the

targeting of the Company's initiatives and decision-making

In the strategic context, sustainable development issues

including analysis of key trends in the oil and gas industry

and the development of business areas, innovation policy,

socially oriented programs, climate/environmental issues,

involvement of top management in ensuring internal factors

HR management and other areas that consolidate the

sustainability of TATNEFT Group's development. Direct

of sustainable development helps create an effective

sustainable development results is integrated into the

governance system for ESG aspects. Assessment of the

motivation framework, which is based on KPI evaluation.

The KPI system includes SDG metrics for all goal leaders

map are integrated into the tools for monitoring strategy

implementation, business planning and process/project

and business line managers. The indicators of the ESG goal

are considered by the Company's Board of Directors,

Targeted programs are based on an open dialogue with

transparency.

management.

living standards in the areas where TATNEFT Group operates.

SUSTAINABLE DEVELOPMENT STRATEGY

GRI 2-12, 2-22, 2-23 TCFD 2.1, 2.2, 2.3

OUR VALUES

The Company's strategy includes sustainable growth and provision of favorable economic and social conditions for business development based on the most efficient use of all types of resources and creating value for stakeholders at each stage of activity. The Company recognizes the global challenges, problems and trends related to aspects of sustainable development, adheres to the provisions of the UN Global Compact, the UN Principles for Responsible Investment (PRI), the UN Sustainable Development Goals, the United Nations Environment Program (UNEP), the G20/OECD Fundamental Principles of Corporate Governance and the Social Charter of Russian Business, the RSPP Approaches to the Formation of National Indexes of Corporate Sustainability, Responsibility and Openness for Sustainable Development.

MANAGEMENT APPROACH

The Company is improving approaches to managing aspects of sustainable development (ESG aspects) based on the full integration of relevant goals with the Company's strategy. When making any business decisions, we take into account

principles of responsible business. The Company accepts the commitments in the field of human rights, labor, environment and anti-corruption, reflected in the 10 Principles of the UN Global Compact, and strives to ensure that shareholders, partners, suppliers and contractors also adhere to these Principles, creating a culture of integrity and responsibility. The Company's mission, its values, as well as goals and strategic principles are in line with the 17 UN Sustainable Development Goals (SDGs). Taking into account its business lines, the Company is focused on those areas and UN SDGs to be implemented as efficiently as possible by managing its capabilities and resources. We cooperate closely with stakeholders in taking effective actions to achieve the UN SDGs and also adhere to the principle of precaution, taking measures in advance to prevent and mitigate potential adverse consequences in all business areas.

Our stability is based on the corporate values and the

Statement of continued support for the UN Global Compact

a set of internal regulations has been put into effect to regulate sustainable

businesses in achieving the sustainable development goals

In 2022, the Company took great efforts to enable ESG transformation, continuing to build a unified effective framework for managing sustainable development:

◎

the membership and functions of the Sustainable Development and Corporate Governance Committee within the Board of Directors has been expanded

◎

the Company has established the Governing Council for Sustainable Development to improve ESG management and synchronize ESG actions at the operational level

development actions the Company has set out the ESG

developed the ESG roadmap

◎

◎there is a framework for regular monitoring SDGs and assessing the adequacy of related measures

transformation priorities and has

◎

ESG reporting has been expanded and the stakeholder communication has been improved

◎

the Company continues to involve its

GRI TCFD

MANAGEMENT

OF THE SUSTAINABLE DEVELOPMENT STRATEGY

●

translate request for adjustment of the management

approach in achieving sustainable development goals

UPDATE OF STRATEGY 2030 GRI 201-2

In December 2022, it was three years since TATNEFT had joined the UN Global Compact and the global process of achieving a sustainable future. During this time, we have taken great effective effort to reduce the climate change impact and increase the economic, social and environmental efficiency. We are aware of how important the ESG aspects are for the sustainability of our business model; that is why the Company's Board of Directors have updated the Strategy 2030 in the reporting year, covering current trends and challenges, taking into account the ESG aspects.

The updated Strategy of TATNEFT Group is developed in light of the climate challenges and opportunities as the Company implements measures to reduce and compensate for the environmental impact and continues to diversify its business. The Company's long-term goals are based on the vector of achieving carbon neutrality by 2050 in terms of controlled greenhouse gas emissions (Scope 1 and 2, taking into account compensating measures and the development of low-carbon technologies). The decarbonization will be primarily ensured by improving energy efficiency, increasing APG utilization, reducing methane emissions, using biological methods of carbon footprint reduction, and carbon dioxide capture, storage and beneficial use in the medium and long term.

The Company's ultimate goal is to ensure the growth of the Group's value by managing risks of the sustainable development agenda and introducing effective transformation approaches to achieve leadership in this respect

Sustainability planning means assessing risks and opportunities and integrating them into the value chain, from project design and investment program to the full life cycle of a project, products and services. The Company applies a scenario approach to strategic planning. The Strategy is being tested for sustainability against the below energy demand scenarios, including the climate scenario for the development of the global economy and energy, which involves achieving the goals of the Paris Agreement:

◎

The Baseline Scenario of the Strategy 2030 is based on the social economic development of the Russian Federation as forecasted by the Ministry of Economic Development

◎

The Climate Scenario is based on the Net Zero Emissions by 2050 Scenario (NZE) published by International Energy Agency (IEA), which assumes that the global warming in this century will be kept at 1.5 °C above pre-industrial levels, in line with the goals of the Paris Agreement. This scenario assumes that demand for liquid hydrocarbons, including biofuels, gasto-liquids and coal-to-liquids would decline from 96.7 million barrels per day in 2021 down to 81.9 million barrels per day in 2030, which is about 9% lower compared to the level observed in 2020 amid the coronavirus pandemic

◎

The High Oil Price Scenario is based on IEA's Stated Policies Scenario (STEPS) taking into account energy and climaterelated measures that governments have actually implemented or are developing. The scenario shows the dynamics of global energy development in the absence of tightening climate regulation and the emergence of new environmental initiatives, which would cause an increase in global average temperature by 2100 by 2.5 °C above pre-industrial levels. It assumes that demand for liquid hydrocarbons would grow from 96.7 million barrels per day in 2021 up to 105.8 million barrels per day in 2030, while global oil demand is to peak in the mid-2030s

Stress testing of the Strategy's indicators in the Climate Scenario proves that the impact on the Company's value would be acceptable compared to the Baseline Scenario.

STRATEGIC REPORT

The Company consistently integrates the principles of sustainable development into the elements of the current Strategy, makes a particular focus on maintaining a favorable environment and mitigating the climate change impacts while placing a high priority on the social aspects. Corporate responsibility and security stand as the fundamental principles for the Company.

The Board of Directors has updated the Company's Development Strategy in light of the current geopolitical and dynamic macroeconomic situation. Despite the change in the external environment, the Company maintains a strong position, thanks to its resource potential, technological expertise and oil refining/petrochemical business diversification.

TATNEFT pays special attention to increasing the resilience of its project portfolio to climate change risks. Since 2020, it has consistently introduced a mechanism for assessing and accounting climate change risks into its investment processes. Presently, it calculates and accounts potential future cost of greenhouse gas emissions for all medium and large investment projects.

Under the current circumstances, the risks and volatility of the external environment have increased significantly and, therefore, diversification remains one of the Company's strategic vectors. The Board of Directors has set some objectives to diversify the business of TATNEFT Group, including in renewable energy. The Company continues to expand its project portfolio to increase the Group's value.

Goal by 2030 is to generate at least 20% of operating income from non-fuel businesses

STRATEGIC REPORT

The main focus of goal-setting in the business areas is to provide cost leadership to ultimately lay down foundations for sustainable business growth in addition to protecting the Group's production chain and using the Company's internal capacities.

The main initiatives in oil production and fuel production/ sales are aimed at monetizing existing skills, including in other regions both nationwide and globally, and at ensuring the sustainability of the core oil business.

About 40% of the Company's project portfolio until 2030 are businesses other than Exploration & Production. Regardless of the external scenario, all projects and businesses within the Group have a margin of safety and will provide a return on capital above the cost of capital.

However, in the key area, the Company retains the ability to effectively use its own proven oil reserves, which are estimated at 847.9 million tons. This makes it possible (under the optimistic scenarios of the Strategy) to increase oil production up to 38 million tons per year by 2030. The use of state-of-the-art technologies, including digital oilfield management, 3D modeling, smart fields, in addition to re-equipment of drilling/tubing servicing rig crews enable the Company to achieve production goals more efficiently.

In the reporting year, the Company integrated the oilfield service assets into the TATNEFT Group. The creation of a multifunctional oilfield services unit will make it possible to realize its capabilities in drilling, well development, geological and technological operations, design, engineering, etc. in oil production and oil field development. Strengthening skills and developing the oilfield services unit will significantly reduce idle time and specific costs, improve the processes and increase the accuracy of achieving production targets.

In the face of new challenges, the Company considered the concept for further priority development of the petrochemical sector, including projects focused on the domestic market and maximum synergy with TANECO.

One of the Company's long-term sustainability goals is to expand its non-fuel business, with core investment in petrochemicals as the global petrochemical market has good long-term outlooks. The current investment portfolio will increase the share of non-primary businesses up to 33% and of non-fuel businesses up to 20%.

As part of the search for new business opportunities, a promising area for diversification is biotechnology. On the one hand, the use of biotechnologies will ensure the stability of the core business and help develop unique commercial offers (e.g., the use of biological products to increase oil recovery and reservoir stimulation, replacement of some petrochemical products with green components, etc.), while, on the other hand, it opens up new market niches focused on conscious consumption, care of the environment and human health (e.g., biodegradable plastics or plant fibers-based bio-composites).

An improved management system, new job management approaches and IT solutions introduced throughout the production chain allow the Company to benefit from new opportunities in project implementation. The focus of strategic priorities remains on the improvement of labor productivity, effective cost management, and the human capital development.

In the reporting year, the Board of Directors reviewed the TATNEFT updated HR strategy providing for measures and projects aimed at improving the effectiveness of staff recruitment, hiring and development; strengthening compensation programs, benefits and guarantees; increasing the staff satisfaction and engagement; and skill management in light of technological changes and new challenges.

The Company also prioritizes the issue of maintaining social stability in the regions where the Company operates. Together with municipal authorities, the Company implements projects to improve and develop the infrastructure of cities and towns, takes part in the construction of socially significant facilities, and assists in the development of education, healthcare, the cultural environment, the preservation of spiritual heritage, and sports. When forming social programs, the Company takes into account the priorities of the state policy — the Concept of long-term socio-economic development of the Russian Federation and the Strategy for the socio-economic development of the Republic of Tatarstan.

In the reporting year, it created an internal model for managing social activities enabling a systematic approach to address the pressing public challenges in light of existing federal and republican programs and increase the efficiency of socially responsible investment. The Company's social investment in the reporting year amounted to RUB 26.9 billion. We intend to maintain the level of investment in the regions where the Company operates in order to implement the Strategy.

GRI TCFD

INTEGRATION OF THE SUSTAINABLE DEVELOPMENT GOALS

The Company continues to work actively on the implementation of its commitments aimed at socioeconomic development. The goals and their integration into the Company's activities are defined in accordance with the "Compass of Sustainable Development Goals: 5 Steps." To achieve the results for each Sustainable Development Goal, thematic projects have been opened and SDG Leaders — managers with high competencies — have been assigned. The project teams, following the SDG Compass, identified benchmarks and formulated tasks. Key metrics are assigned to those responsible and built into the system of key performance indicators (KPIs).

In 2022, projects were systematically implemented to achieve the SDG goals set. In order to achieve the SDGs qualitatively and effectively, within the framework of the ESG transformation of the Company, ESG directions were identified, work on which needs to be strengthened, the development of the ESG goal map was initiated, and those responsible were assigned. The results of the work were evaluated during the year.

STRATEGIC REPORT

UN SUSTAINABLE DEVELOPMENT GOALS NAVIGATOR

ENVIRONMENTAL

6.1, 6.3, 6.4, 6.5, 6.6

reducing the impact on aquatic ecosystems. Reducing the share of untreated wastewater, increasing the recycling and reuse of wastewater. Ensuring the protection and restoration of water-related ecosystems

STRATEGIC GOALS

PLANS FOR 2023

transportation

a 20% reduction in wastewater discharges % by 2025, a 5-fold increase in the ratio of treated and untreated wastewater (in terms of suspended solids)

SDG 6

a 9% increase in the volume of recycled, multiply and repeatedly used water by 2025
reduction of freshwater losses during its preparation and transportation
implementation of water desalination technologies, treatment of waste and recycled water, processing of sludge

formation of new projects of initiatives aimed at reducing water use

pilot work on the development of wastewater treatment technology

measures to optimize water losses during preparation and

RESULTS FOR 2022

a 26% decrease in water disposal
a 5% reduction in intake from surface sources
increase in the volume of recycled and sequentially reused water by 2.8%
a 5.1% reduction in water consumption
a 16% reduction in freshwater losses during its preparation and transportation

7.1, 7.2, 7.3, 7a, 7i

providing access to affordable, reliable, and modern energy supplies. Increasing the share of clean technologies using fossil fuels, renewable energy, and improving energy efficiency to reduce environmental impact

STRATEGIC GOALS

increase in energy efficiency and energy saving to a level of at least 2.8% of the actual consumption of fuel and energy resources in the previous year (toe)

SDG 7

energy generation (share increase) using RES to 426 MW by 2030 and 900 MW by 2050

RESULTS FOR 2022

saving of fuel and energy resources under the energy saving program — 3%
a 10% increase in the share of renewable energy generation — 0.11% of total energy production

implementation of the targeted Energy Efficiency and Energy Saving Program for 2022–2025.
development of the Hydropower area

PLANS FOR 2023

building an energy-efficient world outlook and responsible consumption among the staff

p. 214-218

UN SUSTAINABLE DEVELOPMENT GOALS NAVIGATOR

ENVIRONMENTAL

12.2, 12.4, 12.5, 12.6, 12.8

Rational and efficient use of natural resources, capture and processing of harmful substances and all waste products throughout the entire production cycle, reduction of waste volume, their processing and reuse

STRATEGIC GOALS

increase in the share of recycled and reused waste by up to 50% by 2025, up to 70% by 2030

a 14.2% reduction in process losses by 2025, a 20% reduction — by 2030

SDG 12

RESULTS FOR 2022

a 50.4% increase in the share of waste sent for recycling and reuse

a 25.7% reduction in technological losses

SDG 13

Take concrete and meaningful actions to reduce the impact of climate change and ensure transparency in their implementation.

STRATEGIC GOALS

a 14% reduction in Scopes 1+2 specific greenhouse gas emissions by 2025 and a 30% reduction — by 2030

RESULTS FOR 2022

a 9% reduction of specific direct emissions from oil and gas production
a 3% reduction in specific direct and indirect emissions (Scope 1+2) in the petrochemicals business area
a 6% reduction in specific direct and indirect emissions (Scope 1+2) in energy production

PLANS FOR 2023

reduction of specific waste generation from the 2020 level

p. 204-206

Interim goal non-achievement

reduction of technological losses

PLANS FOR 2023

p. 184-188

achievement of an environmental effect from the implementation of measures to reduce greenhouse gas emissions
implementation of the Reforestation Program
formation of ecological world outlook among the local population and staff

UN SUSTAINABLE DEVELOPMENT GOALS NAVIGATOR

ENVIRONMENTAL

SDG 15

15.1, 15.2, 15.3, 15.4, 15.5, 15.8, 15a, 15b

ensuring the conservation, restoration, and sustainable use of ecosystems, reducing the impact on forest degradation and a significant increase in afforestation

STRATEGIC GOALS

a 16.1% reduction in occupied space by 2025

RESULTS FOR 2022

26.3% more unclaimed land plots were returned

a 49.4% decrease in deforestation area

SOCIAL

3.8, 3 c

SDG 3

ensuring universal health coverage in the regions of presence through prevention, treatment, and maintenance of the health and well-being of the local population, implementation of rehabilitation programs. significant reduction in the number of deaths and diseases as a result of exposure to hazardous production factors

STRATEGIC GOALS

a 25% reduction of the number of temporary disability days by 2025, a 50% reduction — by 2050
a 30% reduction in the frequency and severity of occupational injuries by 2025

RESULTS FOR 2022

a 0.17% decrease in the specific indicator of temporary disability
a 21.87% increase in the injury frequency coefficient
a 1.2% increase in injury severity
a 10% increase in LTIFR

GRI TCFD

PLANS FOR 2023

implementation of programs for the preservation of life and health; improvement of working conditions of employees; reduction of accidents, significant industrial risks; prevention of occupational diseases; treatment of infectious diseases
modernization of the Company's health centers

p. 243-244

implementation of the Training Within Industry system (TWI)
staff motivation for a healthy lifestyle

p. 208-210

reduction in the volume of trees cut down by 355.2 hectares

Interim goal achievement Partial interim goal achievement

UN SUSTAINABLE DEVELOPMENT GOALS NAVIGATOR

SOCIAL

SDG 4

4.1, 4.2, 4.4, 4a

increasing the number of people with in-demand professional knowledge for employment and acquiring a decent skilled trade

STRATEGIC GOALS

creation of an effective end-to-end (continuous) education system from preschool to vocational education, providing multi-level training for the oil industry
formation of a world outlook and involvement in the achievement of sustainable development goals

RESULTS FOR 2022

development of the quality of education in preschool institutions coverage of 21 preschool institutions, 2,655 children
schoolchildren who have received additional education — more than 24 thousand children
SDG educational activities in schools — coverage of more than 72 thousand children
development of professional competencies of employees over 34 thousand people

PLANS FOR 2023

buildings

spaces)

p. 161, 223, 225, 228-231

SDG 11

11.1, 11.2, 11.3, 11.4, 11.5, 11.6, 11.7, 11.8

ensuring access to sufficient, safe, and affordable housing. Development of economic, social, and environmental links between urban, suburban, and rural areas. Reducing the negative environmental impact of cities on the local population

STRATEGIC GOALS

implementation of environmental and educational projects

RESULTS FOR 2022

improving the well-being and standard of living of employees and the population (construction of residential and socially significant facilities)
development of comprehensive plans for the development of territories together with the society, regional and municipal authorities
reducing the negative impact on the environment by modernizing production and applying the best available technologies

implementation of the program for the development of apartment (as part of a project to create community centers and public implementation of the "Urban Environment Quality Index" project

PLANS FOR 2023

development of the "Advanced Engineering School"
development of the educational school and career guidance projects
broadcasting of knowledge in the field of SDGs for schoolchildren with coverage of 100 thousand children

STRATEGIC REPORT

Interim goal non-achievement

p. 153-156, 232-239

UN SUSTAINABLE DEVELOPMENT GOALS NAVIGATOR

GOVERNANCE

SDG 9

9.4, 9.5

development of sustainable industrialization through innovation as well as the quality, reliable, resilient, and stable infrastructure to support economic development and human well-being, with particular attention to ensuring equal access for all stakeholders

STRATEGIC GOALS

a 15% increase in the return on investment in innovation by 2025
a 2-fold increase in raising state support for projects by 2025
a 20% increase in innovative projects to achieve the strategic goal of reducing the carbon footprint
ensuring a high scientific level of innovation activity

RESULTS FOR 2022

a 95% increase in the final estimated market value (EMV)
a 15% reduction in raising state support
- a 13,758% increase in the portfolio of innovative projects to reduce the carbon footprint
- 38% increase in the number of applications for new protection documents for intellectual property items

PLANS FOR 2023

p. 56-62

technologies for enhanced oil recovery using CO2
implementation of carbon dioxide capture technology from process gases
cooperation with external innovation organizations to accelerate the development and implementation of new technologies in production processes
development of new products in the field of biotech and composite materials

Interim goal achievement Partial interim goal achievement

SDG 17 17.17

strengthening the Global Partnership for Sustainable Development, complemented by stakeholder partnerships that mobilize and share knowledge, experience, technology, and financial resources to support the achievement of the Sustainable Development Goals

STRATEGIC GOALS

building effective partnerships with government and civil society organizations

RESULTS FOR 2022

confirmation of the active status of a participant in the UN Global Compact
implementation of government business support tools at the regional and federal levels
international agreements on development projects in the regions of operation

PLANS FOR 2023

implementation of agreements on development projects in the form of specific investment projects based on the partnership and mutual integration of the parties' resources (competencies, technologies, raw materials base)

p. 248-249

SIGNIFICANT EVENTS OF THE COMPANY'S SUSTAINABLE DEVELOPMENT

Clim ate	 Star t of i mple tatio n of carb on d ioxid pture , sto , and proj ects men e ca rage use  A pr ojec carb on fa ecia lized itorie s tha t allo w fo r inc ed a bsor ption of t to c reate terr rms – sp reas nhou gree se g ases  Crea tion of an leme sting und for t he d evel f ene avin -sett nt as a te ent o eco gro opm rgy-s g, biote chno logie able of ra ials ater s, re new sou rces w m
Lead ersh ip	 Lead ersh ip in five tigio us E SG r ating d wi nnin g in thre etitio ns h eld b oth o e sta tus c pres s an omp n tiona l and fede ral le vel a na  Con e Co firma tion of th ny's cred itwo rthin ratin g at the r uAAA leve l by E t RA Rat ing mpa ess xper Age ncy  Gree n Of e "B est G Winn er of the fice Awa rds — the natio nal a ward for o ffice faci lities in th reen Offic e 20 22" c ateg ory
Con trol	 Form ation of a taina ble d evel ent m nt sy stem at th e str ateg ic an d op erati onal sus opm anag eme leve l  App l of t he P olicy on S usta inab le De velo nt an d int tion with stak ehol ders rova pme erac  Laun ch o f a b usin dive rsific ation , inc ludin g the wab le en Expa ndin tor. ess pro gram rene ergy sec g the s hare of n onfu el bu sine 20% by 2 030 p to ss u
Digi taliz atio n	 Auto mati f the enho ent s yste hich allo alcu latin issio ns fo on o gre use gas man agem m w ws c g em r all te chno logic al pr and plan ning s to redu ce C O2 e miss ions oces ses mea sure  Impl ntati f a v erific ation syst em f duci hous issio rt of the eme on o or re ng g reen e ga s em ns a s pa impl ntati f car bon neut rality proj ects eme on o  Laun ch o f the "Inte grate d Dig ital P latfo rm fo r Ge olog ical a nd T echn olog ical Mon itorin g of Oil F ield Deve lopm ent" proje ct w ithin the fram rk of the "Dig ital E f the Rus sian ewo cono my o Fede ratio n" na tiona l pro gram
Biot ech nolo gy	 Deve lopm f a b iotec hnol ogic al cl r (bio posi feed add itives , bio fuels ent o uste tes, com , biote chno logy , bio med icine ) agro  Crea tion of a Biote chno logy Cen ter, P ersh ip in the M r's p am " Artifi cial Intel ligen artn aste rogr ce in Bi hnol ogic al Sy s" otec stem  Sign ing o f an the blish t of a n ind er fo r rob otics nt on esta ustry pete cent agre eme men com nce
Com ites pos	 Beg innin g of the i mple tatio n of hens ive p lace field pipe lines with am t men a co mpre rogr o rep posi te on com es  Ente ring the m arke t of u niqu site prod , whe rial o f pla igin is us ed a ucts mate nt or e co mpo re a s a filler  Expa nsio n of posi oduc tion to d ivers ify th duct tfolio of b uildi osite te pr com e pro por ng c omp struc ture s
	 Upd ating the HR m nt st rateg y in c lianc e wit h the bala of en surin g bu sine anag eme omp nce ss need d pre ing h pital s an serv uma n ca  Star t of t form ation of th e ed iona l clus ter, i nclu ding sch ools hnic al sc hool ucat , tec rans s, univ ersit ies, and arch ters rese cen

Creation of the Higher Oil School — a research center ensuring a synergy of university, industry,

Personnel

and academic science

533 RUB BILLION

KEY INDICATORS

FINANCIAL INDICATORS GRI 2-4

In the structure of the Company's added value, the largest share accrues to taxes and fees, production profits.

The analysis of the value chain and its structure shows the key role of the oil production and oil and gas processing segments (it accounted for circa 96% of the total scope in 2022).

Profit within the Company's added value in 2022 amounted to RUB 416 billion, which is 70% higher than the previous year's level. The return on added value (share of profit in added value) in 2022 was 42% (29% in 2021). The share of added value in the total volume of products produced in 2022 amounted to 69% (74% in 2021).

REVENUE BY SEGMENTS (LESS INTERSEGMENT REVENUE), RUB BILLION

	2020	2021	2022
Expl orati nd p rodu ction on a	311	551	540
Refin ing a nd s ale o f oil and oil p rodu cts	395	596	818
tire b usin ess*	54	61	*
finan cial s ervic es	18	16	26
orate and othe corp r	36	57	69
TOT AL	814	1,28 1	1,45 3

	2020	2021	2022
Oil	313	556	533
Oil p rodu cts	380	568	792
tire b usin ess*	50	60	*
othe r	53	81	102
TOT AL	796	1,26 5	1,42 7

* unconsolidated indicators in connection with the sale of assets of the Nizhnekamsk tire complex in the reporting year

ASSETS BY SEGMENTS, RUB BILLION

TAXES AND SOCIAL CONTRIBUTIONS

TO THE BUDGET, RUB BILLION

2022

2021

2020

	2020	2021	2022
Expl orati nd p rodu ction on a	365	384	447
Refin ing a nd s ale o f oil and oil p rodu cts	508	584	630
tire b usin ess*	35	51	*
finan cial s ervic es	209	245	319
and othe orate corp r	146	239	279
TOT AL	1,26 3	1,50 3	1,67 5

* unconsolidated indicators associated with the sale of assets of the Nizhnekamsk tire complex in the reporting year

ADDED VALUE STRUCTURE,

197

RUB BILLION

RUB BILLION

AMOUNT OF INVESTMENTS, RUB

BILLION

2022

2021

2020

ADDED VALUE,

RUB BILLION

OPERATING PERFORMANCE

TONNES

2022

AVERAGE DAILY GAS PRODUCTION, THOUSAND BARRELS OF OIL EQUIVALENT A DAY

15 THOUSAND BARRELS OF OIL EQUIVALENT A DAY 2021 2020 13 14

PRODUCTION OF PETROLEUM PRODUCTS, MILLION

OIL REFINING, THOUSAND BARRELS A DAY

2022

2021

2020

230

247

324

THOUSAND BARRELS OF

OIL EQUIVALENT A DAY

PRODUCTION OF GAS PRODUCTS, MILLION TONNES

2022

2021

2020

1.03

1.06

PROVED RESERVES OF OIL AND CONDENSATE, MILLION TONNES (INDEPENDENT ESTIMATION)

SUSTAINABLE DEVELOPMENTINDICATORS

SOCIAL INVESTMENTS, RUB MILLION

AVERAGE HEADCOUNT, PERSONS CONTRIBUTION TO OCCUPATIONAL SAFETY, RUB MILLION

66,098

PERSONS

LOST TIME INJURY FREQUENCY RATE (LTIFR)

CONTRIBUTION TO ENVIRONMENTAL PROTECTION, RUB BILLION

WATER CONSUMPTION*, MILLION M3

2022

2021

2020

75.2

VOLUME OF RECYCLED AND REUSED WATER, MILLION M3

1,144.0

UTILIZATION RATE, %

ASSOCIATED PETROLEUM GAS

10.8 98.0961,9 MILLION M3 71.6 2021 2020 1,014.9

* Due to the change in the approach to accounting for water losses, data for 2020, 2021 were recalculated for correct comparison.

2022

VOLUME OF GROSS EMISSIONS OF POLLUTANTS, THOUSAND TONNES

GREE NHO USE GAS EMIS SION S*, M ILLIO N TO NNES CO2 EQ
	2020	2021	2022
Sco pe 1	6.84	7.61	8.31
Sco pe 2	4.12	4.85	5.25
Sco pe 3	101.5 2	111.6 8	104. 24

* due to 2021 being the base year for calculating greenhouse gas emissions, data for 2020 and 2021 were recalculated.

SUSTAINABLE DEVELOPMENT RATINGS AND RANKINGS

48 47

GRI TCFD

MACROECONOMICS

GRI 201-2

KEY TRENDS

Despite the periodic deterioration of the epidemiological situation and the extension of quarantine restrictions, 2021- 2022 was a period of recovery for the global economy. According to the International Monetary Fund (IMF), global growth is estimated at 5.9% in 2021 and at 3.4% in 2022. In 2023, a slowdown in the global economy is expected at 1.7% to 2.9%. (World Bank (WB), IMF). New leaps in inflation, growth in interest rates, sudden outbreaks of coronavirus, exacerbated geopolitical tension, increased debt burden and a decline in investment can cause a global recession. The downward dynamics will be observed in most regions; however, to a greater extent, a slower GDP growth is predicted in developed countries (0.5%-1.2%).

The GDP growth in the United States slowed down to 2.1% in 2022 (vs. 5.9% in 2021). The run-up in prices for foods and energy products has led to a record fast acceleration of inflation and, as a result, a tightened monetary policy of the US Federal Reserve System (Fed), which in turn had a restraining influence on the country's economic development. According to the IMF forecast, the US economy will grow by 1.4% in 2023 and slow down to 1.0% in 2024, while the Eurozone economy is forecast to increase by 3.5% in 2022 (vs. 5.2% in 2021), with a significant reduction in GDP growth expected in 2023 to reach 0-0.7% (IMF, WB, EC). Among fundamental risks for the region's economy, international analysts identify difficulties with providing energy resources, inflationary pressure and further increase in the key rate.

The growth of China's economy in 2022 slowed down to 3% (vs. 8.1% in 2021). It is expected that the rollback of COVID-19 restrictions in China will be decisive in maintaining world

demand for hydrocarbons in the near future. According to IMF, as a result of resumed activity and mobility, the region's GDP will increase up to 5.2% in 2023 and up to 4.5% in 2024.

The Russian economy demonstrated a decrease in 2022 since, according preliminary estimates, GDP decreased by 2.1% as a result of unprecedented sanctions against Russia. Thanks to the measures taken by the Russian authorities to stimulate the economy, the decline slowed down in 2H and it was not as deep as initially predicted at the end of the year. IMF expects that Russian GDP would grow by 0.3% in 2023 and by 2.1% in 2024. However, the Russian Ministry of Economic Development is more conservative in estimates for 2023 and predicts a 0.8% decline.

MONETARY POLICY

Last year saw a transition from extremely soft to a tougher monetary policy in all major economies except for Japan.

The US Fed launched a long and the most aggressive rate hike cycle in 40 years, the rate being raised seven times from 0% up to 4.75% over the year. International analysts and financial market players predict a further increase in the benchmark rate up to 5% in March to be further dwindling starting from September 2023. The Fed's measures are aimed at boosting employment and getting inflation down to the 2% target. In 2022, consumer prices grew by 6.5% (with a yearly maximum of 9.1% recorded in June 2022).

The European Central Bank (ECB) also lifted its benchmark rate up to the levels observed in the Eurozone before the global financial crisis of 2008; it increased the rate four times from 0% up to 2.5% during the year. Moreover, ECB finds it necessary to continue to increase the rate to achieve the 2% inflation target. In 2022, consumer prices in EU countries grew by 10.4%.

Since the beginning of 2022, the Central Bank of Russia (Central Bank) has raised the key rate twice from 8.5% up to 9.5% in February and up to 20% in March. In April, the regulator decided to bring the rate down by 300 basis points to 17% (because of a significant slowdown in prices since the beginning of April, including due to the stabilization of the ruble and the search for alternative import channels). In April-October, the rate decreased down to 7.5%. According to the Central Bank, annual inflation was 11.9% in December 2022 vs. 8.4% in 2021. A limited supply, hype consumer demand, an imbalance between exports and imports and a weak Russian ruble exerted an upward pressure on prices throughout the year. The Central Bank predicts that inflation would be 5-7% in2023 and would return down to 4% by2024.

Analysts note that though inflation is still much higher than the targets, there is a slowdown in rate hikes (this applies to central banks in Australia, Norway, Sweden, Switzerland and Canada). Therefore, the rate hike cycles can be completed as soon as in 2023.

In 2022, the inflationary pressure on the global economy, which had not fully recovered after the pandemic, increased sharply. The grain, fertilizer and energy crunch provoked a steep rise in prices in the world market. According to IMF, global inflation was 8.8% in 2022, with an expected slowdown to 6.6% in 2023 and to 4.3% in 2024, which is still above the pre-pandemic levels of about 3.5%.

REFINANCING RATES OF FRS (USA), ECB, CBR, %

Source: CBR, FRS, ECB

GLOBAL PRODUCTION AND CONSUMPTION OF OIL PRODUCTS

In 2022, demand for petroleum products continued to recover, while in some regions it returned to pre-pandemic levels. Global consumption of basic oil products increased by more than 3% y-o-y, but is still 5% below the 2019 level. According to the International Energy Agency (IEA), aviation fuel would be a main driver of the growth in global oil demand in 2023. Market players expect that world demand for processing products will fully recover no earlier than 2023-2024. International agencies forecast that global consumption of oil products may potentially reach its peak by the end of the decade, with an 8-10% increase in 2030 to be followed by a gradual 4-5% decrease by 2050, while consumption ofmotor fuel and fuel oil would bemost affected.

Changes occurring in the global energy market in 2022 also influenced individual oil product markets. The changes mainly affected the European region as the largest consumer

GLOBAL OIL MARKET (INCLUDING RUSSIA)

The outcome of 2022 for the global oil market has undergone significant structural changes since the strengthening geopolitical tension and extensive restrictions against Russia resulted in a record increase in energy prices, redistribution of supplies between sales markets and the unprecedented growth in the Urals oil price discount to Brent. Western sanctions against Russia were the main determinant of the global hydrocarbon market in 2022.

According to analysts, global oil demand increased at the end of 2022, but was still 1% lower than the pre-pandemic level. It is expected that global oil consumption would reach the pre-crisis level and amount to 100.5–101.8 million barrels per day in 2023. The key drivers of demand are resumed transportation and the opening of the Asian economy after the pandemic, additional demand for oil products from the electric power industry caused by exceptionally high gas

OIL MARKET BALANCE IN 20102022 WITH A FORECAST UNTIL 20232024, MLN B/D.

of Russian oil and oil products (in 2021 Russia supplied 23% of oil and 14% of oil products of the total EU consumption) as the ban on Russian oil (since December 5, 2022) and oil products (since February 5, 2023) led to the need to change suppliers and to increase own processing capacity. According to international analysts, the European Union would encounter certain difficulties and would face extra costs in both cases. In general, the year of 2022 was extraordinary to European countries in terms offuel prices.

Given the market prices for oil, those factories that continued to have oil supplies from Russia were in a better position and, therefore, maintained profitability, thanks to a discount, which was estimated at an average of \$26 per barrel in 2022.

prices in Europe and Asia, and the need to replenish the US oil strategic reserves, some of which (about 30%) were sold to reduce the deficiency and fuel prices.

Global oil supply increased (+ 4.4 million barrels per day) and amounted to 99.9 million barrels per day at the end of the year. According to the US Energy Information Administration (EIA), almost 90% of the increase was due to supplies of OPEC countries, mainly, of Saudi Arabia and the United States. Among non-OPEC producers, Canada, Guyana, China, Brazil and Russia also increased the output (the embargo has not impacted oil production in the Russian Federation yet; according toRosstat, itgrew by2.1% last year).

It is worth noting that due to a lack of investment in exploration and production, the members cannot fully meet the production quotas as OPEC+ fell behind its oil output quotas by 4% (1.77 million barrels per day) as of December. Among

2023

World supply of liquid hydrocarbons, mln b/d

World demand for liquid hydrocarbons, mln b/d

2024

0.3

102.3

102.6

101

103

105

0.6

100.5

OUTLOOK

all OPEC countries, only Iran (1.3 million barrels per day), Saudi Arabia and the United Arab Emirates (1 million barrels per day) are said to be able to significantly increase supplies.

In 2023, the key influences on the oil market in terms of supply will be a potential reduction in outputs in Russia, shale oil production ramp-up in the United States, and resumed production in Venezuela and Iran. Among non-OPEC countries, Norway will also increase output.

As reported by the Business News Agency, the global oil production will continue to be ahead of demand in 2023-2024, which will increase global oil reserves and cause a drop in oil prices. Accordingly, there will be a delicate balance in the market, which can be broken by any major player (including OPEC nations, US, China and Russia), thus paving the way for higher price volatility.

Throughout 2022, the Brent oil price was fluctuating between 76.6 and 127.9 USD/bbl. In 1H, there was an upward trend and, as a result, it reached the average monthly maximum of 122.7 USD/bbl. in June. However, starting from 2H 2022, it was turning down to lose its year-over-year growth and amount to 80.92 USD/bbl. at the end of December. Nevertheless, the average annual price of the benchmark blend was 100.8 USD/bbl., which is 43% higher than in 2021.

The average monthly price of Urals was 74.6 USD/ bbl. in 2022, and the discount to reference Brent crude was approx. 26 USD/bbl. (according to the Russian Energy Agency (REA) under the Ministry of Energy, its sharp increase in 1H 2022 being due to costlier shipping of Russian crude oil, no shipping insurance and letters of credit from unfriendly countries). The Urals discount to Brent is expected to decrease, as the oil industry adapts to new realities. Analysts expect that the average annual price of Brent oil will be around 98 USD/bbl. in 2023 and that prices may vary from 98 to 104 USD/bbl.

In the long run, experts predict a gradual reduction in global oil consumption

In the long term, experts forecast a gradual decrease in global oil consumption. According to the IEA baseline forecast, despite the energy transition (an increase in energy generation from renewable energy sources and growing global fleet of electric vehicles) in the coming decade, demand for oil will continue to grow up to 102.4 million barrels per day. After that, it will slightly decrease by 2050, while consumption will remain above 100 million barrels per day.

Source: Energy information administration of the US Department of Energy as of February 7, 2023

Balance of world supply and demand, mln b/d

PRICE FOR BRENT OIL AND ESTIMATED PRICE FOR URALS OIL (USD/BBL.)

Source: EIA, Platts

KEY DRIVERS OF THE GLOBAL OIL MARKET

Determinants of future trends in the global liquid hydrocarbon market, which significantly affect the balance of supply and demand in the short term:

◎ The energy crisis, tightening monetary policy and increased inflationary pressure will cause a recession in many countries in 1H 2023, to be followed by a gradual recovery;
◎ The increase in demand because China would potentially abandon its zero-tolerance COVID policy (according to IEA, demand for oil fell in China by 3% in 2022);
◎ The restricted production under the OPEC+ agreement to stabilize the oil market and respond to a buyers' cartel imposing a price cap on Russian oil;
◎ A potential supply shortage due to a drop in Russian exports, which depends on whether oil products can be redirected to alternative markets;
◎ A rise in energy prices due to the global energy crisis in 2022 increased inflationary pressure on the world economy. A decrease in economic activity and a lower demand will exert downward pressure on commodity prices;
◎ Replenishment of US oil reserves to refill the Strategic Petroleum Reserve, which was significantly depleted in 2022;
◎ Extra demand for petroleum products in the electric power industry, which was caused by exceptionally high gas prices in Europe and Asia;
◎ The continuing focus on decarbonization of the energy sector (investment in decarbonization of the world economy was \$ 1.1 trillion in 2022 (+31% vs. 2021), which iscomparable toinvestment inthe fossil fuel industry).

INVESTMENT POLICY

The progressive and sustainable growth of the Company's value is ensured by investing in efficient and competitive projects. The Company's investment policy is aimed at achieving strategic goals. The key investment priority is to increase investment and operational efficiency, providing technological solutions aimed at minimizing the adverse impact on the environment and assessing the social impacts of the investment projects. The Company maintains a balance of investments in strategic projects in key business segments, which corresponds to the achievement of strategic and operational business goals.

INVESTMENT PROGRAM IMPLEMENTATION

Since 2020, the Company has calculated the change in greenhouse gas emissions for investment projects, taking into account the estimates of Scope 1 (direct emissions), Scope 2 (energy GHG indirect emissions) and Scope 3 (other indirect emissions). An additional section called Carbon Footprint Reduction/Increase has been added to standard datasheets of investment projects to reflect information on changes in greenhouse gas emissions.

As part of the implementation of Strategy 2030 to increase the value of the Company, business plans for 2023 were formed with an increase in the investment component by 57%.

INVESTMENT, RUB BLN

2021

CAPITAL INVESTMENT, RUB BLN

INVESTMENT PROCESS

The Company's investment management process is integrated with planning for achieving strategic goals, business planning, budgeting, reporting, financial control, project management, and environmental governance.

Key principles for making investment decisions

◎ Shaping the best and highly profitable project programs, search, creation and implementation of cutting edge technologies, and minimization of investment risks;
◎ Substantiation and reasonable sufficiency in determining investment needs;
◎ Using government support instruments;
◎Selection of projects with a limited impact on the environment, ensuring industrial safety, safe working conditions, improving the quality of life of workers and their families, contributing to the development of the regions of operation;

GRI TCFD

INVESTMENT RISK MANAGEMENT

To improve the efficiency of investments, there is an ongoing process in place to identify, analyze, and evaluate risks as well as develop measures to minimize them, so that the project could achieve a sustainable financial result.

Multifactor risk assessment is based on expert and statistical assessment of major risks. Risk assessment and multivariate modeling of the investment project performance is carried out taking into account the correlation factors of inputs.

INVESTMENT COMMITTEE

The Investment Committee operates in the Company to ensure the effective planning of the investment program and oversee putting it into practice as well as monitor risks. The process of preparing investment projects has a two-tier investment program reviewing system: Investment Committee of the first corporate level and Investment Committees of the second level. The Company's standards for investment activities define the objectives, tasks, scope of duties and powers of the investment committees and introduce the requirements for the format of preparation, justification, and defense of the materials on the investment programs and projects.

INVESTMENT PORTFOLIO

FUND RAISING

The Corporate Financial Management Policy prioritizes funding of the Company's production, investment and social activities and effective use of financial resources.

The Company takes a conservative approach to loan structuring with the focus on minimizing risks and benefiting from favorable financial leverage.

The main criteria for selecting long-term credit instruments are as follows: the expected credit amount, lending term, and target orientation. In case of raising long-term loans directed to the investment program financing, attention is paid to the compliance of the loan commercial terms with the basic investment parameters of a particular project. A high priority is given to the possibility of structuring loans with the repayments to be made out of additional cash flows generated from the implementation of new investment projects. The Company has experience in effective structuring of long-term debt financing.

The credit limits are open and maintained with major Russian banks. The Company regularly monitors the main factors of impact on the lending market and, as appropriate, strives to take measures to manage market risks, including those related to interest rate changes.

STRATEGIC REPORT

Due to the good credit history, high credit ratings, and low debt level, the Company has access to various debt financing instruments, such as short-term revolving credit facilities, bilateral loans, syndicated loans, subsidized loans, and exchange-traded bonds.

The Group's debt portfolio as of the end of 2022 (except for the banking business segment as a lender) was actually equal to zero, because:

◎the exchange-traded bonds of PJSC TATNEFT in the amount of RUB 15.0 billion were redeemed in December 2022; and
◎ the loans under the guarantees of Export Credit Agencies, raised by JSC TANECO during the construction of the oil refining complex were repaid before the maturity date. The effect of early repayment was due to the exchange rate difference and reduced interest expenses.

In2022, the Company deployed its Dynamic Discounting Platform. At the end of the year, the suppliers were paid RUB 4billion prior the due date, thanks to the use of the e-platform.

To increase the Company's value by more efficient use of working capital, under the Procedure for Dealing with Receivables and Payables, the Company applies the following instruments:

◎ formation and control over the fulfillment of target values of receivables and payables of companies within the TATNEFT Group;

◎ optimization of receivables and payables of companies within the TATNEFT Group;

◎ control over the financial discipline and the application of financial sanctions for its violation.

The Company monitors the performance of receivable/ payable turnover for key businesses and business units, carries out factor analysis of changes in these working capital components and develops compensatory measures, on a monthly basis.

The balanced budget for the movement of payment funds for 2022 was implemented. The Company's budget involves 14 control and responsibility centers (CRCs). Each CRC oversees the appropriate type of activity, promptly manages its financing and is responsible for the efficient target use offunds.

The Company has discharged all of its payment obligations regarding supplied work, services or products, taxes and payments to extra-budgetary funds, in a timely manner and in full.

In order to increase the effectiveness of the Group's financial management, improve the efficiency, quality, controllability and stability of service business functions in the field of financial management, a project is being implemented to develop the centralized treasury of the TATNEFT Group.

In order to spend funds effectively, work was carried out to optimize settlements and increase the volume of transactions with counterparties through the Corporate Center for Settling Mutual Claims. Using the most effective tools for placing free cash, the Company gained income of more than RUB 12.5 billion.

GRI TCFD

INNOVATIVE ACTIVITIES

GRI 3-3, 416-1

The Company's innovative development strategy reflects the objectives of implementing an innovation management model, forming a target order for innovation, as well as implementing the potential of growth points and preventing threats in the long term. The task of TATNEFT's innovation strategy is to update the technology portfolio to achieve sustainable development in all areas of the Company's activities and to open access to new growth points in the current and related industries.

A systematic approach to technology development allows the TATNEFT Group to increase the potential for innovative growth in all business and functional areas. All projects developed by the Company are assessed in terms of ESG risks and the contribution to a sustainable energy future. The current developments include promising technologies for capturing, cleaning, and processing CO2 into various types of marketable products.

Interaction with the leading scientific, technical, and technological centers allows for the integration of production tasks and extensive experience with innovative scientific potential in all fields of the Company activities. The synergistic effect is achieved through the use of complex technological developments and IT solutions.

The Company pays special attention to the development of intracorporate collaborations of research, engineering, marketing, and production subdivisions. The development of this ecosystem allows for the implementation of complex technological solutions using the intellectual and production resources of the composite, machine-building, digital, and biotechnological clusters, etc.

SDG 9 GOALS

A 15% INCREASE IN THE RETURN ON INVESTMENT IN INNOVATION BY 2025 GOALS IMPLEMENTATION RESULTS:

SPECIFIC EMV, RUB OF THE IMPLEMENTATION PROJECT FOR RUB 1 INVESTED IN R&D, RUB/RUB

A 2-FOLD INCREASE IN RAISING STATE SUPPORT FOR PROJECTS BY 2025

RAISING STATE SUPPORT FOR THE IMPLEMENTATION OF INFRASTRUCTURE AND INNOVATIVE PROJECTS, RUB MILLION

A 20% INCREASE IN INNOVATIVE PROJECTS TO ACHIEVE THE STRATEGIC GOAL OF REDUCING THE CARBON FOOTPRINT

2020

7.5

GOALS IMPLEMENTATION RESULTS:

FILLING THE PORTFOLIO WITH INNOVATIVE PROJECTS, [THOUSAND TONNES OF CO2 EQ]

2021

2020

2022

BASE YEAR

2022

100% INCREASE

NUMBER OF APPLICATIONS FOR NEW PROTECTION DOCUMENTS FOR INTELLECTUAL PROPERTY ITEMS, PCS.

ENSURING A HIGH SCIENTIFIC LEVEL OF INNOVATION ACTIVITY

38% INCREASE

STRATEGIC REPORT

MANAGEMENT SYSTEM

The innovation management system covers all the main levels of management

Documents regulating the processes of innovation management:

◎ Regulations on innovation activities in the TATNEFT Group
◎The standard of organizing the system of material incentives for scientific and technical activities

FOCUS OF INNOVATION ACTIVITY

To achieve strategic goals, the Company implements modern technologies, including digital algorithms for managing oil production facilities, 3D modeling, "smart fields," and much more. The contribution of innovations and new solutions along the entire production chain to the implementation of the strategy is up to 30%, and this share will only increase due to investments in the creation of promising developments.

OF ENDTOEND TECHNOLOGIES ● Biotechnology ● New materials

synergy

INTELLECTUAL PROPERTY

1.148 RUB BILLION RESEARCH AND DEVELOPMENT

1.595RUB BILLION PILOT OPERATIONS

2.917RUB BILLION TECHNICAL SERVICES

4.636RUB BILLION IMPLEMENTATION AND SCALING OF DEVELOPED TECHNOLOGIES, EQUIPMENT

2.310RUB BILLION CONSTRUCTION AND MODERNIZATION OF RESEARCH, SCIENTIFIC, AND EDUCATIONAL FACILITIES

0.276RUB BILLION OTHER (PREPROJECT WORK, ETC.)

SPECIFIC EMV, RUB OF THE IMPLEMENTATION PROJECT

FOR RUB 1 INVESTED IN R&D, RUB/RUB

STRATEGIC REPORT

STRUCTURE OF THE SCIENTIFIC AND TECHNICAL CLUSTER

The Company develops and implements consistently the most cutting-edge solutions, many of which are unique in the industry and the technology supply market.

The Company's eight R&D centers coordinated by the Center for Technological Development specialize in research in various fields of innovation.

8 R &D C PRO VIDE 36 4 TEC HNO LOG ICAL	EN TE RS CHA LLEN GES

TatN IPIn eft I nsti tute	tech nolo gies for e xplo ratio n, oi l field dev elop t tec hnol wel l con struc tion and work duct ion men ogy, over , pro tech nolo il tre atme nt, p rotec tion of oi lfield ipme nt fro rrosi on, d esig n of oil fie ld fa cilitie s, in dust rial gy, o equ m co and civil engi ing. neer
STC Tat neft	enha nced oil r ction of m etals from duce d wa ltra-v isco il ext racti chno logie extra ter, u on te ecov ery, pro us o s, biote chno logic al m etho ds fo duci ng in dust rially sign ifica oduc oftw oluti nt pr ts, s r pro are s ons
STC Toly attik huk auc	deve lopm ent a nd o ptim izatio n of nic s ynth esis nthe sis o f rub bers and poly and cata lysts orga proc esse s, sy mers for t heir prod uctio ailab ility o f uni pete ncie s in t he fi eld o f che mist d tec hnol of pr oduc tion of n, av que com ry an ogy nic s ynth esis prod ucts orga
Tat NIIn efte h mas	R&D in th e fie ld of oilfi eld m echa nica l eng inee ring, the ufac of a f lab ands for a sing ture set o orato ry st man sses the t herm al ef ficie of eq uipm ll as the p rodu ction of u niqu e oil field ipme ent a nt. ncy s we equ
JSC VNI IUS	tech nolo gies for t he p ssin g of hydr bon mate rials and inorg anic che mist for t he roce ocar raw ry, p roce sses purifi catio n of oil, g etro leum duct d wa stew ater from sulf unds , the ufac ture of as, p pro s, an ur co mpo man cata lysts for t he d esul furiz ation of h ydro carb ater ials, the d evel ent o f oil treat t and on ra w m opm men gas fract iona tion tech nolo gies
LLC INKO -TEK	proje t of c ructi on in the field of o il refi ning and oche mica ls (s rt of ion a t the ct su onst petr truct ppor uppo cons f pre -des ign s tudy , obt ainin hnic al co nditi for c ction , ela bora tion of tra lutio stag g tec rt so es o ons onne nspo ns, ing S Expe rt Re view and indu stria l safe revie w) tate ty ex pert pass
LLC NTC Aut tion oma , Mea ts, E ngin eeri sure men ng	ly of devi ipme nt, a nd s oftw ell a visio n of engi ing s ervic es in the field of supp ces, equ are, as w s pro neer prod uctio tom ation n au
JSC Nef tekh imp roek t	desi f oil indu facil ities (arra f oil and field oir p ainte , oil stry ent o tems gn o ngem gas s, re serv ress ure m nanc e sys slud ssin d dis l fac ilities , oil r tion, stor , and deli poin ts) ge p roce g an posa ecep age very

In 2022, the development and transfer of 38 proprietary technologies to implementation were completed successfully. The process of testing 60 types of new equipment and services has been completed, of which 33 have been put into commercial operation.

The introduction of new technologies will provide an increase in cash flow through the use of integrated technological developments and IT solutions. One example includes integrated technologies in the reservoir pressure maintenance system where reduction in several indicators was achieved through the introduction of integrated modeling, energyefficient equipment, and other innovative solutions: electricity consumption — 2-fold reduction, greenhouse gas emissions in pipes manufacture — 6.5-fold, pipeline construction cost reduction — by 30%.

The financing is carried out within the framework of the "Digital Economy of the Russian Federation" national program with the support of the Russian Information Technology Development Fund

Within the framework of the "Artificial Intelligence" and "Digital Technologies" federal projects of the "Digital Economy of the Russian Federation" national program, the following projects are implemented:

◎ Comprehensive Visual Analytics platform

◎ Integrated digital platform for geological and technological monitoring of oil and gas field development

Sciences. This made it

applied wave technologies in the areas of oil production and

possible

production

◎A digital twin of the technological installation

increase the efficiency and sustainability of

PARTNERSHIP WITH SCIENTIFIC INDUSTRY CENTERS AND TECHNOLOGY CENTERS

◎

◎ refining

processes.

the Russian Academy of

obtaining new materials

processing of polymer waste

The strategy is implemented in cooperation with domestic and foreign leading scientific, technical, and technological centers, which allows for the integration of production tasks and largescale experience with innovative scientific potential in all areas of activity.

The Company's partner network covers a wide range of innovative service providers and includes over 150 Russian and Republican universities, research centers, and technology companies.

The number of key partners of the Company with whom innovative products of increased. Development institutes include the Siberian Branch of the Russian Academy of Sciences, R&D Establishment Baking Industry, Institute of Machines Science of the Russian Academy of Sciences, Petrochemical Synthesis Institute

external Targeted programs implemented with the institutes are related to: ◎ creation of own unique sorbents for extraction of valuable components and water purification

industrial significance are developed has

STRATEGIC REPORT

framework of strategic partnerships • • Deliveries of ready-made innovative products

15 STATE CORPORATIONS AND PUBLIC COMPANIES
- • Implementation of breakthrough initiatives and strategic industry projects
Production of import-substituting products

-

Cooperation with higher educational institutions is also underway within the framework of the implementation of projects and the development of certain areas related to:

INTEGRATED ANNUAL REPORT 2022

◎ development and implementation of digital systems
◎ obtaining products from biological raw materials
◎ feed protein production
◎ development of own additives for oils, etc.

in such areas as "Biotechnology," "High-Risk Innovations and Innovations Aimed at Business Diversification," "Capital Construction," "Composite Materials," "Mechanical Engineering," "Oil and Gas Processing," "Petrochemicals," "Industrial and Environmental Safety and Occupational Health," "Exploration and Production," "Energy," etc.

RATINGS, AWARDS, LEADERSHIP

The Company occupies a leading position in various areas of innovation, which is confirmed annually by winning various competitions.

All-R ussi etiti on " Top 100 Goo ds o f Ru ssia " an c omp	2 pro duct win of th tition s are ners e co mpe
Tata rsta n Int tion al Fo Ene and Ene Res e Ef ficie the "En erna rum on rgy rgy ourc ncy, ergy Com Effic ient Equ ipm ent and Tec hno logi es" peti tion	8 pro jects winn f the petit ion are ers o com GRA 1 pro ject rded the ND P RIX was awa
Tata n Pe hem ical Foru m,C etiti on f or th e be hibit ject tech nica l rsta troc st ex omp , pro , or solu tion	3 pro jects winn f the petit ion are ers o com 1 pro ject rded the GRA ND P RIX was awa
Com "To p 50 peti tion Inn ovat ive I dea s fo r the Rep ubli c of Tat arst an"	7 pro jects winn f the petit ion are ers o com
Stat e Pr ize o f the Rep ubli c of Tat an in the fiel d of scie and hno logy arst tec nce	7 em ploy ward win ees are a ners
202 XXI I All -Rus sian peti tion "En gine f the Yea 1" com er o r —	9 em ploy inne rs of the petit ion ees are w com

GRI 207-1, 207-2, 207-3

The Company is a responsible taxpayer in the regions where it operates and plays an important role in ensuring revenues to federal and regional budgets, which boosts steady social and economic development of the regions, creates good jobs, improves living standards, welfare, and social infrastructure, increases added value and develops related industries. The Company discloses the amount of taxes accrued and paid, and also comments on the tax conditions applicable to the Company in order to ensure transparency to stakeholders regarding material benefits generated by natural resources in accordance with the Global International Extractive Industries Transparency Initiative as part of the Global Standard for Effective Oil Management, Gas and Mineral Resources.

The Company has a high responsibility towards tax obligations and is a major taxpayer, considering tax payments as the most important corporate contribution to the economic growth and social development of the state. Transparency of our financial results and the volume of tax payments are a demonstration of how responsible development of natural and energy resources enables the federal and regional budgets to replenish revenues for the further development of the economy and social area.

TATNEFT annually discloses the amounts of taxes assessed and paid, as well as comments on the tax conditions applicable to the Company. This information is published in the "Consolidated Financial Statements in accordance with IFRS" and in the "Management's Analysis of the Company's Financial Condition and Performance Results". The Company's financial statements are independently audited in accordance with International Standards on Auditing (ISA) to provide assurance that the consolidated financial statements are free from material misstatement, whether due tofraud orerror.

The focus of the Company is the assessment of the conscientious observance of the tax legislation by counterparties involved in the financial and economic operations of the TATNEFT Group.

We take into account the trends in international tax policy aimed at preventing unfair actions of taxpayers in terms of using tax planning schemes, as well as strengthening requirements in terms of transparency of tax information at the intercountry level. These steps include a set of measures developed by the Organization for Economic Cooperation and Development (OECD) to prevent the base erosion and profit shifting (BEPS). At the same time, over the past few years, Russian legislation has introduced measures to increase the responsibility of taxpayers.

Starting from the 2015 reporting year, TATNEFT has been annually publishing a Report on Payments to Government Resulted from Extractive Activities. This report complies with the rules approved by the European Parliament, based on the EU Directive on transparency in reporting payments to governments by mining and logging companies, the securities of which are listed on recognized stock exchanges in the EU. The purpose of such disclosures is to provide for transparency for the society and citizens in relation to wealth generated by natural resources collected by resource-rich countries. This approach is in line with the Global Extractive Industries Transparency Initiative (EITI) https://eiti.org/ru.

The total amount of all accrued taxes, payments and contributions for the TATNEFT Group in 2022 amounted to RUB 607 billion.

TAXES AND PAYMENTS, RUB BLN

	2020	2021	2022
MET and VAT	176	519	640
Expo rt du ties and exci ses	75	9	(146 )
Inco me t ax	34	58	81
Insu mium d ranc e pre s an soci al ta xes	13	15	18
Prop erty tax	8	7	12
Fine nalti ther s, pe es, o	2	2	2
Tota l	308	610	607

GOVERNMENT RELATIONS

GRI 201-4

Interaction with public authorities and local governments is based on openness to cooperation and a high level of information transparency. Formats of interaction include: discussions within national and international economic forums; participation in exhibitions, conferences, round tables, sectorial and intersectoral committees, working groups, meetings of ministries and departments.

The Company participates in improving the system of state regulation of business activities as a participant and partner of non-profit business associations and unions, other civil society institutions within the framework of the mechanisms of interaction with state authorities and local self-government provided by law, such as public discussion of draft regulatory legal acts, assessment of their actual impact on social relations.

Acontinuous work is underway in the areas of paying taxes and payments, improving the regulatory environment, cooperation with the authorities and local self-government in the implementation of long-term economic and/or social programs.

For the purposes of arranging effective interaction with authorities, the Company has introduced a standard: "Interaction of Subdivisions of PJSC TATNEFT When Working with Public Authorities of All Levels".

Inaccordance with the mechanisms of interaction with state authorities provided for by law as part of the implementation of economic and social programs, state support for the Company's projects amounted to RUB 6,727 million in 2022. Subsidies and grants 6,402 Other government support 325

6,727

In accordance with internal regulations, the Company is not involved in the activities of political parties or movements and does not directly or indirectly provide any financial assistance thereto

GRI TCFD

Total

SUPPLY CHAIN

GRI 2-6, 3-3, 204-1, 407-1, 414-1

The Company strives to ensure the supply chain based on the principles of equal opportunities, excluding discrimination in any form, full transparency of decisions made, competitive advantages, and assessment of compliance with the priorities and principles of sustainable development adopted by the Company, including the goals of reducing the carbon footprint and moving to carbon neutrality with regular analysis of supply chains to avoid conflict and violation of the rights and legitimate interests of other parties. The Company constantly improves the mechanisms of the supply chain and interacts with its suppliers, contractors, consumers, and customers to increase the transparency and sustainability of their activities, and also expects them to implement the fundamental principles of sustainable development in their activities.

The contribution of the supply chain management strategy to the growth of the Company's value until 2025 will amount to RUB 9.3 billion due to centralization and improvement of business processes of material and technical resources management.

A model of centralized inventory management based on a single digital platform is implemented, the process of competitive procurement is expanded, approaches to supplier management are synchronized, best practices are replicated, and work is done with losses. All business areas with a total volume of purchases of about RUB 90 billion are located within the perimeter of centralization.

PRIORITY SDG

PRINCIPLES OF CONDUCTING PROCUREMENT ACTIVITIES

Building a responsible supply chain plays an important role in achieving sustainable development goals, so the Company develops responsible procurement practices by working with responsible and reliable suppliers who comply with legislation and responsible business practices.

STRATEGIC REPORT

IN THE SUPPLY CHAIN

constantly being modernized. To

meetings are held with participants of

the Company's actions by

Following the procurement procedures in

DEVELOPMENT OF BUSINESS ETHICS

winner (decisions of

case of violation of

appeal against the actions of

other actions.

were received from suppliers of

were promptly resolved.

procedures, events are held with the invitation of

participants. This practice allows participants to

interest even before the end of

participation), the results of

special module on

proposals for individual purchases. Centralized online

The process of

questions of

the subject of procurement.

FEEDBACK

Participants in

(admission to

selection of a

telephone, e-mail, or

procurement procedure, a

including the results of

trading platform. In

public discussion of

as well as

IMPROVING THE QUALITY OF INTERACTION

interaction with market participants

procurement procedures can provide feedback

contacting the Hotline via

potential supplier has the right

the preliminary qualification selection

2022, 12 requests

discuss procurement

ask all

technical requirements and conditions for

potential

tender procedures for

the electronic

the competitive

the tender commissions),

works and services, which

the competitive

the procurement organizers,

the acceptance

GRI TCFD

RESPONSIBLE ENGAGEMENT

To identify reliable counterparties, a multi-stage control system is used for compliance with the requirements applied in the Company. The Company's procurement activities are based on the UN SDGs principles. At the same time, the key priorities are environmental care, safety, technological efficiency, and systematic improvement of the quality of life in the regions of activity. When concluding the contract, a counterparty voluntarily accepts the principles of ethics of the partner of PJSC TATNEFT.

In

effected in

(TPS) is

procedure for suppliers at

planned for 2023.

the reporting year, the number of

complaints decreased from 2.9% to

Stages of counterparty evaluation:

1. ESG-assessment of counterparties, which takes into account 29 indicators:
2. ◎ 10 criteria in the "Environment" category, including the availability of a system for accounting for greenhouse gas emissions, environmental policy.
3. ◎ 9 criteria in the "Social Responsibility" category, including obligations to comply with labor protection and industrial safety rules, information on staff turnover, and financing of social programs
4. ◎ 7 criteria in the "Corporate Governance" category, including information on the risk management system, anti-corruption
5. ◎ 3 criteria in the "Sustainable Development" category, including information on the sustainable development policy, as well as compliance with the counterparty employees' rights in the field of occupational health, industrial safety, and environmental protection, including its observance of human rights

compliance with the requirements

compliance check procedure

high-quality and timely

technical

sufficient technical, material, and labor

the contract.

checked for reliability in

with the regulations that allow determining the level of

contract with a

during the execution of

2022, most of which were

assessment of his ability

products,

check for the

work, and services

total, over 230 technical

due diligence,

risk

the Company's specialists.

accordance

particular applicant,

fulfillment of obligations, including requirements for experience in similar work, sufficiency ofequipment, specification and certification ofrequired permits provided for by the legislation. All requirements for participants are unified. 3. Technical audit The technical audit is carried out with a

availability of

resources, as well as an

Due diligence

counterparty is

with due quality and on

audits were conducted in

conducted with the visit of

of concluding a

as well as

Confirmation of

Counterparties undergo a

confirming the possibility of

perform the upcoming scope of

In accordance with the principle of

time. In

STRATEGIC REPORT

We hope that the Contractor's Book will help bring the culture

INCREASING RESPONSIBILITY IN THE SUPPLY CHAIN

of business ethics to a whole new level.

The Company has defined forfeits for breaching the delivery deadlines and inadequate quality of delivered goods, completed works, services, penalties in the field of industrial safety, labor protection, and ecology. This information is publicly available, and potential participants are aware thereof at the stage of participation in the Company's procurement procedures.

RATIONAL CONSUMPTION

The Company develops electronic document flow with contractors. 96% of contracts, specifications, primary accounting documents are formed and signed using an electronic document flow system.

FREEDOM OF ASSOCIATION

The Company builds its activities based on compliance with the principles in the field of freedom of association and collective bargaining. The Company is not aware of counterparties in which these rights may be violated, or in which there is a significant risk of violation of these rights.

The Company builds strategic partnerships with

production needs. The mechanism of

counterparties, which allows for long-term planning

the long-term contracts concluded relative to

concluding long-term contracts. The share

strategic partnership

all purchases

STRATEGIC PARTNERSHIP

in 2022 is 71%.

the transition to

◎

To foster the processes of interaction with the Contractor at the stage of procurement procedures, conclusion of contracts, and fulfillment of contractual obligations, as well as faster adaptation and effective cooperation when working with the TATNEFT Group, the Contractor's Book has been developed, which contains:

◎ missions and goals

◎ basic principles and key values
◎ rules for conducting procurement procedures
◎procedure of interaction
◎ corporate rules, etc.

PROCUREMENT PROCEDURE

Organizing and conducting procurement procedures, as well as the review and approval of their results in the TATNEFT Group, is carried out according to uniform rules:

◎ Standard for Checking Suppliers of Goods, Works, and Services According to the Criteria of Economic Security of PJSC TATNEFT
◎ Goods Procurement Standard of PJSC TATNEFT
◎ Procurement Standard for Works, Services of PJSC TATNEFT
◎ Regulations on organizing contractual work in PJSC TATNEFT
Standard for working with accounts receivable and accounts payable
◎ Regulation on compliance with anti-corruption rules and regulations in the process of fulfilling contractual obligations.

Procurement organizers determine the Company's need for resources. Based on the request of the Company's business areas, a procurement plan and program are formed on a quarterly basis. The procurement program is placed on the trading and purchasing platform of PJSC TATNEFT. Procurement organizers search for and attract contractors.

new supplier evaluation system was developed and

2.1%.

stop list following the procurement procedures and work with

the trade and procurement site

counterparties put on

the ESG certification

the

late 2022. The introduction of

The selection of suppliers of works and services at an open tender is also carried out through the use of scoring, rating of suppliers of works and services, and work with complaints. A register of negative history of relationships with counterparties is maintained. Contractors who have committed serious violations or a series of violations are put on the "stop lists" and are not allowed to tender procedures in the future. Contracts are not concluded with enterprises that have not been tested according to the criteria of economic security.

Aprocurement organizer may decide to quote the supply between two or more counterparties, if the volume of the lot is divisible, and it is economically feasible. With this mechanism, the Company ensures competition and diversifies risks, forms alternative supply channels, ensuring the stability and continuity of the production process.

PURCHASE FROM LOCAL SUPPLIERS, BUSINESS SUPPORT

The Company implements a program to support small and medium-sized businesses based on mutually beneficial cooperation. The main forms of such cooperation are the creation of new promising production of goods and services based on the released capacities and economic facilities of the Company. The Company also supports SMEs in terms of purchasing services and goods from them.

Following the procurement of works and services, the total share of contracts concluded with SMEs for the period from 2020 to 2022 increased from 37% to 54%.

The share of purchases of works and services from domestic suppliers for the period from 2020 to 2022 exceeds 99% annually (on average for this period — 99.8%).

A project has been implemented in which the Company acts as an organizer of purchases for the needs of controlled organizations purchasing from entities subject to Federal Law No. 223-FZ "On Procurement of Goods, Works, Services by Certain Types of Legal Entities" dated 18.07.2011.

Within the implementation of measures to support SMEs during procurement procedures, competitive advantages have been introduced, whereby the winner is determined by the SME, provided that the difference between the best offer and the offer of an SME is less than 10%.

SHARE OF PURCHASES FROM SMES, %

TRANSPARENCY AND OPENNESS OF THE PROCUREMENT SYSTEM

video materials with the rules of participation

and specifics of the tender procedures of the

https://www.youtube.com/@Zakupki_Tatneft

TATNEFT Group

YouTube

Yandex.Dzen

https://dzen.ru/zakupkitn

To improve the quality of communications and inform procurement participants, the Company operates several communication channels on various information platforms

Business accounts procurement rules, information on the required documentation, terms of the procurement procedure, and other information on the procurement process

GRI TCFD

GRI 204-1

Telegram channel https://t.me/zakupki_tatneft

Vkontakte https://vk.com/zakupki_tatneft

Telegram channel of TPShttps://t.me/tzptn

answers to frequently asked questions Chatbot https://t.me/zakupki_tatneft_bot

Type of pr oduc t, %	2020	2021	2022
Pipe duct pro s	25	25	19
Ener gy/e lectr ical e quip t men	7	15	5
Oil fi eld e quip t men	15	13	12
Rolle d sto ck a nd m etalw ork	13	12	5
Che mica ls	8	9	23
Shut -off v alve s	7	4	2
Tran ecia l ma chin t, sp spor ery	3	4	2
Con struc tion mate rials	3	2	1
Well struc tion equi nt con pme		1	11
Othe r	19	15	20

Federal electronic trading platform B2B-Center https://www.b2b-center.ru/

Trading and purchasing platform of PJSC TATNEFT https://etp.tatneft.ru/

AUTOMATION OF THE PROCUREMENT PROCESS

The Company has implemented an automated procurement management system which is integrated with an electronic trading platform, a contract management system, electronic document flow, and other systems. Automation is focused on the transfer of routine operations to the automatic execution mode and provides:

◎ controllability and transparency of the procurement process
◎ cost reduction and acceleration of procurement procedures
◎ reduction of manual labor and the number of errors
◎qualitative analytical tools for management.

The Company has implemented a constructor for the formation of draft contracts, which automatically changes the text of the contract when certain conditions change. In addition, the tender conditions are now also in a separate application, which is automatically generated from the procurement system.

20 universal layouts have been developed, which cover approximately 90% of procurement contracts, the annexes to the layouts are displayed on a publicly accessible Internet resource. The process of using the constructor for the automatic formation of contracts is replicated at the organizations of the TATNEFT Group.

PRODUCT QUALITY

GRI 416-1, 416-2, 417-1, 417-2, 417-3, 418-1

STRATEGIC

MANAGEMENT SYSTEM

While interacting with consumers of the Company's products and services, the Company adheres to the UN guidelines for the protection of consumer interests and the International Covenant on Economic, Social, and Cultural Rights. The interaction quality is being improved and long-term relationships with consumers are being built — powered by the product quality control system, high-end services, and consumer awareness.

The Company aims to improve continuously the consumer and environmental characteristics of products and services, taking into account the changing requirements and expectations of consumers, as well as reducing the carbon footprint during the life cycle of products and services.

● Board

Providing consumers with competitive quality services and products is one of the main goals regarding the integrated management system

GRI TCFD

The Company has adopted the TATNEFT Group Policy on Integrated Management System. The integrated management system operates at all management levels in the TATNEFT Group based on the general principles of corporate culture and includes a quality management system. The requirements of the Policy on integrated management system are provided by:

◎ implementation, development, and improvement of the effectiveness of the quality management system based on ISO 9001, ISO 14001, ISO 45001, ISO 50001, GOST R 56404-2015 standards
◎ implementation of the principle of "continuous improvement" of products and services
◎ improving the professional level of the staff
◎ mutually beneficial relationships with suppliers

SAFETY OF PRODUCTS AND SERVICES FOR CONSUMER HEALTH, LABELING

The Company is responsible for providing reliable information on its products and services, including their compliance with industry quality standards, information on environmental performance and climate impact.

CERTIFICATION

Information on the components of the product is set out in the technical specifications for the product. All commercial products are identified using quality certificates, marking labels on the packaging unit of products.

Marketable products undergo the necessary certification and homologation procedures. Certain category products exported undergo REACH certification and are completed with a material safety data sheet. Verification is carried out by obtaining aconclusion on finished products' compliance with the unified sanitary-epidemiological and hygienic requirements — for the products subject to sanitary-epidemiological supervision.

SAFETY DATA SHEETS

To ensure the safety of consumers, safety data sheets have been developed for each commodity product. The product safety data sheet is a mandatory component of the technical documentation for products, which main purpose is to provide consumer with information on the safety of industrial use, storage, transportation, and disposal (liquidation) of products as well as information on substances that may have an impact on the environment and consumer health. A safety data sheet isavailable for each commercial product of petrochemical production.

The Company's quality control system allows for guaranteeing high-quality products. Production processes are organized in accordance with the requirements of the current norms and rules when performing all technological operations and are provided with a multi-level control system using modern equipment, compliance with technology at all stages of the production cycle, the use of advanced technologies, hardware and software systems, timely diagnostics of equipment.

LABELING

All manufactured products are labeled. Information on the ingredients of the product, information on substances that may have an environmental or social impact, information

onhow to use the product safely, information on how dispose of the product and its impact on the environment, and other labels are provided in the safety data sheet of the product. Appropriate labeling and hazard signs are applied each container unit. Labeling of products is carried out in accordance with current international and Russian standards and regulations. The Company's products do not exceed the maximum permissible concentrations of harmful substances as per national standards.

INFORMING CONSUMERS

The Company uses all available communication channels to inform consumers of products and services by placing quality certificates at the points of sale of products

◎ quality certificates at the points of sale of products
◎ advertising and informational materials describing the composition and properties of the products sold, the procedure for safe use and disposal, the impact on the environment at the product sale points, on the Company's website, social networks, and mobile application
◎ traffic patterns, rules of conduct, packaging disposal sites at retail product sales facilities

No cases of noncompliance with the rules regarding the impact of products and services on health and safety, concerning the products and services information and labeling, marketing communications, which resulted in a fine or other types of penalties, occurred during the reporting period

IMPROVING THE QUALITY OF CUSTOMER SERVICE

The Company takes into account the requirements of consumers, needs and expectations of stakeholders to increase their satisfaction and loyalty and improve their reputation.

The Company's guidelines and quality standards developed in accordance with the requirements of GOST R ISO 9001-2015 are aimed at applying a "process approach" in implementing and improving the effectiveness of the quality management system to increase customer satisfaction by meeting their requirements.

The Company takes into account that the requirements of consumers are dynamic, and conducts monitoring and analysis of information regularly through benchmarking, analysis of the product sales market and the consumer market. The influence of different consumer groups and their respective requirements are taken into account when conducting a SWOT analysis, which allows you to manage risks and opportunities for improving customer satisfaction.

For effective interaction, work is carried out on the implementation of the communication strategy:

◎reorganization of the internal audit system and the customer service
◎ conducting a study of customer satisfaction indicators and the health of the Company's brand using the Mediascope statistical database
◎ conducting regular surveys and receiving feedback through mobile apps
◎ implementation of inspections using the "secret shopper" method
◎ support for feedback channels via the Hotline by phone or email

CUSTOMER PRIVACY

The Company strictly oversees the mechanisms for ensuring the principle of consumer privacy rights and protection of the personal data of the customers in our fuel filling stations and is guided by the Constitution and federal laws of the Russian Federation regulating these activities.

Compliance with the confidentiality of information in relations with clients and partners is achieved in the Company by signing nondisclosure agreements with counterparties, partners at the stage of negotiations, conclusion and performance of contracts, compliance with the confidential information regime established by the Company's local regulations:

◎ Regulations on confidential information

◎ Rules for the use of information resources
◎ Regulations on working with personal data
◎ Regulation on the observance of trade secrets

The information databases of clients include persons who have consented to the processing of personal data and subsequent receipt of notifications. For security purposes, the customer authorization system is regularly updated. Customer surveys are carried out by confidential questionnaire method.

During the reporting period, there were no complaints regarding breaches of confidentiality and loss of customer data

MATERIALS USED IN PRODUCTION AND PACKAGING

GRI 301-1,301-2, 301-3

The Company produces a wide range of products in 10 business areas for business and retail. A variety of packaging materials are used to transport products to customers: wooden pallets and crates, coils for winding, big bags, stretch films, packages made of corrugated cardboard, polymer materials, metal, etc. Due to different units of measurement of the packaging used (pieces, weight, footage), the Company does not aggregate information on the percentage of packaging materials used.

At the same time, the Company is responsible for the environmental impact and applies all reasonable methods to reduce the carbon footprint that is formed as a result of the use of packaging materials. For example, the corrugated cardboard packaging used is made from 100% recycled raw materials, 50% of the stretch film used is recycled, wooden containers are processed at pyrolysis plants to produce bio-oil (a component for fuel production) and biochar (fertilizer for agriculture).

Circa 70% of the packaging materials used in the fuel business in food production and customer service of the retail chain are made of renewable materials (paper and wood). All packaging materials that enter the retail chain with related products are handed over for recycling.

For more information on the Company's actions, refer to the "Navigator of the Sustainable Development Goals" section, SDG 12 Responsible Consumption.

CORPORATE GOVERNANCE

CORPORASYSTEM OF REPANTICORRUPTION POLICY ... 133 B U SINESS ETHICS ... 130 INFORMATION POLICY ... 12 8 INTE CO R P O R ATE C O NTR OL AN D B USIN ESS ETHICS ... 119 RACTION WITH S H A REH OLDER S A N D INVESTO RS ... 117 PROT ECTIO N A N D ENFO R CEM E NT O F SHAREHOLDER RIGHTDIVID O E F ND POLICY ... 114 S H AR E H OLDERS' EQUITY... 110 GOVER NAN CE A N D M A N A GEMEN T BO DIES OF THE COMPANY ... 106 REMUNERATION SYSTE M FO R MEM BERS EXEC U TIV E BO DIES... 104 CORPORATE SECRETARY ... 103 SUSTAINABLE DEVELO PM E N T A N D C ORPO R ATE G OVE R NANCE COMMITTEE ... 101 H AU DIT COMMITTEE...98 R AND REMUN ERATIO N CO M MITTEE...100 OMMITTEES OF THE BOARD OF DIR ECTO R S ... 97 B O A R D OF DIR ECTO RS... 84 GENERAL M EETIN G OF S H A REH OLDER S ... 8 3 G OVER N A N CE STR U CT U R E ... 82 ORATE GOVERNAN C E SYSTEM ... 79

S ... 115

ERSECURITY POLICY ...137 ORTING ADVERSE IM PACTS ... 136 AN TIM O N OPOLY POLICY ... 135

CORP

CYB

CORPORATE GOVERNANCE SYSTEM

GRI 2-9

The Company has developed a corporate governance system in order to make strategically reasonable decisions, ensure effective asset management, high operational and financial performance, and increase investment attractiveness and strengthen competitiveness.

The corporate governance in the Company aims to ensure the legitimate rights and interests of shareholders and other stakeholders, efficient asset management and increase of share capital, growth of capitalization and dividend yield, maintenance of long-term economic growth based on effective management of corporate resources and risk control.

The Company maintains a clear division of powers and delineation of responsibilities of the governance and executive bodies, assesses the performance of their functions and duties, conducts effective risk management and internal control mechanisms, prevents corporate conflicts, counteracts corruption and corporate fraud, and respects the fundamental principles of human rights and ethical standards. The management of risks and opportunities pertaining to climate change includes both goal setting and monitoring by the Board of Directors, as well as assigning responsibility to the senior officers of the Company and TATNEFT Group enterprises for the fulfillment of tasks.

The Company follows the recommendations of the Bank of Russia's Corporate Governance Code and the G20/ OECD Corporate Governance Principles, and also gives due regard to the international and national standards and guidance documents regulating various aspects of corporate governance.

fundamental ethical principles and human rights, the objectives

footprint, improving social infrastructure, expanding innovation

Group's entities operate. Targeted programs are implemented

opportunities, ensuring economic growth, and improving the

favorable environment, reducing the carbon

the regions and areas where the TATNEFT

open dialogue with the local community and

Global Compact Agenda for Sustainable

the principles

corporate

the

the Company's

The Company has historically adhered to

high corporate responsibility and alignment of

Development. Business decision-making abides by

stakeholders, which improves the targeting of

of preserving a

quality of life in

based on an

interests with the UN

initiatives and decision-making transparency. The Company sees much potential for combining the efforts of all participants in the Global Compact to integrate corporate experience and actions in achieving the Sustainable Development Goals, which improves the corporate practice effectiveness ingeneral.

90 % COMPLIANCE WITH THE CORPORATE GOVERNANCE CODE

Improving information openness is an important factor in business sustainability. As a public company, TATNEFT is well aware of its responsibility to all stakeholders and strives to provide maximum full information about its business activities, financial results, and socially significant information, including implementing the Sustainable Development Goals.

TATNEFT is one of the few public companies that, despite the right to publish information in a limited scope, in 2022 disclosed information in the form of material facts, lists of affiliated persons, as well as accounting and financial statements prepared in accordance with RAS and IFRS.

Planning of financial and operational targets is integrated into a unified corporate governance system of the Group under the Development Strategy and key decisions made by the Board of Directors with considerations to sustainable development aspects. The authority to implement the production plans, economic, environmental, and social goals and objectives is delegated to the Company's management with overseeing the efficiency and motivation mechanisms based on the KPI system at the level of the Board of Directors and its Committees, the Management Board, and the General Director.

The management of the sustainable development pillars is based upon the Company's actions aligned with the UN fundamental principles and Sustainable Development Goals, global trends in sustainable development, and national and regional development priorities.

A well-functioning system of corporate governance is a crucial factor in ensuring the sustainability of the Company and the success of its strategy

MANAGEMENT OF TATNEFT GROUP

PJSC TATNEFT is the corporate center of the Group coordinating the activities of the enterprises that form the Company's business lines and business segments.

The current version of Regulations on TATNEFT Group (hereinafter, the Regulations) determines the principles of the organization, perimeter, and structure of TATNEFT Group as well as the key tasks in operation and corporate governance of TATNEFT Group. Depending on the goal-setting, TATNEFT Group has a different configuration and perimeter of controlled and related entities.

PJSC TATNEFT strengthens its mechanisms for the efficient interaction with the TATNEFT Group controlled companies, as practical strategic management tools, including the oversight

IMPROVING CORPORATE GOVERNANCE PRACTICES

The Company strives to comply with corporate governance standards, as this is one of the most critical conditions for high efficiency and sustainability of the business and the basis for socially responsible management of the Company's activities.

Company's information policy

of significant corporate actions in the controlled entities. The Regulations on the Procedure for Corporate Interaction of PJSC TATNEFT n.a. V.D. Shashin with Controlled and Related Entities define the powers and procedure for the representatives of PJSC TATNEFT in legal relations with controlled and related entities.

In order to ensure uniform principles of corporate governance and transparency of the TATNEFT Group activities, the Company also operates a corporate information platform for managing controlled companies, which allows the use of uniform corporate standards in TATNEFT Group, promptly provide guidance for corporate events in controlled companies and monitor their financial and business activities.

The Company is constantly improving corporate governance standards, ensuring that the same comply with the applicable legislation of the Russian Federation and taking into account the trends of the best international and domestic corporate governance practices.

IN THE REPORTING YEAR, WORK WAS CARRIED OUT IN THE FOLLOWING VECTORS:

Impr ovin g the effic ienc y of go bod ies vern ance	Sus tain able Dev elop t men		Bus ines s pr oce sses and ject nt pro ma nag eme
◎ The c ontro l ove r the im plem entat ion of susta inabl e dev elop ment plans has been stren gthe ned b nding y expa the p s of the ower Sust ainab le De velop ment and C rate G orpo over nanc e Com mitte e in term s of assis ting t he Bo ard of Direc in achie ving tors the S DGs, shap ing th e ideol f orate ogy o corp socia l resp onsib ility, envir enta l safe ty an d onm clima te co ation nserv , gy effi cienc y and ener ratio nal u se of natu ral reso urce s	◎ the s trateg y of T ATNE FT Grou p has been upda ted in the face of ex terna l chall enge s ◎ the H R stra tegy has b een upda ted ◎ the s ustai nable deve lopm ent nt sys tem h mana geme as been form ed ◎ SG p the E rincip les ha ve incor porat ed in the k ey polic ies a nd re gulat ions ◎ SDG ESG s and goal s hav e been iden tified and integ rated into t he m onito ring a nd ol contr ◎ syste matic work has been nized to ac hieve the k orga ey indic of ES G rat ings ators ◎ form of th trans ation e	◎ impro nt of quali ty of veme inform ing st akeh older s and visibi lity of infor matio n on susta inabl e dev elopm ent ◎ quart erly p ublic ation of ES G indic ators (Dat aBoo k) ◎ imple ment ation and unica tion o f the comm Com 's cul tural code pany ◎ deve lopm ent o f eco friend ly bus iness es throu gh bi otech nolog ical deve lopm ents ◎ creat ion o f a st ructu re cond on se ary re sourc e nt mana geme ◎ leting the s ocial comp t syst prog ram m anag emen em	◎ autom ation of su stain able deve lopm ent m t anag emen in the orate proce sses corp T Gro cente r and at TA TNEF up enter prise s ◎ digita lizatio n of p t rocur emen proce sses ◎ deve lopm ent o f an i ntegr ated ESG nt sys tem f asse ssme or liers supp ◎ impro ved p roces s nt sys tem mana geme	◎ autom ation of th e sat isfact ion nt sys tem f e in asse ssme or us the K PI sys tem ◎ upda ting t he lis t of p rojec ts to achie ve in divid ual ta sks w ithin the S DGs ◎ autom ation of th enho e gre use t syst gas m anag emen em ◎ The s ystem for in tegra ting inform ation abou t the Digita l Asse t field

IN 2022, THE FOLLOWING WAS ADOPTED OR APPROVED IN A NEW VERSION:

Doc nts r latin g th ume egu of g ce b odie ove rnan s	tivit ies e ac	Key pol icies and sta nda rds of th e Co mpa ny
◎ Artic les o f Ass ocia tion ◎ Reg ulati on th ons e Gen eral Dire ctor ◎ Reg ulati on th ons e Revi sion Com miss ion	◎ Reg ulati on th ons e Sust aina ble D evel ent opm Corp and orate Gov Com mitte erna nce e ◎ Reg ulati on th ons e HR a nd R tion emu nera Com mitte e	◎ Corp Gov orate erna nce Cod e ◎ Polic Sus taina ble y on Deve lopm ent a nd Inter actio n wit h Stak ehol ders (ori gina l tme nt) enac	◎ Corr Anti- uptio n Po licy ◎ Reg ulati n Ind ustri al on o Envi enta l Co ntro l ronm (orig inal tme nt) enac ◎ Stan dard for I ntera ction
◎ Reg ulati on th e Bo ard ons of D irect ors ◎ Rule s of Proc edur e for Prep arati nd H oldin on a g of B oard of D irect ors' Mee tings ◎ Reg ulati on th ons e Gen eral Mee ting of Sha reho lders	◎ Stan dard for t he form ation and ent o f key asse ssm perf indi cato orm ance rs for t he p of urpo ses tion for t he y remu nera ear	◎ Cyb d Cy curit ber erse y an Resi lienc e Po licy ( origi nal tme nt) enac ◎ Reg ulati on th ons e Divid end Polic y ◎ Infor mati olicy on p ◎ Reg ulati n Ins ider on o Infor mati on	with Stak ehol ders in th e field of H ealth , Saf ety and Envi ent ( origi nal ronm tme nt) enac ◎ Prog for B iolog ical ram Dive rsity Con ation serv (orig inal tme nt) enac

COMPLIANCE OF THE COMPANY'S CORPORATE PRACTICES WITH THE GUIDANCE OF THE BANK OF RUSSIA CORPORATE GOVERNANCE CODE

As regards the partial compliance with the Code guidance, the Company provides reasonable explanations of deviations from the recommended practice, guided by the comply-or-explain principle*.

PARTIAL COMPLIANCE WITH THE PROVISIONS OF THE CORPORATE GOVERNANCE CODE

◎

Standard on

Management of

Forest Resources,

Protected Natural

Territories (original

enactment)

◎

Protection of Land and

Biodiversity, Specially

Standard on Production

and Consumption Waste

Management Activities

16 %

15 %

CORPORATE GOVERNANCE

PARTIAL COMPLIANCE

* The results of the assessment of compliance with the Bank of Russia Corporate Governance Code guidance are shown in Annex 1 to the Annual Report.

10 %

2022

** The level of compliance of the Company's corporate practice with the Corporate Governance Code of the Bank of Russia has decreased slightly due to the clarification by the Bank of Russia of the corporate governance principles published on December 27, 2021 in Letter No. IN 06 28/102 "On Disclosure in the Annual Report of a Public Joint Stock Company of the Report on Compliance with the Principles and Recommendations of the Corporate Governance Code".

GOVERNANCE STRUCTURE

The Company's corporate governance system builds on international standards of corporate conduct and business ethics, the requirements of Russian legislation, the requirements of the listing rules of PJSC Moscow Exchange, and the principles of the Corporate Governance Code recommended for application by the Bank of Russia. The Company has made efforts on ESG business transformation and formed amanagement system with a competence center that initiates changes in all aspects of sustainable development, that is the Sustainable Development and Corporate Governance Committee of the Board of Directors and the Governing Council for Sustainable Development.

GRI TCFD

The General Meeting is the supreme governance body and resolves on the main issues of the Company's activities. The procedure for preparing, convening, conducting and summarizing the results of the General Meeting of Shareholders of the Company is determined by the applicable Russian laws and Regulations on the General Meeting of Shareholders ofPJSC TATNEFT n.a. V.D. Shashin.

The Board of Directors of the Company prepares reports for shareholders on each agenda item, presenting its standpoint and dissenting opinions of members of the Board of Directors, if any.

During the preparation for and holding the General Meeting, the shareholders may freely and timely receive information about the meeting and its materials, pose questions to members of the company's executive bodies and the Board of Directors, and communicate.

Shareholders are given the opportunity to participate in the General Meeting by electronic voting on the E-Voting platform, which allows all shareholders to vote remotely by filling out an electronic ballot form on the Company's Internet website. The E-Voting platform may be connected from anywhere in the world if there is an Internet network, which significantly increases the ability of minority shareholders of the Company to participate and get familiarized with the agenda and materials for the General Meeting ofShareholders.

to

25 % OF THE COMPANY'S SHAREHOLDERS PARTICIPATING IN GENERAL MEETINGS VOTE THROUGH THE EVOTING SYSTEM

Purpose: to ensure the legitimate interests of shareholders and equal conditions in the exercise of voting rights

BOARD OF DIRECTORS

GRI 2-10

The general governance of the Company is provided by the Board of Directors. The membership procedure, status, structure, functions, goals, and objectives, competencies, powers of the Board of Directors, the work procedures, and engagement with other governance bodies of the Company are determined by the Articles of Association and the Regulations on the Board of Directors of PJSC TATNEFT n.a. V.D. Shashin, and distinguished from the competences of the executive bodies of the Company, which govern its current activities.

FORMATION OF THE BOARD OF DIRECTORS AND ITS COMMITTEES

The General Meeting of Shareholders elects 14 members of the Board of Directors by cumulative voting (candidates with the most votes are deemed elected to the Board of Directors). One member of the Board of Directors is appointed by the Government of the Republic of Tatarstan based on the special "golden share" right pursuant to Law of the Republic of Tatarstan No. 43-ZRT "On Privatization of State Property of the Republic of Tatarstan" dated 26.07.2004 and Cl. 8.3 of the Company's Articles of Association.

On June 23, 2022, the General Meeting of Shareholders elected the Board of Directors of PJSC TATNEFT from candidates with sufficient professional experience in strategic management, the necessary level of knowledge and competencies, as well as personal qualities to make balanced and objective decisions for the Company's growth.

The Company provides a transparent procedure for electing members of the Board of Directors and discloses information in advance about the current composition of the Board of Directors and candidates for the Board of Directors on the official website of the Company.

When forming the Board of Directors and its committees, criteria and factors of professional skills and expertise of candidates are considered, including those in economic, environmental, and social areas, as well as their independence from the Company. Following best corporate practices, the formation of the Board of Directors considers such factors as the national and gender diversity of the Board members.

GENERAL MEETINGS OF SHAREHOLDERS HELD IN 2022

type of meeting Annual General Meeting of Shareholders format of the meeting: absentee voting* meeting date: June 23, 2022

type of meeting: Extraordinary General Meeting of Shareholders format of the meeting: absentee voting meeting date: September 22, 2022

type of meeting: Extraordinary General Meeting of Shareholders format of the meeting: absentee voting meeting date: December 22, 2022

type of meeting: adjourned Extraordinary General Meeting of Shareholders format of the meeting: absentee voting meeting date: December 27, 2022

* (Pursuant to Federal Law No. 25-FZ of 25.02.2022 "On Amendments to the Federal Law "On Joint Stock Companies" and Suspension of Certain Provisions of the Legislative Acts of the Russian Federation")

At the Annual General Meeting of Shareholders, resolutions were adopted on the distribution of profits, including the payment of dividends, the election of new members of the Board of Directors and the Revision Commission, the approval of the Company's auditor, the annual accounting (financial) statements and the annual report of the Company, the approval in the restated Articles of Association and internal documents regulating the work of the Company's governance bodies.

The Extraordinary General Meeting of Shareholders resolved to pay dividends based on the business results for the 6 months of 2022.

The Extraordinary General Meeting of Shareholders was declared invalid due to the absence of a quorum for the meeting.

The adjourned Extraordinary General Meeting of Shareholders resolved pay dividends based on the business results for the 9 months 2022.

All resolutions adopted by the General Meeting of Shareholders in 2022 have been implemented

CONTINUITY OF THE BOARD OF DIRECTORS

In order to form and maintain an optimal and balanced composition of the Board of Directors, the Company ensures the continuity of the Board of Directors, which considers the needs of the Company when new members are introduced to its composition. The rotation of the Board of Directors is carried out consistently and in stages. The Company does not allow changing of more than half of the Board of Directors at a time.

First-time elected members of the Board of Directors as soon as practicable get to know documents and materials pertaining to the Company's activities, including the Company's strategy, corporate governance system put in place in the Company, risk management, internal control system, distribution of duties and responsibilities between the executive bodies of the Company and other essential information related to the Company's activities. New members of the Board of Directors are always provided with explanations on compliance with the confidentiality rules and protection ofinsider information.

CORPORATE GOVERNANCE

86 85

CHAIRMAN OF THE BOARD OF DIRECTORS GRI 2-11

The Chairman of the Board of Directors plays a pivotal role in ensuring that the Board of Directors and its committees work effectively and efficiently. The activity of the Chairman of the Board of Directors is focused on creating a constructive atmosphere for holding meetings, free discussion of issues considered by the Board of Directors to develop the most thoughtful and practical decisions.

COMPETENCES AND POWERS OF THE BOARD OF DIRECTORS

GRI 2-12, 2-16

The Board of Directors provides an overall charge of the Company's activities, sets up priorities, strategy, and policy of the Company, authorizes and approves the strategic, long-term, and medium-term plans and programs of development of the TATNEFT Group, including investment, borrowings and asset management, main principles and approaches to the organization of the system of internal control and risk management, is responsible for the management of key risks of the Company affecting the achievement of its strategic targets and makes decisions on key projects and significant transactions, oversees the achievement of strategic objectives, plans, and programs of the Company, promotes timely disclosure of complete and reliable information on the activities of the Company, ensures transparency of the Company's activities, unimpeded access of shareholders to the Company's documents. One of the key functions of the Board of Directors is to establish effective executive bodies and ensure oversight of their activities.

When considering the Company's Strategy, forming and approving plans, budgets and investment programs, the Board of Directors considers the principles of sustainable development,

ENHANCING THE ESG PROFESSIONAL EXPERTISE OF THE BOARD MEMBERS

the ### Members of the Board of Directors strive to improve their professional experience in the economic, environmental, and social spheres of the Company's activities, in the context of the implementation of the Sustainable Development Goals of the UN Global Compact and the Paris Agreement signed under the UN Framework Convention on Climate Change, which has regulated measures to reduce carbon dioxide in

INSURANCE OF LIABILITY RISKS OF GOVERNANCE BODY MEMBERS

atmosphere.

GRI 2-17

CORPORATE GOVERNANCE

The Company insures liability risks of members of the Company's governance bodies, inter alia, abroad, under the terms and within the scope that are consistent with the insurance market for such risks in the Russian Federation.

In 2022, Ingosstrakh Insurance, Public Joint Stock Company provided liability insurance for governance bodies' member.

The Chairman of the Board of Directors is a non-executive director. The Chairman of the Board of Directors is not member of any of the Board of Directors committees. The Board of Directors elects the Chairman of the Board of Directors of the Company from among its members by a majority vote of the Board of Directors' total number. The Chairman carries out his duties under the Company's Articles of Association, the Regulations on the Board of Directors of PJSC TATNEFT n.a. V.D. Shashin, and the Corporate Governance Code.

which implies the monitoring of goals achievement in the field of climate, environmental and industrial safety, social policy and

human resource management.

The Board of Directors operates under the approved plans, inter alia, summarizing the results of activities, determining the Company's priorities, preparing General Meetings of Shareholders, making decisions on authorization or subsequent approval of non-arm's length transactions and other transactions under the Articles of Association.

In order to ensure the effective work of the Board of Directors, the Company provides information and technical resources with a secure communication channel for the delivery of materials on the agenda of meetings, ensures the holding of meetings in the format of videoconferences and implements procedures for informing the Board of Directors, inter alia, on critical issues, where such arise.

To ensure effective communication to the Board of Directors, the Company uses modern information and technical resources and channels, including specialized software inRussian and English.

The Company's governance bodies systematically receive a digest with an overview of information on economics, politics, ESG aspects, oil and related industries.

COMPOSITION OF THE BOARD OF DIRECTORS

GRI 2-9

MINNIKHANOV RUSTAM NURGALIEVICH Non-Executive Director

Chairman of the Board of Directors of PJSC TATNEFTMember of the Board of Directors of PJSC TATNEFT*

Born in 1957

In 1978, he graduated from the Kazan Agricultural Institute with a degree in Agricultural Mechanization and a qualification of Mechanical Engineer, in 1986 — received a degree in Commodity Science and Organization of Trade in Food Products at the Correspondence Institute of Soviet Trade and a qualification of Commodity Expert of the Highest Qualification

1996 — 1998 — Minister of Finance of the Republic of Tatarstan July 1998 — March 2010 — Head of the Government of the Republic of Tatarstan Since March25, 2010— President ofthe Republic ofTatarstan.

Interest in the authorized capital of the Company, % – noneHolding of ordinary shares of the Company, % – none

MAGANOV NAIL ULFATOVICH Executive Director

General Director of PJSC TATNEFT Member of the Board of Directors of PJSC TATNEFT Chairman of the Management Board of PJSC TATNEFT Chairman of the Sustainable Development and Corporate Governance Committee of the Board of Directors of PJSC TATNEFT

1983 - graduated from the Moscow Institute of Petrochemical and Gas Industry n.a. I.M. Gubkin with a degree in Technology and Complex Mechanization of Oil and Gas Field Development and a qualification of the Mining Engineer

July 2000 - November 2013 – First Deputy General Director – Head of Crude Oil and Petroleum Product Sales Department of OJSC TATNEFT

November 2013 - present – General Director of PJSC TATNEFT

Interest in the authorized capital of the Company, % – 0.000176 Holding of ordinary shares of the Company, % – none

The following changes have occurred in the Board of Directors: On 23.06.2022 the General Meeting of Shareholders:

◎

terminated the powers of Albert Ildarovich Nafigin – Non-Executive Director Rene Frederick Steiner – Independent Director

◎

elected Renat Maratovich Galiev – Non-Executive Director Valery Anatolievich Kryukov – Independent Director

GAYZATULLIN RADIK RAUFOVICH

Non-Executive Director

Member of the Board of Directors of PJSC TATNEFT Member of the Audit Committee of the Board of Directors of PJSC TATNEFT

1985 - graduated from the Kazan Agricultural Institute with a degree in Accounting and Analysis of Economic Activity in Agriculture and a qualification of Agricultural Accounting Economist

June 2002 - present - the Head of the Ministry of Finance of the Republic of Tatarstan

Holding of ordinary shares of the Company, % – none

* As per President of the Republic of Tatarstan Order No. 32 dated 25.01.2022, by virtue of the special "golden share" right, he was appointed as a representative of the state (the Republic of Tatarstan) to the Board of Directors of PJSC TATNEFT n.a. V. D. Shashin

Born in 1958.

GRI TCFD

Born in 1964

Interest in the authorized capital of the Company, % – none

GERECH

LASZLO Independent Director authorized by the Board of Directors for the Company's Climate Policy

Member of the Board of Directors of PJSC TATNEFT Member of the Audit Committee of the Board of Directors of PJSC TATNEFT

Chairman of the HR and Remuneration Committee of the Board of Directors of PJSC TATNEFT

Member of the Sustainable Development and Corporate Governance Committee of PJSC TATNEFT

Born in 1953

1977 - graduated from the Moscow Institute of Petrochemical and Gas Industry n.a. I.M. Gubkin with a degree in Technology and Complex Mechanization of Oil and Gas Field Development and a qualification of the Mining Engineer. In 1995, he graduated from Euro-Contact Business School (Hungary) with a degree in Management

01.01.2017 - present – Managing Director of G Petroconsulting Ltd July 2017 - present – Independent Advisor (member of the Reserves Assessment Committee) of MOL Group

Interest in the authorized capital of the Company, % – none Holding of ordinary shares of the Company, % – none

KRYUKOV VALERY ANATOLIEVICH Independent Director

Member of the Board of Directors of PJSC TATNEFT since 23.06.2022 Member of the Audit Committee of the Board of Directors of PJSC TATNEFT Member of the HR and Remuneration Committee of the Board of Directors of PJSC TATNEFT Member of the Sustainable Development and Corporate Governance Committee of PJSC TATNEFT

Born in 1954

1977 - graduated from Novosibirsk State University with a degree in Economic Cybernetics, qualification of Economist-Mathematician. In 1982, he completed post-graduate studies in the Institute of Economics and Industrial Engineering of the Siberian Branch of the USSR Academy of Sciences (Novosibirsk).

From 2017 - present - appointed as Director of the Federal State Budget Scientific Institution "The Institute of Economics and Industrial Engineering of the Siberian Branch of the Russian Academy of Sciences".

Interest in the authorized capital of the Company, % – none Holding of ordinary shares of the Company, % – none

SOROKIN VALERY YURIEVICH Non-Executive Director

Member of the Board of Directors of PJSC TATNEFT

SYUBAEV NURISLAM ZINATULOVICH

Executive Director

Member of the Board of Directors of PJSC TATNEFT Member of the Management Board of PJSC TATNEFT Member of the Sustainable Development and Corporate Governance Committee of the Board of Directors of PJSC TATNEFT

Born in 1964

1986 - graduated from the Kazan State University named after V.I. Ulianov-Lenin with a degree in Mechanics and a qualification of Mechanical Engineer

2003 - present – General Director of Svyazinvestneftekhim JSC.

Interest in the authorized capital of the Company, % – none

Holding of ordinary shares of the Company, % – none

Born in 1960

1982 - graduated from the Moscow Institute of National Economy named after G.V. Plekhanov with a degree in Economics and Logistics Planning and a qualification of the Economist

2001 - 17.07.2016 – Head of the Strategic Planning Department – Advisor to the General Director for Foreign Economic Activity and Financial and Banking Issues of PJSC TATNEFT 18.07.2016 - present – Deputy General Director for Strategic Development of PJSC TATNEFT

Interest in the authorized capital of the Company, % – noneHolding of ordinary shares of the Company, % – none

GALIEV RENAT MARATOVICH Non-Executive Director

Member of the Board of Directors of PJSC TATNEFT since 23.06.2022

Born in 1989

CORPORATE GOVERNANCE

2012 - graduated from Gubkin Russian State University of Oil and Gas (NRU) with majors in Geology and Mineral Exploration and qualifications of the Master of Engineering and Technology

2016 - graduated from the post-graduate school of Gubkin Russian State University of Oil and Gas (NRU).

2014 to 2016 - Chief Specialist-Expert of the Oil and Gas Refining Department of the Ministry of Energy of the Russian Federation

2016 to 2021 - Leading Advisor to the Department of Oil and Gas Production and Transportation of the Ministry of Energy of the Russian Federation

07.04.2021 - present – Assistant to the President of the Republic of Tatarstan

Interest in the authorized capital of the Company, % – none Holding of ordinary shares of the Company, % – none

LEVIN YURI LVOVICH Independent Director

Member of the Board of Directors of PJSC TATNEFT* Chairman of the Audit Committee of the Board of Directors of PJSC TATNEFT Member of the HR and Remuneration Committee of the Board of Directors of PJSC TATNEFT

Born in 1953

1975 - graduated from the Moscow Financial Institute with a degree in International Economic Relations and a qualification of the economist, 1979 - completed postgraduate studies at the Institute of World Economy and International Relations

2001 - present – Managing Partner of BVM Capital Partners Ltd

Interest in the authorized capital of the Company, % – none Holding of ordinary shares of the Company, % – none

* нon the basis of the application is considered a retired Member of the Board of Directors since 21.02.2023

TAKHAUTDINOV SHAFAGAT FAKHRAZOVICH

Non-Executive Director

Member of the Board of Directors of PJSC TATNEFT Adviser to the Chairman of the Board of Directors of PJSC TATNEFT

Born in 1946

1971 - graduated from the Moscow Institute of Petrochemical and Gas Industry named after I.M. Gubkin with a degree in Technology and Complex Mechanization of Oil and Gas Field Development and a qualification of the Mining Engineer

1999 - November 2013 – General Director of PJSC TATNEFT.

November 2013 - present – Assistant to President of the Republic of Tatarstan on Oil Production, Advisor to Chairman of the Board of Directors of PJSC TATNEFT.

Interest in the authorized capital of the Company, % – 0.116503 Holding of ordinary shares of the Company, % – 0.123914

1987 - graduated from the Moscow Institute of Petrochemical and Gas Industry named after I.M. Gubkin with a degree in Technology and Complex Mechanization of Oil and Gas Field Development and a qualification of the Mining Engineer

2011 - 2015 – Head of NGDU Elkhovneft of OJSC TATNEFT 2015 - 20.05.2018 – Deputy General Director for Oil and Gas Development and Production of PJSC TATNEFT 21.05.2018 - 30.06.2019 – First Deputy General Director for Oil and Gas Exploration and Production of PJSC TATNEFT 01.07.2019 - present – First Deputy General Director for Oil and Gas

Exploration and Production – Head of TATNEFT Upstream, PJSC TATNEFT

Interest in the authorized capital of the Company, % – 0.000056 Holding of ordinary shares of the Company, % – none

GRI TCFD

KHALIMOV RUSTAM KHAMISOVICH Executive Director

Member of the Board of Directors of PJSC TATNEFT

Born in 1965

2010 - 2011 – Director of OJSC Tatneft Branch in Libya

BALANCED COMPOSITION OF THE

BOARD OF DIRECTORS

GRI 2-9

90 89

GRI TCFD

KHISAMOV RAIS SALIKHOVICH Executive Director

Member of the Board of Directors of PJSC TATNEFT

NURMUKHAMETOV RAFAIL SAITOVICH Executive Director

Born in 1949

Engineer

Member of the Board of Directors of PJSC TATNEFT

1974 - successfully graduated from the Ufa Petroleum Institute

with a degree in Technology and Complex Mechanization of Oil

Interest in the authorized capital of the Company, % – 0.010465

Holding of ordinary shares of the Company, % - 0.010107

and Gas Field Development and a qualification of the Mining

30.01.1998 - 31.01.2020 – Head of Oil & Gas Production

Directorate of Leninogorskneft of PJSC TATNEFT

Born in 1950

1978 - graduated from the Moscow Institute of Petrochemical and Gas Industry named after I.M. Gubkin with a degree in Technology and Complex Mechanization of Oil and Gas Field Development and a qualification of the Mining Engineer

October 1997 - 12.04.2021 – Deputy General Director – Chief Geologist of PJSC TATNEFT

Interest in the authorized capital of the Company, % – 0.020341Holding of ordinary shares of the Company, % – 0.021433

AGLIULLIN FANIL ANVAROVICH Non-Executive Director

Member of the Board of Directors of PJSC TATNEFT

Born in 1975

CORPORATE GOVERNANCE

2004 - graduated from the Kazan Law Institute of the Ministry of Internal Affairs of the Russian Federation with a degree in Law Enforcement and a qualification of the Lawyer

2014 - 2016 – Deputy Head of the Special Training Department of the Center for Security of Senior officials of the Ministry of Internal Affairs of the Republic of Tatarstan 2016 - 2019 – Head of the Security Service – Assistant to the President of the Republic of Tatarstan 2016 - September 2019 – Head of the Security Service – Assistant to the President of the Republic of Tatarstan

September 2019 - present – Minister of Land and Property Relations of the Republic of Tatarstan

Interest in the authorized capital of the Company, % – none Holding of ordinary shares of the Company, % – none

GLUKHOVA LARISA YURIEVNA Non-Executive Director

Member of the Board of Directors of PJSC TATNEFT Member of the Sustainable Development and Corporate Governance Committee of the Board of Directors of PJSC TATNEFT

Born in 1976

1998 - graduated from the Kazan State University with a degree in Law and a qualification of the Lawyer

1996 - 2001 – Leading Specialist Lawyer, Chief Specialist Lawyer of the Kazan City Committee for Consumer Protection of the Kazan City Administration

2001 - 2005 – Leading Specialist, Chief Specialist, Deputy Head of the Legal Department of the Ministry of Finance of the Republic of Tatarstan

2005 – 2012 – Head of the Sector of State Law and Economics Regulation, Deputy Head of the Legal Department of the Cabinet of Ministers of the Republic of Tatarstan

2012 - November 2013 - Head of the Legal Department of JSC Tatavtodor

21.11.2013 - 22.06.2017 – Minister of Justice of the Republic of Tatarstan

23.06.2017 - present – Head of the State Legal Department of the President of the Republic of Tatarstan.

Interest in the authorized capital of the Company, % – none Holding of ordinary shares of the Company, % – none

Laszlo Gerech Yuri Lvovich LevinValery Anatolievich Kryukov

Fanil Anvarovich Agliullin Radik Raufovich Gayzatullin

Minnikhanov

Renat Maratovich Galiev Larisa Yurievna

Rustam Nurgalievich

Nail Ulfatovich Maganov

Nurislam Zinatulovich

Rustam Khamisovich

Rais Salikhovich

Rafail Saitovich

Nurmukhametov

Syubaev

Khalimov

Khisamov

Glukhova

Valery Yurievich SorokinShafagat Fakhrazovich Takhautdinov

The Board of Directors' composition is well balanced in terms of membership of independent, non-executive, and executive Directors. The Company believes that three independent directors and nine non-executive directors in the Board of Directors maintain a balance between the interests of various groups of shareholders, facilitating objectivity in decision-making and inspiring investors, shareholders, and other stakeholders with high confidence in the Company. The participation of three executive directors ensures a deep integration of the Board of Directors and executive bodies. According to the Company, three independent directors are sufficient to significantly influence the decision-making process and ensure objectivity when considering agenda items. The independence of the judgments of such directors increases the efficiency of the Board of Directors, as well as contributes to the improvement of the Company's corporate governance system.

Two of the fifteen members of the Board of Directors are foreign citizens (13,3% of the Board of Directors' overall membership). The presence of foreign directors on the Board contributes to the strengthening of international business contacts and the penetration of best business practices into the established corporate culture of the Company.

All members of the Board of Directors have significant work experience in the Company, high professional reputations and knowledge, which have a strong positive impact on consistent and balanced decision-making. The current composition of the Company's Board of Directors is sufficiently diversified and balanced

INDEPENDENT DIRECTORS

Participation of independent directors with advanced professional backgrounds in the discussion of the issues considered by the Board of Directors, including those within the scope of the Board of Directors Committees and interaction with the management, has a very positive effect on the work of the Board of Directors and the corporate governance development.

In 2022, the independent directors made a strong focus upon the Company's risk management and internal control system implementation of the Sustainable Development Goals in conjunction with the tasks of combating climate change, responsible consumption and production, and other issues according to the Agenda of meetings of the Board of Directors and its committees.

The person responsible for overseeing the Company's climate change-related activities is an independent member of the Board of Directors, Mr. Laszlo Gerech, who has relevant competencies in this field and interacts with the Company's management in discussing actions and plans to reduce the carbon footprint.

In 2022, on the basis of a reasoned decision of the Board of Directors, Yu.L. Levin, Laszlo Gerech and V.A. Kryukov were recognized as independent, despite the presence of formal criteria of relation. Yu.L. Levin and Laszlo Gerech are recognized as independent, despite their participation in the Board of Directors for more than seven years. V.A. Kryukov is also recognized as independent, since his relation to the state is of a formal nature.

The Board of Directors is of the opinion that the long-term experience, high professionalism, and impeccable reputation of independent directors allow them to make objective decisions without the influence of any other persons, that fully meet the interests of the Company and its shareholders.

KEY SPECIALIZATION OF BOARD MEMBERS

CORPORATE GOVERNANCE

NCI FINA AL INV EST ME NT, AU DIT	BUS SS S TEG INE TRA Y AND ASS ET MAN AGE MEN T	RIS KS	PRO DUC TIO N OPE RAT ION S	SUS TAI NAB LE DEV ELO PM ENT AN D CLI MAT E
Yuri Lvo vich Lev in	Rus Nu rgal ievic h tam Min nikh ano v	Sha faga t Fa khra zovi ch Tak hau tdin ov	Rais Sal ikho vich Khis amo v	Rust am N lievic h urga Minn ikha nov
Rad ik R aufo vich Gay zatu llin Nur islam Zin atul ovic h	Vale ry Y urie vich Sor okin	Nail Ulfa tovi ch Mag ano v	Rust am K ham isov ich Kha limo v	Nail Ulfat ovic h Ma gan ov
Syu bae v	Nur islam Zin atul ovic h Syu bae v	Lari sa Y urie vna Glu kho va	Rafa il Sa itovic h Nurm ukha met ov	Laris a Yu rievn a Gluk hova Nuri slam Zina tulov ich
	Nail Ulfa tovi ch Mag ano v Ren at M ovic h arat	Fan il An vich varo Agli ullin	lo G Lasz h erec	Syu baev Vale ry An atoli evic h Kryu kov
	Gali ev			Lasz lo G h erec

COMPOSITION OF THE BOARD OF DIRECTORS

ACTIVITIES OF THE BOARD OF DIRECTORS

STRATEGYGRI 2-12

In the face of new challenges, the Board of Directors approved a strategic option for the TATNEFT Group development, as well as a project portfolio that is resistant to external influences. The key objective of the Company is to maximize the total shareholder income, improve the standing of investors while respecting the interests of all stakeholders and giving due regard to the Sustainable Development Goals. The focus of strategic priorities remains on the improvement of labor productivity, effective cost management, and the human capital development. The Board of Directors has comprehensively considered the following issues:

— planning and efficiency of the Company's current operational and financial activities within the framework of the updated Strategy
— results of the implemented investment program for 2021 and investments planned for 2022, taking into account the objectives of the Strategy aimed at increasing the Company value
— on the progress of the TATNEFT Group innovative development strategy implementation
— identification and assessment of risks, including those pertaining to the climate, as part of an integrated risk management process, in accordance with national and international standards
— on the implementation of strategic initiatives in the field of information technology and digitalization
on the progress in the implementation of measures to achieve sustainable development goals
— on the introduction of the KPI system and the integration of sustainable development goals into the motivation system
on the status of integration of acquired oilfield service assets into TATNEFT Group

SUSTAINABLE DEVELOPMENT

During 2022, under the influence of the increasing importance of the sustainable development agenda, the Board of Directors paid special attention to the measures to achieve the Sustainable Development Goals, including tasks to combat climate change:

◎

CORPORATE GOVERNANCE

decarbonization projects, criteria for assessing carbon emissions reduction and energy efficiency in the assessment and approval of investment projects were reviewed

◎

goals for achieving carbon neutrality by 2050 were confirmed

◎

a portfolio of environmental projects to achieve intermediate goals for reducing greenhouse gas emissions was approved

◎

business diversification options were considered to increase operating profit due to high-tech non-fuel areas (energy and resource efficient, biotechnological vectors and biocomposite materials)

◎

the tasks aimed at increasing the sustainability and protection of existing production sites and sales channels, and opening sales markets for new products were defined;

◎

the HR management strategy was updated to include current trends and challenges, targets and strategic priorities

◎

the task of maintaining social stability in the regions of TATNEFT Group operations was set

◎

the analysis of the results of preventive measures aimed at countering corruption in the Company was reviewed

PRODUCTION AND FINANCE:

The Board of Directors comprehensively considered the issues of planning and efficiency of the Company's current operational and financial activities, as well as the implementation of projects for the production and innovative development of TATNEFT Group, initiatives in the field of information technology and digitalization aimed at enhancing business intelligence and improving operational efficiency:

◎

the key indicators of the Company's budget for 2022 were approved, the financial and business performance of TATNEFT Group for 2021, as well as the forecasted financial and business activities of TATNEFT Group for 2023 were reviewed

◎

recommendations were given to the General Meeting of Shareholders on the distribution of the Company's profits based on the results of financial and business activities for 2021, the issue of the amount and procedure for paying dividends on shares based on the results for 6 and 9 months of 2022 was considered

◎

on the progress of geological exploration, increasing the resource base of hydrocarbon reserves, as well as on the results of work and forecast indicators of the Company's business lines

◎

issues of continuous provision of material and technical resources in new conditions

◎

results of activities of the internal audit service, plans of internal audit projects, results of the audit of the financial and business activities of the Company by the Revision Commission, and the results of the audit of financial and business activities by the audit company

CORPORATE GOVERNANCE ISSUES

The Board of Directors systematically considers corporate governance issues in order to ensure the interests of shareholders and other stakeholders based on effective management of corporate resources and risk control:

on the results of an external assessment of the quality of work of the Board of Directors and its committees
on the performance and key vectors of operations of committees of the Board of Directors
on the assessment of candidates to the Board of Directors and recognition of independence of Board of Directors' members
on the approval of non-arm's length transactions and approval of the report on non-arm's length transactions and major transactions
— on the approval of internal documents regulating the activities of the Company's governance bodies, as well as the main policies and standards in the field of corporate governance and sustainable development
— on the key efforts aiming to improve the quality of corporate governance
— on preliminary review of the Company's integrated annual report containing a report on non-financial activities

PLANNING THE WORK OF THE BOARD OF DIRECTORS

The Board of Directors approves the work plan with the agenda for every half-year period. The plan of issues under consideration is drafted based on the proposals of members of the Board of Directors, executive bodies, and top managers.

The work plan including at all times as follows:

◎

—

oversight of the implementation of the Strategy and success in achieving targets, including those pertaining to the Sustainable Development Goals

◎

review of the Company's plans and results of financial and business activities

◎

performance assessment of the Board of Directors and its committees

preparation and holding of General Meetings of Shareholders, etc.

◎

Company decarbonization projects

Meetings of the Board of Directors are held in presentia and in absentia in accordance with the approved plan, as well as when necessary, however at least once a month.

GRI TCFD

In 2022, 17 meetings of the Board of Directors were held, including 13 meetings in presentia and 4 meetings in absentia. Altogether, more than 90 issues were considered.

BOARD OF DIRECTOR'S WORK PLANNING DISTRIBUTION OF AVERAGE SCORES BY KEY COMPONENTS

EVALUATION OF THE PERFORMANCE OF THE BOARD OF DIRECTORS AND ITS COMMITTEES GRI 2-18

identify

carried

the Board

The Company has put in place evaluation practices to determine the extent to which the Board of Directors, its Committees and each of the Board members are effective, whether their work is in line with the Company's needs, and to areas where their performance can be improved. The evaluation isout on a regular basis, at least once a year, in the form of a self-assessment. An external evaluation may beout by engaging an independent consultant as determined byof Directors. The external evaluation of the Board of Directors was therefore conducted in 2022. In 2023,

CORPORATE GOVERNANCE

the performance of the Board of Directors was evaluated in the form of a self-assessment.

The self-assessment in 2023, just like the external evaluation in 2022, was based on the guidelines of the Russian

Institute of Directors (hereafter RID). The questionnaire that was developed included fifty (50) questions for the evaluation of the Board of Directors and fifty (15) questions for the evaluation of the Committees. The principle of confidentiality applies when completing the questionnaire.

ANALYSIS (EXPLANATION) OF ASSESSMENTS:

The results of the self-assessment and its analysis were reviewed at a physical meeting of the Board of Directors (Minutes No. 11 of 27.04.2023).

Based on the results of the selfassessment, it was concluded that the Board of Directors was strongly involved in the strategic management of the Company and had a deep understanding of and commitment

to the challenges of sustainable development, particularly in addressing the climate change agenda.

The Company complied with the requirements of the Russian legislation on corporate governance and followed almost all the recommendations of the Russian Corporate Governance Code. With regard to certain principles that were not mandatory, the Company abided by the established practices based on the interests of the Company and its shareholders. The Company adhered to a significant number of additional recommendations of international best practice in corporate governance.

When completing the questionnaires, the Board members provided comments on further improvements to the Board's working mechanisms and the development of corporate governance practices.

Crite	rion D escri ption	2022 Aver 2023 Aver age age Exter nal Self- Asse ssme Asse nt Score ssme Score
1	Fulfi lmen t of t he k ey fu nctio f the ns o Boa rd of Dire ctors	4.6	4.8
2	Com posi tion and of th e Bo ard struc ture of D irect ors	4.5	4.6
3	Orga nisat ion o f the k of t he B oard of wor Dire ctors	4.7	4.8
4	Liais on b en th e Bo ard o f Dir etwe ecto rs and its C ittee omm s	4.6	4.7
5	Cha irma n of the B oard of D irect ors	4.9	5
6	Corp Sec orate retar y	4.7	4.9

PARTICIPATION OF MEMBERS OF THE BOARD OF DIRECTORS IN MEETINGS

Surna me, n ame, patro nymi c	27.01	28.02	06.03 absen tia	25.03	25.04	27.04 absen tia	23.05 absen tia	27.05	22.06	26.07	15.08 absen tia	22.08	29.09	31.10	15.11	30 .11	24.12	Total / atten danc e
Minn ikha nov Rust am Nurg aliev ich																		17/17
Mag Nai l anov Ulfat ovic h																		16/1 7
Syub Nuri slam aev Zina tulov ich																		17/17
Levin Yuri Lvov ich																		17/17
Gayz atull in Ra dik Rauf ovic h																		17/17
Gere ch L aszlo																		17/17
Agliu llinFa nil Anva rovic h																		16/1 7
Soro kin V alery Yurie vich																		16/1 7
Nurm ukha meto v Rafa il Sa itovic h																		17/17
Takh autd inov Shaf agat Fakh vich razo																		17/17
Gluk hova Lari sa Yurie vna																		14/1 7
Khis v Ra is amo Salik hovi ch	О																	15/1 7
Khal imov Rus tam Kham isovi ch																		17/17
Kryu kov V alery Anat oliev ich	-	-	-	-	-	-	-	-	-									8/8
Galie v Re nat Mara tovic h	-	-	-	-	-	-	-	-	-									8/8
Stein er R ene Fred erick										-	-	-	-	-	-	-	-	9/9
Nafig inAlb ert Ildar ovic h										-	-	-	-	-	-	-	-	9/9

– attended the meeting

– did not attend the meeting

– was not a member of the governance body of the Company

COMMITTEES OF THE BOARD OF DIRECTORS

GRI 2-9, 2-12, 2-16

In order to improve the effectiveness and efficiency of the decisions taken by the Board of Directors, the Board of Directors operates three committees in the Company, which preliminary review the most important issues on the agenda of the Board of Directors and prepare appropriate recommendations within their competence.

The committees are fully accountable to the Board of Directors intheir activities. The members of the committees are approved by the Board of Directors of PJSC TATNEFT, taking into account the relevant knowledge and skills, and professional background of each candidate member of the committee. The Company provides the Board of Directors with the details of each candidate's background, expertise, knowledge, and skills for aparticular committee.

NUMBER OF COMMITTEE MEMBERS

AUDIT COMMITTEE

The Board of Directors forms the Audit Committee for preliminary consideration of issues pertaining to the oversight of the financial and business activities of the Company, including the assessment of the independence of the Company's auditor and the absence of a conflict of interest, as well as the assessment of the quality of the audit ofaccounting (financial) statements.

The goals and objectives, the competence of the Audit Committee, as well as the procedure for interaction with the Board of Directors and executive bodies of the Company are defined by the Regulations on the Audit Committee of the Board of Directors of PJSC TATNEFT n.a. V.D. Shashin.

COMPOSITION OF THE COMMITTEE

Yuri Lvovich Levin

inCommittee Chairman, Independent Director, member of the Board of Directors of PJSC TATNEFT

Radik Raufovich Gayzatullin

In Gayzatullin of Non-Executive Director, member of the Board of Directors of

Laszlo Gerech

PJSC TATNEFT

Independent Director, member of the Board of Directors of PJSC TATNEFT

Valery Anatolievich Kryukov

Independent Director, member of the Board of Directors of PJSC TATNEFT

The Audit Committee of the Board Directors of PJSC TATNEFT includes three independent directors. Chairman of the Committee Yu.L. Levin has relevant knowledge and skills preparing, analyzing, assessing, and auditing accounting (financial) statements.

addition to independent directors, the Audit Committee includes R.R. — Minister of Finance the Republic of Tatarstan, a member of the Board of Directors with financial and audit expertise beneficial for the activities ofthe Committee.

The members of the Committee have the appropriate knowledge and skills inresolving the tasks of the Committee.

CHANGES IN THE COMMITTEE MEMBERSHIP:

◎

In 2022, the powers of Rene Frederick Steiner were terminated. Valery Anatolievich Kryukov was elected as a member of the Committee (Minutes of the Board of Directors No. 2 dated 26.07.2022).

NUMBER OF MEETINGS AND ISSUES PARTICIPATION IN MEETINGS

2022

2021

2020

8 8 8

40 ISSUES ON 8 MEETINGS Date

Date	25.01	09.03	13.04	26.04	14.06	25.08	27.09	25.11	Total / atten danc e
Levin Yuri Lvov ich									8/8
Gere ch L aszlo									8/8
Gayz atull in Ra dik R aufo vich									8/8
Kryu kov V alery Ana tolie vich	–	–	–	–	–				3/3
Stein er R Fred erick ene						–	–	–	5/5

– attended the meeting – did not attend the meeting - – was not a member of the Committee

CORPORATE GOVERNANCE

COMMITTEE'S ACTIVITIES

On a regular basis, the Audit Committee heard reports of external auditors and the Company's Internal Audit Service on their performance, discussed the most important audit issues that arose during the reviews of quarterly and semiannual statements and the audit of the annual financial statements of the Company with external auditors, reviewed and recommended the report of the Internal Audit Service for 2022 and the 2023 internal audit work plan for approval by the Board of Directors, as well as thematic reports of the Internal Audit Service on the results of scheduled and unscheduled audits and projects of priority importance to the Company, made proposals and recommendations to improve the internal audit efficiency.

The principal agenda items of the Committee meetings were as follows: review and analysis of the Company's financial statements, including the results of audits by its external auditor; annual audit of the external auditor's independence, as well as the Internal Audit Service independence; assessment of auditor candidates and advising the Board of Directors

regarding the election of independent auditors of IFRS and RAS financial statements of PJSC TATNEFT; discussion of areas of special focus, the scope and terms of relevant audits with auditors and with the Internal Audit Service; assistance to the Board of Directors in monitoring the reliability and efficiency of internal control and risk management of PJSC TATNEFT. In connection with the primary focus on the objectives of achieving progress on sustainable development indicators (ESG) in the Company's strategy, the Audit Committee considered at its meetings the issues of preparing the assurance and the report on progress in the assurance by the auditor on the Company's environmental indicators as part of the sustainable development project implementation. At the meetings of the Audit Committee, the preliminary and official versions of the Company's IFRS annual statements were considered, including confirmation of the auditors' independence.

Subje ct ma tter	2020	2021	2022
Revi f fina ncia l stat nts w ith th rticip ation of e xtern al au ditor ew o eme e pa s	11	10	10
Sele ction of e xtern al au ditor d co nfirm ation of th tern al au ditor s' in depe nden s an e ex ce	3	4	4
Wor k of t he In al Au dit D tern tme nt epar	13	12	11
Non 's len gth t actio ns (p relim inary revi ew) -arm rans	3	8	6
On i Com nfor mati bout the finan cial s tand ing o f the in th e An nual Rep ort on a pany	1	3	1
Sust aina ble D evel ent opm	4	4	3
Othe r	11	7	5

HR AND REMUNERATION COMMITTEE

The HR and Remuneration Committee

TATNEFT includes three independent

of the Board of Directors of PJSC

Committee have the appropriate

knowledge and skills in solving the

directors. All members of the

Committee's tasks.

The committee forms recommendations for the Board of Directors on issues pertaining to the personnel planning, including continuity planning, assessment of the professional composition and performance of the Board of Directors, as well as issues pertaining to the adoption ofeffective and transparent compensation practices.

The tasks of the Nominations Committee are combined with the functions of the HR and Remuneration Committee.

COMPOSITION OF THE COMMITTEE

Laszlo Gerech Committee Chairman, Independent Director, member of the Board of Directors of PJSC TATNEFT

Yuri Lvovich Levin

Independent Director, member of the Board of Directors of PJSC TATNEFT

Valery Anatolievich Kryukov

Independent Director, member of the Board of Directors of PJSC TATNEFT

NUMBER OF MEETINGS AND ISSUES

2022

– attended the meeting

– did not attend the meeting

– was not a member of the Committee

2021

2020

1 5 3

ISSUES

ON 3 MEETINGS

KEY MATTERS

In the reporting year, the Committee considered the following key issues:

◎

Review and approval of profiles of candidates for members of the Board of Directors, analysis of their professional qualifications and independence

◎

Motivation programs for governance bodies and key management personnel. Assessment of the achievement of KPIs, setting KPIs for 2023, inter alia, for the processes of countering climate change.

PARTICIPATION IN MEETINGS

Date	02.03	18.11	20.12	Total / danc atten e
lo Ge Lasz rech				3/2
Vale ry An atoli evic h Kry ukov	–			2/2
Yuri Lvov ich L evin				3/3
Ren e Fre deric k Ste iner		–	–	1/1

CHANGES IN THE COMMITTEE MEMBERSHIP:

◎

The goals and objectives, the competence of

well as

the Board of Directors of PJSC

Remuneration Committee, as

the Company are defined by

interaction with the Board of

Remuneration Committee of

TATNEFT n.a. V.D. Shashin.

In 2022, the powers of Rene Frederick Steiner were terminated. Valery Anatolievich Kryukov was elected as a member of the Committee (Minutes of the Board of Directors No. 2 dated 26.07.2022).

the HR and

Directors and executive bodies

the Regulations on

the procedure for

the HR and

L. Gerech was appointed the HR and Remuneration Committee Chairman (Minutes of the Board of Directors No. 2 dated 26.07.2022)

GRI TCFD

100

◎

Performance assessment of the executive bodies and other key employees of the Company and approval of the remuneration report

◎

Review of the Company's remuneration policy for members of the Board of Directors, executive bodies and key management personnel.

◎

Key projects of the HR block and implementation of youth policy in the Company.

SUSTAINABLE DEVELOPMENT AND CORPORATE GOVERNANCE COMMITTEE

GRI 2-12

The Sustainable Development and Corporate Governance Committee acts to improve the efficiency of the Company in the long term, contributes to the development and improvement of the system and practice of corporate governance by preliminary consideration of corporate governance and sustainable development issues related to the competence of the Board of Directors, regulation of relations between shareholders, the Board of Directors and executive bodies, as well as issues of interaction with controlled entities and other stakeholders.

The goals and objectives, competencies of the Sustainable Development and Corporate Governance Committee, as well as the procedure for interaction with the Board of Directors and executive bodies of the Company are defined by the Regulations on the Sustainable Development and Corporate Governance Committee of the Board of Directors of PJSC TATNEFT n.a. V.D. Shashin.

Members of the Committee have relevant knowledge, skills and expertise in the corporate law, requirements of stock market regulators to issuers of the securities market, international standards of corporate governance, socially responsible investment, ESG practices, and Sustainable Development Goals ofthe UN Global Compact.

MEMBERSHIP:

IN 2022, THE FOLLOWING CHANGES

WERE MADE TO THE COMMITTEE

COMPOSITION OF THE COMMITTEE

Nail Ulfatovich Maganov

Committee Chairman, Member of the Board of Directors of PJSC TATNEFT, General Director of PJSC TATNEFT

Laszlo Gerech

CORPORATE GOVERNANCE

Independent Director, member of the Board of Directors of PJSC TATNEFT

Valery Anatolievich Kryukov

Independent Director, member of the Board of Directors of PJSC TATNEFT

Larisa Yurievna Glukhova

member of the Board of Directors of PJSC TATNEFT, Head of the State Legal Department of the President of the Republic of Tatarstan

Nurislam Zinatulovich Syubaev

member of the Board of Directors of PJSC TATNEFT, Deputy General Director for Strategic Development of PJSC TATNEFT

Azat Gumerovich Khabibrakhmanov Deputy General Director for Industrial Safety, Occupational Safety and

Environment of PJSC TATNEFT

Damir Maratovich Gamirov

TATNEFT

Corporate Secretary – Head of the

Aigul Minkharisovna Alparova

Head of Technical & Economic

Information and Best Practices

Department of PJSC TATNEFT

Corporate Secretary's Office of PJSC

◎ Valery Anatolievich Kryukov was elected (Minutes of the Board of Directors No. 2 dated 26.07.2022). Vasily Aleksandrovich Mozgovoy Assistant to the General Director for Corporate Finance of PJSC TATNEFT

KEY MATTERS

◎

Development of an ESG transformation plan, including key tasks in the field of ESG, development of a consolidated goal map, road maps of business lines, risk maps, ensuring the integration of indicators into the Company's monitoring and control system

◎

On the Company's social events, interaction with the public. Informing about the Company's plans in the field of climate, environmental and social activities

◎

On the results of work on improving energy efficiency and energy conservation in the context of business lines, the results of inspections for the TATNEFT Group, compliance of local regulations on the energy management system with international and Russian systems

◎

Analysis of the impact of the price of carbon units on the feasibility studies of the Company's investment projects

NUMBER OF MEETINGS AND ISSUES PARTICIPATION IN MEETINGS

◎

of the Company

considered

Code of the Bank of Russia

Development of the project to communicate the Cultural Code

Projects aiming to reduce greenhouse gas emissions were

Review of the Company's report on compliance with the

principles and recommendations of the Corporate Governance

On the results of an external assessment of the quality of work

of the Board of Directors and its committees

Date	25.02	24.03	29.04	26.05	Total / atten danc e
Mag Nai l Ulfa tovic h anov					7/5
Lasz lo Ge rech					7/7
Kryu kov V alery Ana tolie vich	–	–	–	–	3/2
Gluk hova Lari sa Y uriev na					7/6
Syub Nuri slam Zina tulov ich aev					7/5
Azat Gum ich K habi brak hma erov nov					7/6
Vasi ly Ale ksan drov ich M ozgo voy					7/6
Dam ir Ma ich G amir ratov ov					7/7
Aigu l Min khar isovn a Alp arov a					7/4

– attended the meeting – did not attend the meeting - – was not a member of the Committee

CORPORATE SECRETARY

The Corporate Secretary ensures prompt interaction of members of the Board of Directors with the Company's shareholders and their representatives, with the Company's executive bodies, managers and employees of the Company units, coordination of the Company's actions to protect the rights and interests of shareholders, holding meetings and keeping minutes of meetings of the Board of Directors, assisting members of the Board of Directors in obtaining the necessary information.

The Corporate Secretary is sufficiently independent of the executive bodies and is vested with powers and resources required to perform his/her tasks. The Corporate Secretary reports to the Board of Directors, is appointed and dismissed by the General Director based on the decision of the Board of Directors. The activities are governed by the Regulations on the Corporate Secretary of PJSC TATNEFT n.a. V.D. Shashin.

DAMIR MARATOVICH GAMIROV

Corporate Secretary – Head of the Corporate Secretary's Office of PJSC TATNEFT Member of the Sustainable Development and Corporate Governance Committee of the Board of Directors of PJSC TATNEFT Chairman of the Insider Information Committee

Born in 1980

2003 - graduated from the Ufa State Petroleum Technical University with a degree in Economics and Management at Oil and Gas Industry Enterprises and a qualification of the Economist Manager

2003 - 16.04.2017 – Economist at the Securities Section of the Property Management Department of PJSC TATNEFT 17.04.2017 - 14.10.2021 – Deputy Head of the Corporate Secretary's Office of PJSC TATNEFT 15.10.2021 - present – Head of the Corporate Secretary's Office of PJSC TATNEFT

Participation in governance bodies of other entities: Member of the Board of Directors of Eurasian Registrar, LLC

Interest in the authorized capital of the Company, % – 0.000086 Holding of ordinary shares of the Company, % – none

EXECUTIVE BODIES

SOLE EXECUTIVE BODY

GRI 2-9, 2-13

General Director — Nail Ulfatovich Maganov

The General Director is appointed by the Company's Board of Directors and reports to the Company's Board of Directors and the General Meeting of Shareholders. In his activities, the General Director is guided by the legislation of the Russian Federation, the Articles of Association, the Regulations on the General Director of PJSC TATNEFT n.a. V.D. Shashin, as well as decisions of the General Meeting of Shareholders and the Board of Directors.

The General Director is in charge of the Company's day-today operations, determines the Company's organizational structure, oversees the soundness of the Company's assets and their practical use, addresses corporate matters related to the management of the Company's business structure, the health, safety, and environmental protection, the development of human resources and social guarantees for employees, as well as the sustainable development and corporate responsibility.

General Director has the right to entrust certain issues to his deputies. The duties and responsibilities are shared between the General Director and Deputy General Directors under the Company's internal organizational and administrative documents.

The Deputy General Directors of PJSC TATNEFT manage the work and bear responsibility for the relevant business lines of the Company with regard to the strategy implementation, fulfilment of technical and economic targets, achieving ESG indicators, the effective and efficient use of fixed assets, raw materials, fuel and power, and other resources, production engineering and workplace management, occupational health and safety and other business lines.

COLLEGIATE EXECUTIVE BODY

MANAGEMENT BOARD

The Management Board is in charge of the day-to-day management of the Company, coordinating and monitoring its effective work, ensuring the implementation of decisions of the Shareholders' Meeting and the Board of Directors.

The powers of the Management Board extend to a wide range of matters, including the long-term and short-term business development program, as well as the economic, financial and investment activities ofthe Company.

The procedure for forming the composition of the Management Board, the rights, duties and responsibilities of Management Board members, the Management Board's code of conduct are stipulated by the Regulations on the Management Board of PJSC TATNEFT n.a. V.D. Shashin. Contracts entered into on behalf of the Company by the Chairman of the Board of Directors with each member of the Management Board also determine the rights and duties of the Management Board members.

The Management Board consists of senior managers of the Company who have the necessary professional background and managerial experience in the Company's activities. The Board of Directors determines the composition of Management Board members.

The Management Board meetings are held in accordance with the work plan thereof.

There were no changes in the composition of the Management Board during the corporate year.

GRI TCFD

MANAGEMENT BOARD MEMBERS

MAGANOV

NAIL ULFATOVICH General Director of PJSC TATNEFT Member of the Board of Directors of PJSC TATNEFT

Chairman of the Management Board of PJSC TATNEFT Chairman of the Sustainable Development and Corporate Governance Committee of the Board of Directors of PJSC TATNEFT

Joined the Management Board in 1999

For detailed information about N.U. Maganov see page 86

GLAZKOV

NIKOLAY MIKHAILOVICH Member of the Management Board of PJSC TATNEFT Deputy General Director for Capital Construction of PJSC TATNEFT

Has been a Management Board member since 2012

Born in 1960

1998 - graduated from the Kazan Institute of Engineering and Construction with a degree in Industrial and Civil Engineering, and a qualification of the Civil Engineer

2008 - 2010 – Head of the Capital Construction Department of PJSC TATNEFT 2010 - present – Deputy General Director for Capital Construction of PJSC TATNEFT

Interest in the authorized capital of the Company, % – none Holding of ordinary shares of the Company, % – none

SYUBAEV NURISLAM ZINATULOVICH

CORPORATE GOVERNANCE

Member of the Board of Directors of PJSC TATNEFT Member of the Management Board of PJSC TATNEFT Deputy General Director for Strategic Development of PJSC TATNEFT Member of the Sustainable Development and Corporate Governance Committee of the Board of Directors of PJSC TATNEFT

Has been a Management Board member since 2014

For detailed information about N.Z. Syubaev see page 88

MUKHAMADEEV

RUSTAM NABIULLOVICH Member of the Management Board of PJSC TATNEFT Deputy General Director for Social Development of PJSC TATNEFT

Has been a Management Board member since 2002

Born in 1952

2001 - 04.12.2017 – Deputy General Director for HR and Social Development of PJSC TATNEFT 04.12.2017 - 31.01.2020 – Deputy General Director for General Issues of PJSC TATNEFT 01.02.2020 - present – Deputy General Director for Social Development of PJSC TATNEFT.

Participation in governance bodies of other entities: Member of the Board of Directors of IC Chulpan JSC Member of the Management Board of Tatneft-School Private Educational Institution Member of the Management Board of the PJSC TATNEFT and Almetyevsk Medical Facility Member of the Board of Trustees, Presidium of Park of Culture and Recreation (Charitable Foundation) Member of the Board of Directors of JSC Zelenaya Roshcha Sanatorium JSC Member of the Board of the TATNEFT Charitable Foundation

Interest in the authorized capital of the Company, % – 0.004204 Holding of ordinary shares of the Company, % - 0.004264

ACTIVITIES OF THE MANAGEMENT BOARD

In 2022, the Management Board continued delivering on the Company's Development Strategy and achieving the SDG targets following the Board of Directors' decisions.

STRUCTURE AND NUMBER OF ISSUES ADDRESSED 8 STRATEGY 18 SUSTAINABLE DEVELOPMENT 12 PRODUCTION 6 FINANCE Subject matter of issues 2020 2021 202244 ISSUES

	33	41	44
Fina nce	3	9	6
Sust aina ble D evel ent opm	12	8	18
Prod uctio n	12	10	12
Strat egy	6	14	8

REMUNERATION SYSTEM FOR MEMBERS OF GOVERNANCE AND MANAGEMENT BODIES OF THE COMPANY

GRI 2-19, 2-20

The Board of Directors sets the Company's policy on remuneration and reimbursement of costs (compensations) to the members of the Board of Directors, members of its executive bodies, and other key managers of the Company.

Remuneration of members of the executive bodies and other key managers is determined in such a way as to provide a reasonable and justified ratio between the fixed part of the remuneration and the variable part of the remuneration, which depends on the performance results of the Company and the personal (individual) employee's contribution to the final result. The Remuneration Committee consisting of independent directors and headed by an independent director who is not the Chairman of the Board of Directors has been set up for preliminary review of issues pertaining to establishing effective and transparent remuneration practices.

When forming a remuneration system and determining the specific amount of remuneration to the members of the Company's governance bodies, it is assumed that the amount of the remuneration paid should be sufficient to engage, motivate and retain persons with the relevant professional background, knowledge, and skills required for the Company.

The remuneration system builds upon the principles and guidelines of the Corporate Governance Code in alignment with the Company's current practice of remuneration and compensation accrual.

MANAGEMENT PERSONNEL REMUNERATION SYSTEM

The remuneration system for management personnel is formed taking into account the strategic goals of the Company 2030 and is aimed at creating a unified remuneration system with its variable part linked to key performance indicators (KPIs). The KPI system is an important element of corporate governance in the Company and a tool for timely monitoring of the effectiveness of achieving strategic goals and motivating management to find the most effective solutions. The system of goal-setting and monitoring of KPI achievement has been introduced since 2017, it covers not only top management, but also middle and junior managers and is directly related to the annual remuneration.

When forming the KPI system, attention is paid to the complexity and balance of operation, financial and economic indicators, goals of project activities, production quality and safety requirements. KPIs of the top management and the KPI achievement results are regularly discussed by the HR and Remuneration Committee and reviewed by the Board of Directors.

KPI SYSTEM DEVELOPMENT

In 2022, the coverage of the Company's units reached the level of 71% (115 enterprises of the Group), and the coverage of middle managers exceeded 1,100 managers. The KPI system is expanded by aligning the financial incentive system in controlled companies with corporate standards with a reference to the achievement of KPIs, and by fixing the targets of controlled companies in the KPI cards of their immediate supervisors from among the Company's top management. In 2023, work will continue on the integration of new service assets into the Company's KPI system.

During 2022, TATNEFT Group, as well as the industry as a whole, operated under the conditions of a stress scenario and new challenges of the external environment, which required prompt management decisions and flexible changes in all processes. Despite the unstable conditions of the economy, the indicators of the reporting year demonstrate positive results in maintaining the business stability.

The Company's management continues to make efforts to solve the tasks of improving the quality of sustainable development management and reducing the risks of TATNEFT Group. In accordance with resolution of the Board of Directors No. 3 dated 26.07.2022, ESG goal maps have been developed, which have been integrated into the Company's existing monitoring and control systems. The dependence of remuneration of key management positions at the end of the year on the level of achievement of the priority sustainable development goals, including the achievement of KPIs to reduce greenhouse gas emissions, improve energy efficiency, implement innovative projects and socially-oriented programs, has been established. The development goals planned for 2022 in this area have been achieved.

The integration of sustainable development goals into the TOP management motivation system is addressed by including relevant indicators in the KPI system. The Board of Directors has adopted an algorithm for implementing a monitoring and motivation system for achieving sustainable development goals by management levels, which regulates the procedure for cascading and assigning tasks to process owners at the strategic, tactical and operational levels and provides for

KPI SYSTEM DEVELOPMENT

CORPORATE GOVERNANCE

2017

indicators. For SDG leaders, having KPIs that meet the

12% to 25% in the total

Development Goals has increased from

set of

projects pertaining to the SDGs included in the KPIs.

INTEGRATION OF PRIORITY SDGS INTO THE KPI SYSTEM

108

REMUNERATION OF MEMBERS OF GOVERNANCE AND EXECUTIVE BODIES

In accordance with the recommendations of the Corporate Governance Code of the Bank of Russia, in 2021 the Board of Directors amended the "Regulations on the Payment of Monetary Remuneration to Members of the Board of Directors and the Revision Commission of PJSC TATNEFT, as well as Compensation for Expenses Related to the Performance of the Functions of the Board of Directors' Members". The Regulations define an exhaustive list of all types of payments provided to members of the Board of Directors and the conditions for their receipt. The Regulations ensure the transparency of the mechanism for determining the amount of remuneration for members of the Board of Directors.

INFORMATION ON THE AMOUNT OF REMUNERATION FOR MEMBERS OF THE BOARD OF DIRECTORS, RUB

Param eter	2020	2021	2022
Rem ation for t he s ervic uner e on the g e bo dy over nanc	108, 178,5 31.0 0	96,9 05,3 09.0 0	111,1 70,1 33
Wag es	4,69 0.21 17,17	17,43 0,52 4.69	15,3 07,3 25.9 3
Bon uses	162, 607, 545. 79	135, 355 ,798 .20	236, 572, 231. 12
Othe r typ f rem ation es o uner	1,60 4,90 6.67	52,1 11,00 5.23	101,0 7.56 74,17
Com ation pens	1,819 ,487 .93	118,4 56.0 0	1,52 1,63 6.96
Tota l	291 ,385 ,161 .60	301 ,921 ,093 .12	465 ,645 ,504 .57

REMUNERATION OF BOARD MEMBERS

Payments to the members of the Management Board are made in accordance with the basic terms of the contracts concluded for the performance of the duties of a Management Board member.

Motivation system for top management of PJSC TATNEFT n.a. V.D. Shashin is formed taking into account a set of internal documents of the Company and includes:

— remuneration based on performance and implementation of significant projects, based on the achievement of individual performance indicators;
— remuneration based on the principles of long-term motivation;
— current monetary remuneration;
— social security.

CORPORATE GOVERNANCE

Information on remuneration of members of the Board of Directors and the Management Board is disclosed inconsolidated financial statements under IFRS for 12 months of 2022.

the

The address of the page on the Internet, on which the specified reporting is freely available: old.tatneft.ru/aktsioneram-iinvestoram/raskritie-informatsii/ financial-and-accounting-reporting

The Company's shares have been represented on the Russian and International stock markets for over 25 years and are among of the most marketable instruments of the securities market.

The geography of the shareholders' location covers Russia (the major part of shareholders), North America, Australia, European and Asian countries.

The Company's ordinary and preferred shares, and bonds enlisted in the Level 1 quotation lists are traded on Moscow Exchange PJCS. PJSC TATNEFT shares are included in the calculation base of the RTS and MICEX indices which are the main indicator of the Russian stock market.

Since 2021, the Company's shares have been traded on St. Petersburg Stock Exchange PJSC without being included in the quotation lists.

The total number of shareholders of PJSC TATNEFT exceeds 390,000. Of them, the number of holders of ordinary shares is 377,390 shareholders.

SHAREHOLDERS' EQUITY STRUCTURE*

The total number of owners of shares for the calendar year increased by more than 45,000. Such an increase in the number of shareholders indicates confidence on the part of the investment community and allows the Company to declare the reliability of the

development strategy followed.

Persons that directly or indirectly own shares, and/or control votes on shares, and/or are beneficiaries of shares of PJSC TATNEFT, amounting to 5 percent or more of the authorized capital or ordinary shares of PJSC TATNEFT:

Lega l enti ty na me	Type of le gal entity	% of t he autho rized capit al	% of o rdina ry share s
Svya zinve stne ftekh im J oint Stoc k Co mpa ny	Own er	27.2 3238 9	29.0 7177 8

The Company declares that it does not have any information about the existence of the shares ownership in excess of five percent, other than those disclosed, as well as the information about the possible acquisition of the control over by certain shareholders to the extent disproportionate totheir interest inthe

authorized capital, inter alia, on the basis of shareholder agreements otherwise.

There are no shares held by PJSC TATNEFT. The shares held by the legal entities controlled by the Company account for 3.34% of the Company's authorized capital.

The information is given as of 27.11.2022, i.e. as of the date of determining (recording) the persons entitled to participate in the last Extraordinary General Meeting of Shareholders of the Company, unless otherwise specified in the text of the section.

112 111

GRI TCFD

AUTHORIZED CAPITAL

DATA ON SHARES

Quantity issued, pcs

Share par value per, RUB

State registration date

International Securities Identification Number (ISIN)

State registration number of the share issue:

Exchange and stock trading code

The authorized capital of the Company consists of the par value of the shares acquired by the shareholders and amounts to RUB 2,326,199,200.

The authorized capital of the Company is divided into registered uncertificated shares of two categories with the same par value of 1.00 ruble each:

— preferred shares – 147,508,500 pcs, interest in the authorized capital – 6.34%
— ordinary shares – 2,178,690,700 pcs, interest in the authorized capital – 93.66%

Form of issue Uncertificated

In respect of PJSC TATNEFT, in accordance with the Privatization Plan for the Transformation of the Tatneft Production Association into an Open Joint-Stock Company approved by Resolution of the State Committee of the Republic of Tatarstan on State Property Management No. 22 dated 19.01.1994, the Republic of Tatarstan used the special golden share right. The golden share special right in accordance with Cl. 5 of Article 38 of Federal Law No. 178-FZ "On Privatization of State and Municipal Property" dated 21.12.2001 shall be valid until a decision is made to terminate it.

Uncertificated

147,508,500

2-03-00161-А

RU0006944147

Moscow Exchange PJSC, TATNP

1.00

AMERICAN DEPOSITARY RECEIPTS

PJSC TATNEFT was one of the first Russian companies to place their securities on the international capital market in order to expand the range of potential investors. In December 1996, agreements were concluded on the issuance of American Depositary Receipts (ADR). Each ADR certifies the right to six (6) ordinary shares of the Company.

Since 2021, Citibank, N.A. acts as the depository bank for the PJSC TATNEFT's ADR program. The depositary receipts of PJSC TATNEFT are included in the listing of the London Stock Exchange under the ATAD code.

Type of se curity	Ordin giste red s hares ary re	ADR
Stat istra tion ber e reg num	1-03 -001 61-A	Not appl icab le
Inter natio nal S ities Iden tifica tion Num ber ( ISIN ) ecur	RU0 0090 3359 1	US8 7662 9205 1
Tota l num ber ( ) as of 09 .01.2 023 pcs.	294, 256, 758	49,0 42,7 93
Plac e of depo sitor y	NCB JSC Nat iona l Set tlem ent Dep osito ry	Citib ank, N.A
Stoc k exc hang curit y tra ding cod e, se e	Mos Exch PJS C, TA TN cow ange	Lond on S tock Exc hang e, AT AD

Amendments introduced in April 2022 by Federal Law No. 114-FZ "On Amendments to the Federal Law 'On Joint Stock Companies' and Certain Legislative Acts of the Russian Federation" dated 16.04.2022 set a ban on the circulation of securities of Russian issuers outside the Russian Federation in the absence of a special authorization. PJSC TATNEFT has

received an authorization from the Government Commission to continue the circulation of ADR outside the Russian Federation, on the basis of which the ADR program of PJSC TATNEFT has been extended indefinitely.

ADR TO ORDINARY SHARES RATIO

BONDS

In 2019, the Board of Directors approved a Program of Exchange-Traded Bonds in the amount of up to RUB 100 billion (series 001R, ID 4-00161-A-001R-02E). Under the Program of Exchange-Traded Bonds, the Company has placed exchange-traded bonds of the BO-001R-0 series in the amount of 15,000,000 pcs, with a par value of RUB 1,000.00 (state registration number of issue 4B02-01-00161-A-001P, ISIN code — RU000A1018K1) with a circulation period of 1,092 days. The bonds have 12 coupon periods, lasting 91 days each, and

coupon rate of 6.45%. Due to the expiration of the circulation period, the exchange-traded bonds of the BO-001R-01 series were redeemed on 20.12.2022.

In January 2023, the Board of Directors amended the Program of Exchange-Traded Bonds (series 001P, identification number 4-00161-A-001P-02E) to increase the maximum amount under the Program to RUB 300 billion.

CORPORATE GOVERNANCE

Share name Ordinary registered shares Preferred registered shares

Moscow Exchange PJSC, TATN

26.10.2001 26.10.2001

2,178,690,700

1-03-00161-A

RU0009033591

1.00

INVESTMENT POTENTIAL OF SECURITIES

Shares of PJSC TATNEFT are included in various stock indices, reflecting both the size of TATNEFT as a Company with a large capitalization and high rates of return, including: MOEX Index, MOEX Oil and Gas Index, RTS Index, RTS Oil and Gas Index, MOEX Blue Chip Index, MOEX — RSPP Sustainability Vector Index.

TRADING RESULTS AS OF 31.12.2022

MOSCOW EXCHANGE PJSC

Ordinary shares: ◎total traded during trading sessions: RUB 156,930,564,276.60 (average daily volume of RUB 622,740,334.43) Preferred shares: ◎ total traded during trading sessions: RUB 50,026,639,929,80 (average daily volume of RUB 198,518,412.42)

from 28.02.2022 to 23.03.2022, no trading was carried out on the Moscow Stock Exchange

COST OF SECURITIES*

CAPITALIZATION

RUB billion

GRI 2-6

Type of se curiti es	2013	2014	2015	2016	2017	2018	2019	2020	2021	2022
Ordi (RU B) nary	208. 20	226. 55	315. 50	427. 00	478. 80	737. 90	759. 40	512. 2	500. 5	348. 9
Prefe rred (RUB )	121.7 0	134. 60	198. 10	235. 00	365 .00	522. 00	736. 60	475. 0	459. 3	340. 8
SD) ADR s (U	38.2 2	24.5 0	26.3 5	41.2 2	49.4 6	63.0 0	73.8 6	40.8 0	41.51	trading **
										ded suspen

*Closing price on the last day of the trading year

** Since March 3, 2022, the London Stock Exchange has suspended admission to trading of PJSC TATNEFT's ADRs

2018

2019

USD billion 24.2 28.4 16.1 15.7 11.3

2020

1,684.6 1,763.4 1,185.9 1,158.2 810.4

2021 2022

114 113

GRI TCFD

DIVIDEND POLICY

The Company adheres to a balanced dividend policy, recognizing dividends as one of the key indicators of investment attractiveness for shareholders.

The Board of Directors of the Company determines the recommended amount of dividends for the General Meeting of Shareholders, based on an economically sound approach to the distribution of profits and maintaining a balance of short-term and long-term interests of shareholders. The principles and conditions for making decisions on the payment of dividends are defined by the Regulations on the Dividend Policy ofPJSC TATNEFT n.a. V.D. Shashin.

The Board of Directors of the Company, when determining the amount of dividend recommended to the General Meeting of Shareholders, is governed by the amount of the net profit and assumes that the amount allocated to dividends is at least 50% of the net profit determined in accordance with RAS or IFRS, whichever is larger. With that, the Board of Directors takes into account the duties and investment program of the Company, the need in working capital and required reserves for business operations, and assumes that free cash that is formed after funding the investment program, execution liabilities and other needs of the Company may be distributed in the form of dividends. In addition to restrictions on the payment of dividends provided for by the legislation, the Board of Directors may decide to recommend that the General Meeting of Shareholders decide not to pay dividends for the reporting period if such payment, in the opinion of the Board of Directors, including with consideration of the financial and economic situation and prospects for its development, may entail a deterioration in the Company's financial standing or its ability to finance investment programs and/or social obligations. The Board of Directors has recommended that the general meeting of shareholders of the Company, to be held according to the results of 2022, resolve to pay dividends on each preferred share and ordinary share in the amount of 6728% of par value of the share. The aforementioned dividend amount includes the dividend previously declared and paid for six (6) and nine (9) months of the year, amounting to3957% ofthe nominal value ofeach share.

If the Annual General Meeting resolves to pay dividends on the basis of the 2022 results, the Company's shareholders will be paid out 156 billion 507 million rubles, which is 55% of the generated IFRS net profit. Taking into account that the interim dividends for six (6) and nine (9) months of 2022 were paid in the amount of 39 rubles 57 kopecks per share for a total of 92 billion 048 million rubles, additional dividends for 2022 will amount to 22 rubles 71 kopecks per share for a total of 64 billion 459 million rubles.

The Company's cash flow makes it possible to pay dividends without creating a shortage of the source of funds for its investment program, operating activities and existing commitments.

DIVID ENDS PER SHA RE, R UB
	2018	2019	2020	2021	2022 **
Prefe	84.9	65.4	22.2	42.6	67,2
rred	1	7	4	4	8
Ordi	84.9	64.4	22.2	42.6	67,2
nary	1	7	4	4	8

DIVIDENDS PAID

	2018	2019	2020	2021	2022 ***
Amo unt o f div iden ds, R UB b illion	197.3 14	149. 965	51.6 85	99.0 84	-
Sha re of divi dend s fro t pro fit m ne S*, % unde r IFR	93	77	50	50	55

Detailed information about the history of dividend payments is available on the Company's website: www.tatneft.ru/dividends/history

2 the values of the dividend shares for 2018-2019 have been recalculated to the net profit according to IFRS (the values in the reports for previous periods are indicated to the net profit according to RAS)

Prefe rred
Ordi nary

	2018	2019	2020	2021
Amo f div iden ds, R UB b illion unt o	197.3 14	149. 965	51.6 85	99.0 84
Sha re of divi dend s fro t pro fit m ne unde r IFR S*, %	93	77	50	50

to free and unhindered disposal of

information to shareholders and

governed by the Regulations on

shares, reliable methods of recording

The procedure and terms for providing

persons exercising rights on shares,

as well as their representatives, are

Providing Information to Shareholders

of PJSC TATNEFT n.a. V.D. Shashin.

◎

rights to shares

PROTECTION AND ENFORCEMENT OF SHAREHOLDER RIGHTS

GRI 2-29

The Company has adopted a multilevel system for protecting the rights of Company shareholders.

The Company provides all the conditions for the shareholders to exercise their rights:

◎

CORPORATE GOVERNANCE

to participate in the management of the Company by voting at the General Meeting of Shareholders of PJSC TATNEFT

to participate in the formation of the Board of Directors of PJSC TATNEFT pursuant to the legislation of the Russian Federation

◎

to receive part of the Company's profits in the form of dividends

◎ to receive the necessary information about the Company on a timely and regular basis

KEY PRINCIPLES OF INTERACTION WITH COMPANY SHAREHOLDERS Taking all necessary and possible measures in the event of a conflict between the governance bodies of the Company and its shareholders, as well as between shareholders, if the conflict affects the interests of the Company, to fully resolve the conflict, as well as creating conditions that preclude future conflicts Guaranteed equal provision and observance of the legitimate rights and interests of all shareholders of the Company, regardless of the size of their stake Ongoing interaction of the Company's management with all shareholders in order to effectively manage the Company and ensure its sustainable and dynamic development Continuous improvement of existing and development of new mechanisms and forms of interaction with shareholders, increasing the efficiency and quality of interaction with shareholders Identification and addressing of all possible general and specific issues associated with the exercise of the shareholders' rights I II III IV V

PROTECTION OF RIGHTS TO SHARES

The Company provides reliable and secure methods of recording share rights, involving a professional registrar to keep records.

COMPANY REGISTRAR

The organization that registers the rights to equity securities of PJSC TATNEFT is Eurasian Registrar Limited Liability Company, which has been professionally operating on the Russian securities market as a specialized registrar for more than 20 years.

The Registrar is among the top 10 largest Russian registrars and maintains registers of more than 500 issuers, including the largest enterprises and holdings. Shareholder service points and transfer agency points are open in 17 regions of the largest presence of the Company's shareholders.

The Registrar is a member of National Financial Association Self-Regulatory Organization (NFA SRO).

The high degree of reliability and security of maintaining electronic databases is ensured by the use of the Zenit registry management system, which has the certificate of PARTAD SRO. The software and hardware capacity of the Registrar allows servicing over 1 million personal accounts of the owners of securities.

Guarantees to customers are provided by Ingosstrakh comprehensive insurance policy for the compensation of property damage as a result of the registrar's activities.

The Company, together with the Registrar, regularly informs shareholders about the need to update information about shareholders contained in the shareholder questionnaire of PJSC TATNEFT, and takes actions to identify 'sleeping' shareholders, as well as possible heirs of deceased shareholders.

Information about the registrar, the procedure for entering information in the PJSC TATNEFT register of shareholders, obtaining extracts from the register of shareholders and performing other actions is available on the registrar's official website at www.earc.ru. The Shareholder's Personal Account service is available on the registrar's website

INTERACTION WITH SHAREHOLDERS AND INVESTORS

GRI 2-29

The key priority of the Company's interaction with shareholders and the investment community as a whole is building a dialogue and effective feedback from investors and analysts, reviewing and discussing their opinions about the Company and its investment history by responsible managers, making appropriate decisions.

Ensuring the confidence of shareholders and investors in the effectiveness of their investments, long-term and steady growth of shareholder value is a principal aspect of Company's corporate practice.

The Company's interaction with shareholders and investors is based on the availability of responsible managers and key employees of the Company to communicate with shareholders, investors, and stock

market analysts, as well as consultants to institutional investors on voting issues, discussing development plans and results of the Company's activities and ESG aspects.

—

— Federation

Postal address for receiving written

inquiries: 75 Lenina Str., Almetyevsk

E-mail for sending electronic

Secretary's Office received 3,027

inquires from shareholders.

In 2022, the PJSC TATNEFT Corporate

messages: [email protected]

423450, Republic of Tatarstan, Russian

For effective interaction with shareholders and investors, the Company provides several communication channels:

—Shareholders' inquiries are accepted by phone: 8 (8553) 37-37-39; 8 (8553) 37-60-27 8(8553) 37-39-27

— 24/7 PJSC TATNEFT hotline: 8 800 100

4 112

HISTORY OF SHAREHOLDER INQUIRIES

Inqui ry de scrip tion	2020	2021	2022
Upd ating l dat per sona a	615	374	142
Reg istra tion of in herit righ ts ance	354	309	149
Selli nd re dem ption of s hare ng a s	255	106	58
Divid end ent paym	3,96 5	2,72 2	2,313
Prov iding 2-N DFL ificat cert e	128	112	79
On h oldin g a G al M eetin g of Sha reho lders ener	624	243	147
Nota inqu iries ourt ry, c	109	73	74
Othe r iss ues	596	310	65
Tota l	6,84 0	4,24 9	3,02 7

Materials for shareholders and investors, including press releases, presentations, annual reports, issuer reports, and material facts are posted on the Company's official website: www.tatneft.ru

INTERACTION WITH INSTITUTIONAL INVESTORS

During 2022, interaction with investors and analysts was carried out taking into account external factors pertaining to the adoption of restrictive measures against the Russian Federation, the suspension of securities trading and settlement operations by foreign depositories, as well as measures taken by the Russian authorities in response to the restrictions imposed. A significant part of the interaction with foreign investors in 2022 was related to the arrangement of the circulation of the Company's securities in the form of depositary receipts outside the Russian Federation. In accordance with the requirements of the legislation, the Company received authorization to continue the circulation of its securities outside the Russian Federation, automatic and forced conversion procedures were carried out with respect to its depositary receipts. The Company provided investors with explanations on the circulation of its depositary receipts by publishing communications on new legal requirements, and also responded to individual inquiries from investors. During 2022, interaction with investors was largely reoriented to local investors who had the opportunity to conduct transactions with the Company's securities. Almost all foreign investment banks and companies have stopped conducting research and issuing

analytical reports on Russian issuers, including Companies. At the same time, the majority of domestic investment companies have retained, and some have expanded, their teams for analyzing the activities of Russian issuers. At the end of 2022, the Company's shares were covered by analysts of more than 6 investment companies and banks.

In general, during 2022, Company's specialists responded to more than 1,000 inquiries and requests from investors and analysts. The major part of the questions were related to the arrangement of the Company's securities circulation outside the Russian Federation, the Company's strategy taking into account external factors, operating activities, dividends and progress in achieving sustainable development goals.

The opinions of investors and analysts are promptly communicated to the responsible managers, discussed and taken into account when making decisions. The Board of Directors of the Company, the Corporate Governance and Sustainable Development Committee and the Audit Committee are being informed about the work on interaction with investors onanongoing basis.

Most of the inquiries were answered during the direct communications and correspondence with investors and analysts based on the published information; responses to some inquiries were prepared with the involvement of responsible services of the Company and were sent in writing or communicated orally. The Company has organized the process of prompt preparation of responses to investors' inquiries in various fields of activity. Responses are provided in written and oral form with the mandatory disclosure and publication of any information that is material and may affect the value of the Company's securities.

In order to achieve the highest possible quality of interaction with the shareholders, the Company strives to use the most reliable methods and forms of communication, including advanced information technologies.

GRI TCFD

118

CORPORATE GOVERNANCE

RISK MANAGEMENT AND INTERNAL CONTROL

Risk management and internal control are integrated with each other and into the Company's management system and are part of the daily work of all Company units. In order to make optimal and reasonable business decisions aimed at achieving strategic goals and operational results of the relevant business lines and TATNEFT Group as a whole, each manager and employee shall identify and control risks, and plan their actions based on risk assessment

Precautionary principle is a key principle of the risk management and internal control system: the Company's principal approach is to assess the likelihood of a risk event and prioritize preventive measures over reactive ones. The Company adheres to the precautionary principle, which is one of the basic

principles in the system of strategic and current planning of operations in all areas.

Taking into account the dynamic development of the business environment, the constant change in the composition, quality and intensity of factors that may affect the Company's activities, the Company continuously develops the risk management and internal control system in accordance with regulatory legal acts and laws of the Russian Federation, the Articles of Association, the Risk Management and Internal Control Policy and other internal documents of the Company, the Corporate Governance Code, recommended for use by the Bank of Russia, and also on the basis of generally recognized concepts and best practices in the field of risk management and internal control, including the COSO integrated concept ofbuilding aninternal control system,

the concept of risk management COSO ERM organizations within the recommendation of the Committee Sponsoring Organizations of the

of Treadway Commission, international standards ISO31000 Risk Management. Principles and Guidelines and ISO31010 Risk Management. Risk Assessment Methods.

The Company is aware that the improvement of the risk management and internal control system implies thoroughness and consistency of corporate procedures in accordance with the COSO recommendations, as well as systematic training and professional development of management at all levels and the Company's personnel in the risk management and internal control.

RISK MANAGEMENT

Risk management is a culture, analytics, competencies and practices integrated into the processes of making all business decisions, in the development of the Company's Strategy and corporate governance of TATNEFT Group. Without competent risk management, the Company will hardly achieve its strategic and operational goals, ensuring the efficiency, safety and environmental safety of production, or stable product quality.

Risk management enables the Company management to act efficiently in the face of uncertainty and associated risks, and to seize new opportunities, increasing the potential for Company's value growth.

In order to ensure the Company's sustainable development, risk management is integrated into the decision-making mechanisms and management system and in all fields of Company's activity.

To minimize the possible adverse impact on the financial and business performance, the Company develops and implements appropriate compensating measures. To keep risks at an acceptable level, part of the risks is insured.

RISK MANAGEMENT LEVELS

Risk management is a continuous systematic process integrated into the strategic and operational management of the Company at all levels of its activities in order to affect a risk to reduce its level, eliminate or mitigate the consequences of the risk. Risk management implies a comprehensive analysis of threats and opportunities to achieve the business goals and development of optimal management decisions by the Board of Directors, General Director, Management Board, management and employees of the Company.

STRATEGIC RISK MANAGEMENT

The Company analyzes and assesses strategic risks on a regular basis, which is reflected in the updating of the Company's strategy. In particular, macroeconomic and industry trends are predicted and taken into account, including the dynamics and quality of economic growth, trends in demand for oil and energy resources, basic factors underlying the dynamics of demand, supply and oil prices in the world market, and currency fluctuations. At the same time, other global socio-economic processes, climate changes, the state of foreign policy and government regulation, infrastructure and other conditions and restrictions that may affect the Company's operations are given due regard. The Management Board and the Board of Directors of the Company discuss strategic risks onaregular basis.

OPERATIONAL RISK MANAGEMENT

The Company updates the register of operational risks for all business units at least once a year. Identification, assessment and monitoring of operational risks are focused on increasing the likelihood of achieving strategic and medium-term goals, indicators of business plans of units and specific production results.

The Company assesses risks when developing three-year and annual business plans for TATNEFT Group, taking into account the implementation of the approved Strategy. When developing business plans and sources of funding, macroeconomic parameters and various scenario conditions are taken into account, including market volatility and prices for oil and petroleum products, planned volumes of oil production and refining, the structure of oil and petroleum product exports, state regulation conditions, etc. Cash flow management is carried out based on the principles of continuity of current activities, fulfillment of obligations, implementation of investment programs and creation of an acceptable level of reserves.

In order to ensure the effective functioning of the risk management system at the operational level, the Company's internal documents regulating risk management in projects, as well as regulating the risk management process on business lines and in the field of health, safety and environment in TATNEFT Group are being developed and implemented.

Risk management in projects includes processes pertaining to risk identification, analysis and decisionmaking, which include maximizing the benefits and minimizing the adverse consequences of the risk event occurrence.

GRI TCFD

120

119

The risk management system in projects builds on the following principles:

◎

System approach: management of all types of risks is carried out in all key fields of activity, at all stages of project management.

◎

Responsibility for risk management: each project participant sees risk management as one of their tasks falling within their competence, to the extent of their knowledge and available information.

CORPORATE GOVERNANCE

122 121

GRI TCFD

RISK MANAGEMENT LEVELS

● Independent assessment of the RMICS reliability and efficiency at the corporate and business process level (reports on the results of inspections are sent to the Company's management and the Audit Committee) ● assisting the Company's management in improving ● Control over financial and business activities of the Company INDEPENDENT MONITORING ● Revision Commission ● Internal Audit Department

internal control and risk management processes

◎

Cross-functional interaction: the process of managing risks affecting the goals of various business processes is based on collegiate decisions made jointly, based on the information available to various units.

◎

Unified information space: information support of the risk management system makes it possible to inform decision makers about risks in a timely and exhaustive manner.

different levels of

carried out based on

the project, as well as the goals

Escalation of

higher levels of

management to

Cost-effectiveness of

cost-effectiveness of

Risk mitigation solutions, as

management controls, extend from

making is

◎

ones.

system is designed to ensure the

◎

decision-making levels:

risk minimization are made

management,

risks.

the significance of

goals: risk management

risks: the movement

carried out from lower levels

management to lower

risk

management: the risk management

the project. At the

the higher ones.

well as risk

the goals set

specific processes and functions.

information about risks for decision-

Separation of

decisions on

depending on

Linking to efficiency isand developing risk response plans.

◎

THE COMPANY'S RISK MANAGEMENT SYSTEM AT THE OPERATIONAL LEVEL INCLUDES:

same time, the amount of

economic feasibility.

Monitoring the risk management

efficiency: the risk management

risk management is

ensured by costs for

determined based

—

monitoring risks

— risk management planning, i.e. the process of determining the procedure for performing risk management actions within the project, which results in documenting the risk management procedure inthe project;

— risk identification, i.e. the process of identifying, describing parameters and characteristics, classification and initial risk assessment, which results in a risk register with designated risk owners;

risk analysis and assessment, i.e. the process of initial expert assessment of the impact and probability of occurrence of identified risks, which results in qualitative and quantitative indicators of the probability of individual risks occurrence and impact on the achievement of the final goal;

risk response planning, i.e. the process of developing options for actions that contribute to expanding opportunities and reducing threats to the project goals achievement, the result of which is a developed risk response plan;

risk monitoring and control, i.e. the process of verifying the implementation of risk response plans and risk monitoring (tracking residual risks, identifying new risks), as well as assessing the efficiency of risk response measures throughout the project lifecycle, where the output is information about the current state of risk, corrective measures in terms of risk response and updated data in the risk register.

In order to shape the risk management culture, the Company accumulates knowledge about risks, analyzes realized and prevented risks and distributes this knowledge among employees and management of the Company, for which the Corporate University of the Company implements advanced training programs in the following areas: Change Management, Project Management, Risk Management, and Process Management.

Information on the principal risks is provided in Annex 2 "Key Risks" to this Annual Report

INTERNAL CONTROL

The Company has an internal control system that covers the key business processes of TATNEFT Group, which contributes to ensuring the reliability of financial statements, compliance with legislation and local regulations of the Company. Internal control helps to improve the efficiency of the Company's management in financial and business activities, prevents damage to the reputation of the Company.

INTERNAL CONTROL PRINCIPLES:

◎

Integrity — internal control is an integral part of the management process at all levels, covering all business lines and units of the Company, as well as all its employees

◎

Framework unity — internal control is implemented on the basis of common approaches, standards and principles in all business lines and units of the Company

◎

Continuity of operation — internal control is carried out systematically and continuously, is an integral part of the management process, pursues the goal of timely identification and prevention of risks

◎

CORPORATE GOVERNANCE

Comprehensive nature — internal control covers all business lines and the principal and auxiliary business processes of the Company

Risk orientation — internal control closely linked to the risk management, aimed at keeping risks under the control of the Company's management, result of which timely and effective

ensured using

Responsibility — managers at all levels and other participants in the internal control process are responsible for its proper implementation to the extent of powers granted to them

◎

as a

◎

risk management is

internal control measures

Timeliness of information — internal control participants, within their authority and accountability, provide timely information on identified significant deficiencies and deviations and ensure their elimination

◎

Delineation of powers in the field of internal control — preventing the assignment of powers to the same internal control participant to implement any control procedure and assess its efficiency

◎

Reasonable sufficiency — the scope and cost-effectiveness of internal control procedures shall be necessary and sufficient to achieve the goals and objectives ofinternal control

Documentation — the procedure for the arrangement and implementation of internal control is documented and reflected in the Articles of Association and internal documents ofthe Company

◎

Ensuring uninterrupted operation —

internal control, being an integral part of the management process, ensures the continuity of activities and uninterrupted operation of all Company units in the event of substandard and emergency situations

◎

Countering fraud and corruption — internal control in the field of preventing and combating corruption is carried out in accordance with the Anti-Corruption Policy of PJSC TATNEFT, which contains the Company's principles and requirements for anti-corruption measures

◎

Continuous development and improvement — internal control procedures are constantly being improved and adjusted to changes in the internal and external environment in order to increase the internal control efficiency

◎

Interaction and coordination — internal control is carried out on the basis of clear and effective interaction of all internal control subjects at all levels of the Company's management. All Company employees assist the internal control bodies in the exercise of their functions

◎

Independent assessment — in order to maintain the independence of internal control, the Company conducts a regular independent objective and reliable assessment of the internal control system

THE COMPANY'S RISK MANAGEMENT AND INTERNAL CONTROL SYSTEM IS BASED ON THE "THREE DEFENSE LINES" PRINCIPLE AND CORPORATE MODEL

FIRST DEFENSE LINE

involves goal setting and performing internal control functions as an integral part of management at all levels of the Company's corporate structure. The first defense line includes all business lines and functional services ofthe Company.

Man t Bo ard and Gen eral Dire ctor age men of th e Co mpa ny	Hea ds o f bu sine ss li and unit nes s	Com d TA TNE FT G ploy pan y an roup em ees
re th aniz ation and ratio n of » ensu e org ope the r isk m nt an d int l con trol anag eme erna syste m dist ribu te p rs, d uties and owe » onsi bilitie the h eads of resp s am ong Com busi line d un its of the ness s an pany nsib ility for t he o tion of assu me r espo pera » the f efen irst d se li s the inte rnal cont rol ne a m fo unda tion syste	re th ntinu ratio n of the r isk » ensu e co ous ope ent a nd in tern al co ntro l sys tem man agem , dete rmin e ad te co ntro l pro cedu res i equa n » the a ssig ned units the c ontr ol en viron t arra nge men » nsib ility f or th e eff icien t assu me r espo » inter nal c ontr ol to ach ieve the g oals of th e rvise d bu sine ss lin nd u nits supe es a	time ly an d effi cien tly p erfo ll the rm a stip ulate d m nd p dure s of easu res a roce inte rnal cont rol in the ir fu nctio nal a reas

SECOND DEFENSE LINE

being partly independent of the first line, it offers the opportunity to challenge and, as necessary, adjust the control measures of the first defense line in the course of making business decisions, taking into account the existing risks. The control services and units operating in the Company provide guidelines, control and monitor the compliance of the business lines and units with the stipulated rules and regulations, make prompt adjustments to business decisions and processes in case of risks and deviations.

Fina ncia l and ic se rvice eco nom s	cise trol o ver t he e tion of pa nts, trans actio ns fo r the dep ositi nd » exer con xecu yme ng a borr owin g of fund ts re ceiv able and ount yabl sh re s, m anag e ac coun acc s pa e, ca serv es, mpli with king ital s tand ards trol l issu ed, t actio ith ensu re co ance wor cap , con oans rans ns w ante nd s ureti guar es a es
Lega l De part t men	Grou ides lega l sup port for t he T ATN EFT p's b usin is re sible for t he c lianc prov ess, spon omp e » rol fu nctio ll as for c lianc e wit h reg ulato quire d leg al no cont ts an ns, a s we omp ry re men rms
Rev ision Com miss ion a nd C ol an d Au dit ontr Dep artm ent	audi ts of the finan cial a nd b usine tivitie s of t he C nd its unit s for out » carry ss ac omp any a plian ith th e leg islati f the Rus sian Fede ratio n, th e Art icles of A iatio d oth com ce w on o ssoc n an er inter nal d ents of th e Co whic h pro vide osals and ndat ions to ocum mpa ny, u pon prop reco mme elim inate the nd c f viol ation caus es a onse quen ces o s
Dep artm ent o f Ec mic Sec urity ono , Civi Info tion Pro tect ion, l Def and rma ense cy S Eme ituat ions rgen	onsi ble f or in tern al co ntro l in th e fie ld of nterp arty risk a nt an d resp cou sses sme » e Co ent, ring the p rotec tion of th ny's ts, in form ation and l man agem ensu mpa asse per sona of C data loye es, i nfor mati nd IT urity ntera ction of fr aud and omp any emp on a sec , cou uptio corr n re th e ph ysica l safe ty an d se curit y of ts, e mic rity o f pro es in the ensu asse cono secu cess » f goo ds, s ervic nd s ales of p rodu ent o cts proc urem es a
Ethi cs C ittee omm	plian ith e thica l req uirem in TA TNE FT G ents » over sees com ce w roup

THIRD DEFENSE LINE

Inter nal A udit Dep artm ent	»	tests the effic ienc y of inter nal c ontr ol du ring sche dule d an d un sche dule d int l aud its, erna deve lops iate ndat ions bas ed o n the lts of aud its, a onito ring app ropr reco mme resu rrang es m of th e im plem enta tion of co rrect ive m and also form inde pend ent easu res, per s an T Gr ent o f the inte rnal cont rol s yste ithin TAT NEF asse ssm m w oup
Hotl ine	»	Ope rates for t he re port ing a nd s essi f em bezz leme nt an d co rrupt tices uppr on o prac

Current Plans to Improve the Risk Management and Internal Control System

◎

Particular attention is paid to the risks of ensuring business continuity, sustainable development and ESG factors;

◎Centralized approaches to system identification, ranking and risk management are being introduced, internal reporting procedures are being improved;

environment;

◎

Risk-based insurance approaches are being improved.

◎

To mitigate the impact of operational risks, work continues to improve the

maturity of the management system in the field of health, safety and

GRI TCFD

INTERNAL AUDIT

The internal audit of the Company is aimed at assessing the reliability and performance of the Company, provides for identification of internal reserves to increase the efficiency of the financial and business activities of the Company and TATNEFT Group, and to improve the internal control and risk management system.

The internal audit function is isolated by the nature of its activities, it has the necessary independence status, it is administratively subordinate to the General Director, functionally to the Board of Directors of PJSC TATNEFT, which corresponds to the best Russian and international corporate governance practices.

The goals, objectives and powers of the Company's Internal Audit Department are defined by the Regulations on the Internal Audit Department of PJSC TATNEFT.

The internal control system efficiency is assessed taking into account the coverage of the main and auxiliary business processes in all fields of the Company's operations in accordance with the internal audit plan approved by the Board of Directors. When preparing the annual plan, the proposals and risks received as a result of the survey ofmanagers ofthe business

According to the results of the audits, no critical facts were found onthe basis of which it could be concluded that the Company's internal control and risk management system is inefficient. Based onthe identified shortcomings, recommendations were given for their elimination. Corrective measures were developed, the implementation ofwhich isregularly monitored bythe Internal Audit Department

EXTERNAL AUDIT

CORPORATE GOVERNANCE

In order to independently assess the reliability of the accounting (financial) statements, the Company annually engages an external auditor to conduct an audit of statements prepared under International Financial Reporting Standards (IFRS) and Russian Accounting Standards (RAS). The General Meeting of Shareholders appoints an external auditor based on the recommendation of the Board of Directors of the PJSC TATNEFT, adopted on the basis of the assessment carried out by the Audit Committee.

segments and units of the Company, the results of prior audits are taken into account.

As part of the audit, a system of internal control over the operational efficiency of processes, compliance with the legislation, and safety of property is considered. The audit is conducted on a risk-based approach. The report on the results of the internal audit is sent to the management of the Company and the Audit Committee. The Internal Audit Department monitors the implementation of measures and informs the Company's management and the Audit Committee of the Board of Directors on the progress of elimination of the identified deficiencies.

In 2022, the Internal Audit Department fully implemented the annual plan:

— conducted 9audits

Technologies of Trust

the decision of

appointed an

audit of

No. 37

Meeting of

including:

In addition, the Internal Audit Department participated in unscheduled projects on various issues of financial and business activity.

When determining priority projects for inclusion in the annual plan, management's proposals, the results of prior scheduled and unscheduled audits, the significance of the subject matter for the implementation of the

— Audit, JSC was

auditor for compulsory

the Annual General

the annual financial accounting

Shareholders (Minutes

statements for 2022 prepared

accordance with Russian and

dated 23.06.2022).

AUDITOR'S FEE FOR 2022

Audit services (VAT EXCLUDED) - RUB

85.4 mln (excluding overhead costs),

International Accounting Standards

strategic objectives of the TATNEFT Group, the level of risks and other factors are taken into account.

QUALITY ASSESSMENT OF THE INTERNAL AUDIT FUNCTION

In order to obtain an independent opinion on the quality of the internal audit function, the Company, in accordance with the recommendations stipulated by law, performs an external audit quality assessment at least once every five years.

2021, Ernst & Young LLC — Assessment & Advisory Services assessed the quality of the internal audit function performed by the Company's Internal Audit Department.

Based on the results of the assessment carried out in accordance with the requirements of the External Quality Assessment Manual for the Internal Audit Activity of the Institute of Internal Auditors, the activities of the Company's Internal Audit Department generally comply with the International Professional Standards for Internal Audit of the Institute of Internal Auditors and the Code of Ethics. The "generally comply" assessment means that the internal audit has internal audit regulations, policies and procedures in place that are assessed as compliant with the Standards. The consultant provided recommendations on improving the internal audit activities.

— audit of the consolidated financial statements of TATNEFT Group prepared in accordance with IFRS – RUB 79.0 mln;
— audit of the financial statements of PJSC TATNEFT in accordance with RAS – RUB 6.4 mln.

Consulting services from Technologies of Trust Group are provided by legal entities other than Technologies of Trust – Audit, JSC, therefore they are not included in the auditor's fee for the purposes of the annual report.

REVISION COMMISSION

Exercises control over the financial and business activities of the Company, over compliance with the legislation of the accounting procedure and over the submission of accounting (financial) statements and information by the Company to the relevant authorities and shareholders in accordance with the procedure and within the terms determined by the legislation of the Russian Federation.

The Revision Commission activities are regulated by the Company's Articles of Association and Regulations on the Revision Commission of PJSC TATNEFT n.a. V.D. Shashin.

The Revision Commission is elected as a body of eight members by the General Meeting of Shareholders for a term until the next Annual General Meeting of Shareholders. One member of the Revision Commission is appointed based on the special "golden share" right (Law of the Republic of Tatarstan No. 43-ZRT "On Privatization of State Property of the Republic of Tatarstan" dated 26.07.2004). A shareholder of the Company and any person proposed by a shareholder may be a member of the Revision Commission.

In 2022, the Revision Commission held 8 meetings, at which the issues of the status of the Company's accounts receivable and accounts payable, control of updating of the regulatory documentation of PJSC TATNEFT were considered in order to build effective interaction between the structural units ofthe Company, monitor the operational

INFORMATION ON THE AMOUNT OF REMUNERATION TO THE MEMBERS OF THE REVISION COMMISSION, RUB

Tota l	40,6 64,5 49.0 4
Othe r typ f rem ation es o uner	7,35 6,13 1.53
Bon uses	23,6 68,5 08.8 1
Wag es	7,517 ,034 .70
Rem ation for t he s ervic the rviso ry bo dy uner e on supe	2,12 2,87 4.00
	2022

Shareholders oversee the execution of executive and technical documentation under construction contracts concluded by Company.

Also, the Revision Commission reviewed documents on the mandatory annual inventory of the Company, the implementation of investment projects for the achievement of indicators, the process of accounting for funds for targeted financing and charity in terms of fixing the responsibility of the parties in contracts, the cost of oil production and the financial performance of the Company. The condition of archival documents pertaining to of the Company was checked, the expenditure of the Company's funds allocated in accordance with the approved business plans was monitored, the audit of the Company's financial and business activities for 2022 was carried out.

In the course of work of the Revision Commission in 2023, the reliability of the data disclosed in the annual accounting (financial) statements and the Company's Annual Report for 2022, as well as the data disclosed in the Report on the Non-Arm's Transactions of PJSC TATNEFT n.a. V.D. Shashin in 2022, was confirmed.

The conclusions of the Revision Commission were communicated tothe Annual General Meeting of

inventory of the Company's property, the

the privatization

Shareholders.

the Republic of Tatarstan

Saria Kashibulkhakovna Yusupova*

REVISION COMMISSION COMPOSITION

Marsel Fagimovich Abdullin – Chairman

Head of the Workplace Infrastructure Management Center of PJSC TATNEFT, Director of Tatneft – Aktiv LLC

Guzal Rafisovna Gilfanova Deputy Head of the Control and

Auditing Department of PJSC TATNEFT

Ilnur Imamzufarovich Gabidullin

Deputy Executive Director of LLC SCE Tatneft-Ak Bars

Liliya Rafaelevna Gayzetdinova

Head of the Economics Department of the Ministry of Land and Property Relations of the Republic of Tatarstan

Tatyana Gennadievna Malakhova Deputy Head of the Corporate Secretary's Office of PJSC TATNEFT

Ramil Shavkatovich Khairullin

GRI TCFD

126

125

Deputy Chief Accountant – Head of the Accounting and Reporting Department of PJSC TATNEFT

Head of the Oil Production and Refining Department of the Ministry of Industry and Trade of the Republic of Tatarstan

Ravil Anasovich Sharifullin

Head of the Control and Auditing Department of PJSC TATNEFT

Deputy Head of the Economic Analysis Department of the Ministry of Finance of

1 By virtue of the special (golden share) right, she was appointed to the Revision Commission of the Company as a representative of the state (the Republic of Tatarstan) as per President of the Republic of Tatarstan Order No. 54 dated 25.01.2022.

PROTECTION OF INSIDER INFORMATION

PJSC TATNEFT pays special attention to the measures aimed at preventing inadmissible misuse of the insider information. In its activities, the Company is guided by Federal Law No. 224- FZ "On Preventing the Illegal Use of Insider Information and Market Manipulation and on Amending Certain Legislative Acts of the Russian Federation" dated 27.07.2010, other legislation of the Russian Federation, and Regulation (EU) 596/2014 of the European Parliament and Council of the European Union "On Market Abuse" dated April16, 2014.

The Company provides all necessary procedures for the protection of insider information with the relevant internal

INSIDER INFORMATION PROTECTION COMMITTEE

COMPOSITION OF THE COMMITTEE

Damir Maratovich Gamirov – Chairman, Corporate Secretary – Head of the Corporate Secretary's Office of PJSC TATNEFT

Vasily Aleksandrovich Mozgovoy – Assistant to the General Director for Corporate Finance of PJSC TATNEFT

Aigul Minkharisovna Alparova – Head of Technical & Economic Information and Promotion of Best Practices Department of PJSC TATNEFT

Petr Andreevich Glushkov

CORPORATE GOVERNANCE

(until 03.12.2022) Advisor to the General Director for International Legal Issues of PJSC TATNEFT

Tatyana Gennadievna Malakhova

(from 03.12.2022) Deputy Head of the Corporate Secretary's Office of PJSC TATNEFT

regulations. The Company applies the Regulations on Insider Information of PJSC TATNEFT n.a. V.D. Shashin, approved by the Board of Directors and regulating the procedure of:

On an ongoing basis, the Company

regards

the applicable

insider

the Company.

countering the

insider information and

informing the Company's

particular, through the

the

the person responsible

the legislation of the

individuals were included

the inclusion of persons

insiders are sent

insiders, and 24 individuals

legal entities were excluded.

the exclusion of persons

the Company in a timely

Company's insider information

insiders were revealed.

Directors appointed

conducts explanatory work as

employees with the access to

the Corporate Secretary of

for monitoring compliance with the

the requirements of

corporate website of

legislation by

information, in

The Board of

Company as

requirements of

unlawful use of

2022, 12

Notifications on

from the list of

manner.

in the list of

in the list/ on

to insiders of

No cases of illegal use of the

and 2

Russian Federation on

market manipulation.

— circulation of insider information within the Company;
access to insider information;

—

— disclosure of insider information.

Annually, PJSC TATNEFT develops a Calendar of Periods available to an insider for making transactions with the Company's securities, the specified calendar is posted on the Company's website on the Internet.

INSIDER INFORMATION PROTECTION ACTIVITIES

In 2022, the Company's Board of Directors approved the Regulations on Insider Information of PJSC TATNEFT n.a. V.D. Shashin, which contains a restated list of insider information.

Inpursuance of the inquiries of the Moscow Exchange PJSC Management Department for Countering Unfair Market Practices, the Company submits monthly lists of insiders. In2022, 12 insider lists were submitted. As of 31.12.2022, the list of PJSC TATNEFT insiders included 12 legal entities and 237 individuals. During

INSIDER INFORMATION PROTECTION SYSTEM

Insider Information Control Service (Corporate Secretary's Office) BOARD OF DIRECTORS Insider Information Protection Committee Sustainable Development and Corporate Governance Committee

INFORMATION POLICY

The Company's information policy regulates the scope of information subject to public disclosure, the procedure for providing information to the Company shareholders, the procedure for the Board of Directors members and the Company employees to interact with the Company shareholders and other parties concerned, the goals and principles of protecting confidential and insider information as well as mechanisms for monitoring compliance with the Company's Information Policy.

The Company follows the principles of commitment to transparent and responsible business conduct, fair competition, maintaining an open dialogue in developing cooperation with shareholders, investors and the business community. When disclosing information, the Company ensures its neutrality, that is, the independence of the presentation of such information from the interests of any entities or groups of entities.

The Company's disclosure actions are based onthe principlesof

◎

information openness;

◎

timely submission of material information to its shareholders, potential investors and all stakeholders based on the regularity and consistency of disclosure of information on the principal activities;

prompt disclosure of the relevant

information on material events and facts

◎

in the Company's activities; ◎

guarantees of reliability and completeness of the disclosed information;

◎

ensuring that the information is available to the same categories of stakeholders; of

ensuring compliance and consistency of information disclosed in different ways and/or in different forms, as well as the possibility of comparing the disclosed indicators for different time periods.

The Company avoids a formal approach when disclosing information about its activities, and does not omit adverse information about itself if such information is material to shareholders, investors and other stakeholders. The Company strives to ensure the simultaneous disclosure of material information in the Russian Federation and abroad in accordance with the requirements for listing the Company's securities in overseas organized

securities markets.

Disclosure, dissemination, and provision of information are carried out within the scope, in the manner, and within the terms stipulated by applicable Russian and applicable foreign law the field of information disclosure issuers of securities.

In the field of information disclosure, PJSC TATNEFT is guided by Federal Law No. 39-FZ "On the Securities Market" dated 22.04.1996, Federal Law No. 208- FZ "On Joint Stock Companies" dated 26.12.1995, Bank of Russia Regulations No. 714-P "On Information Disclosure by Issuers of Equity Securities" dated 27.03.2020, requirements of the Moscow Exchange and London Stock Exchange, and recommendations of the Corporate Governance Code of the Bank ofRussia.

The procedure for interaction of the Company's officials when disclosing information is set out by the Regulations on Mandatory Disclosure Information of PJSC TATNEFT n.a. V.D. Shashin, which determine the composition and scope of information subject to mandatory disclosure, the terms of disclosure and the persons responsible for its preparation and disclosure.

100 messages were disclosed in the SCREEN, LLC information agency and on the official website

100

PRESS RELEASES

WEBSITE

of the Company:

PUBLISHED ON THE

COMPANY'S OFFICIAL

Information subject to mandatory accordance with the the Russian Federation

disclosure inlegislation ofis disclosed on the Company's official website (tatneft.ru) in the Russian and English languages as well as in the news feed and on the website of the information agency (Screen, LLC) authorized to disclose information of the Company.

In addition to mandatory disclosure of information, the Company discloses additional information voluntarily to respect and protect properly the shareholders' right to obtain, regularly and timely, the information on the activities of TATNEFT Group, as follows:

—Publication of information materials on the official website, on the official websites of TATNEFT Group entities, in corporate mass media;

—Publication of information materials in corporate and external social networks on the Internet information and telecommunications network;
—Organizing of public speeches, interviews of the Company's representatives;

GRI TCFD

127

— holding meetings with shareholders, investors, and other representatives of the investment and expert community, as well as with parties concerned, including on the issues of social and environmental significance for the local population, public organizations, and foundations;

— holding and participating in exhibitions, conferences, seminars, presentations, and other public events in Russia and abroad;

— posting of comments in mass media.

DISCLOSURE OF FINANCIAL STATEMENTS

Transparency of financial statements is one of the key elements of the corporate governance.

The Company discloses the annual consolidated financial statements together with the auditor's report, and the consolidated interim condensed financial statements with the opinion on the results of the review of the consolidated interim condensed financial statements. The Company also discloses the annual financial statements together with the audit's report and interim accounting statements.

On 17.03.2023, the IFRS audited consolidated annual financial statements and the RAS audited annual accounting statements for 2022 were published

PUBLICATIONS MENTIONING PJSC TATNEFT IN THE FEDERAL MASS MEDIA*

Numb er
896
1 59 5
1 08 7
836
516
273
116
378
237
293

Subje ct ma tter	Numb er
Prod uctio erati n op ons	896
Sec uritie s	1 59 5
Tran ions jects , inve sact stme nts , pro	1 08 7	Subje ct ma tter	Numb er
Corp orate acti M&A ons,	836	HR	158
Mac ics roec onom	516	Soc ial m atter s	82
Polit ics a nd s tate	273	Scie and tech nolo nce gy	192
Stat ulati e reg on	116	Bidd ing p dure d ten ders roce s an	82
Fina ncia l res ults	378	Art a nd c ultur e	45
Envi ent ronm	237	Spo rts	103
Ratin gs	293	Adve rtisin d ma rketi ctivit ies g an ng a	127
		Educ ation	44
		Relig ion a nd fa ith	9
		Loan d bo ings s an rrow	6
		Agri busi indu stry ness	370
		Tour ism	12

BUSINESS ETHICS

VALUES, PRINCIPLES, STANDARDSGRI 2-23, 2-24, 2-26

The Company strives to maintain an impeccable reputation and carries out its activities in compliance with ethical business standards based on the principles of:

—

strict compliance with the applicable legislation, respect for human and civil rights and freedoms, respect for the honor and dignity of an individual;
— assuming such obligations as it considers possible to fulfill, preventing any improper performance;
— prevention of corruption and bribery;
— exclusion of the possibility of participation in illegal transactions;
requirements for the fulfillment of similar obligations by TATNEFT Group companies.

The approach to business ethics is holistic. Ethical aspects permeate all aspects of the Company's activities — from procurement activities and interaction in the team, to safety and

OUR COMPANY'S VALUES

etiquette in

as a

course. Surveys on annually at the level of In 2022, testing took place in format on a and development of the coverage of 5,803 average level of

was 90.3%.

systematically approaches the analysis of risks in this field and the development and implementation of measures to manage such risks.

trading operations. The Company

order to develop a systematic understanding of corporate culture strategic factor of the Company's internal environment, its principles and values, the communication, maintenance and development corporate culture, as well as the shaping of knowledge on business the Company, the Corporate University of PJSC TATNEFT has developed a Corporate Culture understanding the Company's values are conducted TATNEFT Group. a remote single platform for training

employees, with people. The understanding of the Company's Values for TATNEFT Group ◎ Corporate Culture Code for PJSC TATNEFT Employees◎

n.a. V.D. Shashin

The values of the Company are the foundation for the formation and development of key competencies of employees.

The main documents regulating the Company's activities in the field compliance with the basic principles and standards ofethics are:

◎

Code of Corporate Governance of PJSC TATNEFT n.a. V.D. Shashin

GRI TCFD

Anti-Corruption Policy of PJSC TATNEFT

WE ARE LEADERS

WE TAKE RESPONSIBILITY PERSONALLY AND CONFIDENTLY WE SET AMBITIOUS GOALS FOR OURSELVES AND OUR TEAM WE INSPIRE THE TEAM AND LEAD IT TO ACHIEVE ITS GOALS.

WE ARE A TEAM

WE VALUE AND SUPPORT EACH OTHER. WE ACHIEVE COMMON GOALS THROUGH COHESION AND UNDERSTANDING OF THE ROLE OF EACH OF US.

WE ARE OPEN TO COOPERATION

WE BUILD HONEST AND OPEN EQUAL RELATIONSHIPS WITH EXTERNAL PARTNERS AND COLLEAGUES AIMED AT ACHIEVING THE SUCCESS OF THE COMPANY.

WE ARE EFFECTIVE

WE STRIVE TO ACHIEVE MAXIMUM RESULTS BASED ON THE OPTIMAL USE OF RESOURCES AND COMPLIANCE WITH INDUSTRIAL AND ENVIRONMENTAL SAFETY STANDARDS.

WE ARE TECHNOLOGICALLY ADVANCED

WE ARE LOOKING FOR ADVANCED SCIENTIFIC IDEAS AND TECHNOLOGIES.WE IMPLEMENT INNOVATIVE SOLUTIONS. WE IMPROVE AND USE OUR KNOWLEDGE AND EXPERIENCE.

1 according to SCAN-Interfax

INTEGRATED ANNUAL REPORT 2022

SHAREHOLDERS

In order to prevent potential conflicts at the level of shareholders, the Company provides equal opportunities for shareholders to exercise the rights provided for by applicable law. Ensuring the interaction of the Company with shareholders and participation in the prevention of corporate conflicts are within the competence of the Board of Directors of the Company. In addition, the Company organized work on interaction with shareholders, including clarification of the Company's standpoint at the request ofshareholders.

BOARD OF DIRECTORS

The function of conflict of interest management in the Company is assigned to the Board of Directors, which is enshrined in the Regulation on the Board of Directors. To prevent possible conflicts of interest among members of the Board of Directors, the Company has introduced certain restrictions and requirements for members of the Board of Directors. Thus, a member of the Board of Directors must refrain from actions that will or may lead to a conflict of interest. The Chairman of the Board of Directors and independent directors monitor compliance with the mechanism to prevent a conflict of interests of members of the Board of Directors. Independent directors are required to take all necessary and possible measures to prevent and resolve conflicts, minimize the consequences of conflicts between the Company and its shareholders, provide effective protection for all shareholders in case of violation of their rights.

EXECUTIVE BODIES

The General Director and members of the Management Board of the Company shall refrain from taking actions that could lead to conflict of interest, and in the event of such a conflict, they shall immediately inform the Chairman of the Management Board / Chairman of the Board of Directors.

TOP MANAGERS AND EMPLOYEES The Company considers the conflict

her close persons and/or relatives

situations and

which the private

may contradict the

may affect the proper

including his/her impartial decision-

property and/or harm business

identification and settlement of

decisions, when hiring, when

appointing employees to

most cases, collaboration

not prohibited, with the exception

Family relationships between the

Company's employees should not

transferring employees to

close relatives in

collaboration of

are directly subordinate.

affect the performance of

influence decisions.

procedures when making personnel

infringe the rights, legitimate interests,

PJSC TATNEFT.

the Company and, thus,

their job functions,

those that may

timely prevention,

introducing verification

other jobs

a new

the Company

official duties

close relatives who

conflicts

conflicts of interest are:

The main measures to prevent

◎

Control over compliance by the Company's employees with the obligations established by the legislation of the Russian Federation, other local regulations, job descriptions.

◎

Clear delineation of the area of responsibility and authority of Company employees.

◎

Implementation of the practice of making collective decisions on all the most significant issues of the Company and TATNEFT Group

◎

Exclusion of actions that lead or may lead to a conflict of interests

◎

Ensuring the protection of confidential information recognized as such in accordance with the Regulations on Commercial Secrets of PJSC TATNEFT

Organization of control by a direct supervisor on the issues of identifying conflicts of interest

Reporting by a Company employee in the event of personal interest or a conflict of interest to the Conflict of Interest Management Commission or to a direct supervisor

the Company Corporate Governance Code of the

Corporate Culture Code;

◎

Regulations on Conflict of Interest Settlement;

Anti-Corruption Policy of the Company.

The Company has established a permanent Commission that considers issues of conflict of interest settlement.

◎

Regulations on the Ethics Committee and Ethics Commissions of Business Regulations on Commercial Secrets of PJSC TATNEFT and Instructions on the Procedure for Forming the List of Information Constituting Commercial Secrets

The key principles of

◎

Regulations on the Hotline Corporate System Operation;

ETHICS COMMITTEE

Units of PJSC TATNEFT n.a. V.D.

In order to develop corporate and business ethics in the Company, maintain a positive business image of the Company and create an internal mechanism for responding to conflict situations pertaining to violations of ethical norms and rules, the Company has established the Ethics Committee.

Committee's activities are independence, transparency, fairness, objectivity, accountability in resolving issues pertaining to the ethics and behavior of the Company's employees. If there is information about a violation of the provisions of the Code of Corporate Culture, the employee may contact the Ethics Committee. The Ethics Committee investigates violations of the Code of Corporate Culture

The corporate governance system of

framework of

the

Directors, executive bodies,

resolution of

nature of the conflict

Company includes a

shareholders, as well as

shareholders, if

interests of

Board of

Company.

and procedures aimed at

eliminating possible conflicts of

specific problems, related to

Top managers and employees of

shareholders at the level of the

between governance bodies and

the Ethics

PREVENTION AND RESOLUTION OF POTENTIAL CONFLICTS OF INTEREST

GRI 2-15

The Company strives to prevent possible corporate conflicts through transparent corporate governance procedures and strict adherence to the code of corporate conduct.

In the event of any corporate conflict, the Company takes all possible measures to resolve it and protect the rights and legitimate interests of shareholders, as well as other participants in the corporate relations.

Potential conflicts of interest are prevented at all levels of the Company's management.

The Board of Directors applies procedures aimed at preventing and managing conflicts of interest. The Company ensures disclosure of information about conflicts of interest in the event of occurrence thereof, including disclosure of information about non-arm's length transactions.

CORPORATE GOVERNANCE

In 2022, PJSC TATNEFT performed no transactions recognized as major transactions in accordance with Federal Law No. 208- FZ "On Joint-Stock Companies" dated 26.12.1995.

Report on major and non-arm's length transactions concluded by PJSC TATNEFT n.a. V.D. Shashin in 2022

rules regulating and interest of measures for its full regulation, as as conflict of interest in the future.

In the event of conflict of interests, the Company provides mechanisms taking all the necessary and possible well creating conditions that preclude

between the the conflict affects the the Company, identifying and resolving all possible general and the rights

Prevention and settlement of corporate conflicts is a part entrusted to the Directors and the Sustainable Development

determined by the

of the risk management policy and isBoard ofand Corporate Governance Committee of the Board of Directors. The competence of the executive bodies of the Company to participate in the consideration and

corporate conflicts is

◎

by employees of

on the results of

of influence to

the and in case of

Obligations

Regulations on the Acceptance and

Regulations on Compliance with Anti-Corruption Rules and Regulations in

the Process of Fulfillment of Contractual

the Company. Based

report,

the investigation, the

persons who committed

confirmation of a violation

the Code, makes recommendations

violation, and also develops measures

Giving of Gifts at PJSC TATNEFT

Ethics Committee prepares a

the application of measures

prevent such cases.

of interests at the level of top managers

and employees as

circumstances in

interests of an employee or his/

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Attention is paid to

of interest by

is regulated by:

◎

Prevention of conflicts of interest at the

Company;

level of employees of

position.

affect or

GRI TCFD

◎

Shashin

ANTI-CORRUPTION POLICY

GRI 2-24, 3-3

In accordance with the Convention of the Council of Europe "On Criminal Responsibility for Corruption," Federal Law No. 273-FL dated 25.12.2008 "On Combating Corruption," the Decree of the President of the Russian Federation "On the National Anti-Corruption Plan for 2018-2020—2020" and the Anti-Corruption Policy of PJSC TATNEFT n.a. V.D. Shashin, the Company strictly complies with the anti-corruption legislation of the Russian Federation, as well as the anti-corruption legislation of other countries where it operates. The Anti-Corruption Policy defines the legal framework and key principles of anticorruption, describes the measures taken by the Company to combat corruption. The Code of Corporate Culture for employees of PJSC TATNEFT contains a provision on zero tolerance to corruption in any of its manifestations and a ban on employees engaging in any

corrupt practices. The standard for the application of disciplinary penalties provides for the dismissal of an employee for a failure to take measures to prevent or resolve a conflict of interest to which such employee is a party. Investigations are carried out in accordance with the Regulations on the Corporate Hotline Operation.

For the development of the anticorruption system, various mechanisms have been introduced and implemented in the Company:

the guarantee of anonymity and the possibility of material incentives through monetary remuneration for reporting information
— holding an employee accountable regardless of the status

PRINCIPLES, RULES, PROCEDURES AIMING TO PREVENT CORRUPTION IN ALL ASPECTS OF THE COMPANY ACTIVITIES

REJECTION OF CORRUPTION AND PROHIBITION OF CORRUPT PRACTICES

Rejection of Corruption and Prohibition of Corrupt Practices

The Company's activities are based on the prevention of corruption in all forms and manifestations. All employees, members of the governance bodies of the Company, executive bodies and other persons acting on behalf of the Company or in its interests, are prohibited directly or indirectly, personally or through any mediation, from participating in corruption regardless of the practice of doing business in a particular country or region. The Code of Corporate Culture for employees of PJSC TATNEFT contains a provision on the rejection ofcorruption inany ofits manifestations.

CORPORATE GOVERNANCE

to employees of the Company, in any way, including through abuse of official position in order to derive any personal benefit.

PUNISHMENT INEVITABILITY

The Company investigates all reasonably substantiated reports of violations of the appropriate procedures to counteract involvement in corruption activities and prosecutes responsible officers without taking into account their position, term of work, status with the Company and other relationships with it in the manner stipulated by the applicable law of the Russian Federation and internal documents of the Company. The Company makes every possible reasonable and legal effort to promptly prevent violations. The Company makes public information about individuals who violate the requirements of applicable law and the Anti-Corruption Policy.

LEGITIMACY

The Company and its employees are obliged to comply with the provisions of the Russian anti-corruption

implementing a set of measures to prevent the occurrence of a conflict of interests in order to suppress attempts to obtain personal benefits by employees who have the opportunity to use their official position

In order to improve and control the anti-corruption system, a commission was established, which included representatives from the supervisory units of the Company, which also made it possible to ensure transparency of anti-corruption measures.

legislation, as well as the applicable norms of foreign anti-corruption legislation when they enter into legal relations falling within the scope of such legislation.

TOP MANAGEMENT TONE

Members of the Company's governance and executive bodies, heads of departments, divisions and other units of the Company, must declare a strong stand against any forms and manifestations of corruption at all levels, demonstrate, implement and comply with it in practice.

CONSISTENCY AND PROPORTIONALITY

The Company develops and implements a system of appropriate procedures to counteract and prevent involvement in corruption activities. The Company strives to make the procedures as transparent, clear, feasible and reasonably consistent with the identified risks as possible.

DUE DILIGENCE PRINCIPLE

The Company carries out monitoring and verification of counterparties and candidates for positions in the Company before making a decision to start or continue business relations, or hiring them for reliability, rejection of corruption and risk of conflict of interest.

MONITORING

The Company carries out continuous monitoring of the implemented procedures to combat and prevent involvement in corruption activities and monitors compliance therewith. The Company periodically procures an independent assessment of the state of the system for counteracting involvement in corruption, as well as the assessment of compliance of the Company's activities with the applicable laws and the Anti-Corruption Policy. The results ofthe assessment are reported

INFORMING PERSONNEL ABOUT AND TRAINING IN ANTICORRUPTION METHODS GRI 205-2, 205-3

The Company informs and explains the principles and norms of the applicable legislation, the Anti-Corruption Policy and other local regulatory documents in relation to countering involvement in corruption activities, including training employees in the basics of countering involvement in corruption activities and explaining its policy in this field to counterparties. The available regulations contribute to the formation of rules of conduct for employees and to counteract their involvement in corrupt activities.

The training of the Company's employees is carried out in accordance with the approved plan, and the following advanced training courses on anticorruption policy have been organized: "Analytical Methods for Counterparty Due Diligence and Contractual Obligations Performance Monitoring", "Conflict of Interest and its settlement within the Framework of Anti-Corruption Legislation", "Practices of the Company's Security Service during Procurement

toshareholders and the public in the annual report, press releases and other information materials.

PROTECTING THE INTERESTS OF EMPLOYEES

No sanctions may be applied to an employee for:

— the refusal to engage in corrupt activities, even if as a result of such a refusal, the Company incurred losses, lost profits, or if the commercial and/ or competitive advantages were not obtained;
— the bona fide reporting of alleged violations, acts of corruption, other abuses, or insufficiency of existing controls.

LIABILITY

All employees, regardless of their position, are liable under the applicable legislation of the Russian Federation in case of a failure to comply with the principles and requirements of the Anti-Corruption Policy, providing knowingly false information or using (attempting to use) anti-corruption procedures in order to obtain personal benefits contradicting the interests of the Company or applicable legislation. Persons culpable of breaching the requirements of the Anti-Corruption Policy may be subject to disciplinary, administrative, civil or criminal liability on the initiative of the Company, law enforcement agencies or other persons in accordance with the procedure and on the grounds provided for by the legislation of the Russian Federation, internal documents of the Company, and employment contracts.

and Bidding in Electronic Form", "Economic Security of the Enterprise", "Ethical Compliance".

When electing new members to the Board of Directors, the Company ensures that newly elected members are familiarized with a specially prepared brief presentation containing basic anticorruption principles.

136 135

REGULAR RISK ASSESSMENT RELATED TO INVOLVEMENT IN CORRUPTION

The Company identifies, assesses and periodically reassesses corruption risks characteristic of its potentially vulnerable business processes. When identifying and assessing the risks, the Company takes into account the fullness of information on activities and plans, including investment and strategic ones, available at the time of the assessment and reassessment.

In order to ensure the overall security of the trading and purchasing platform, the Company has implemented the following measures:

◎

creating a comprehensive technical control system that includes an access control system, video surveillance, recording of conversations of employees of the trading and procurement platform through office phone;

◎ preventing any uncontrolled online access for software developers of the

◎

trading and procurement platform; violations.

developing a methodology for analyzing electronic traces to identify the collusion of

of bidders;◎

verification of contractors and applying due diligence procedures with respect to contracts in accordance with the Company Standard "Verification of Suppliers of Goods, Works, Services according to Economic Security Criteria" with the anti-corruption clause incorporated in all contracts.

Corruption may be reported using the following methods:

◎ to a direct or superior manager

◎

to the round-the-clock hotline

◎

to law enforcement agencies.

ANTIMONOPOLY POLICY

GRI 206-1

The Company operates in strict compliance with the antimonopoly state regulation, legislation, recommendations of the Federal Antimonopoly Service (FAS of Russia), and the best international practices. The Company follows the principles of competitive business conduct and provides for rules of conduct for employees aimed at preventing violations of anti-monopoly legislation.

The Company is constantly improving the internal procedures aimed at alerting and preventing violations of the applicable anti-monopoly legislation, including training of employees in anti-monopoly regulation.

Continuous anti-corruption activities have ensured that the number corruption cases has been minimized.

There is no information as regards public court cases initiated against the Company or its employees in connection with the imposition of liability measures for corruption offenses in 2022.

For the period 2020–2022,

there were no violations of the

Company, and there were no

material fines

antimonopoly legislation by the

SYSTEM OF REPORTING ADVERSE IMPACTS

The Company effectively operates its Hotline, a special-purpose confidential channel, through which an employee or an outsider can report on possible cases of unethical conduct, various violations related to the Company's operations, namely, professional activities, corporate governance and corporate ethics issues, respect for human rights, work schedule, social aspects, industrial and environmental safety, occupational health and safety, quality of products and services, other issues, including those of corruption nature.

The Hotline supervisor is the Internal Audit Department, which directs the received requests to the relevant services and monitors corrective actions. All reports are considered and, if necessary, measures are implemented to improve the internal control efficiency, minimize possible adverse consequences, and inform stakeholders.

The Hotline principles are based on: — confidentiality

— objectivity

— responsibility for taking action
— inadmissibility of any forms of pressure on whistleblowers

The regulated period for consideration of reports is 30 calendar days, with the exception of reports requiring immediate response or additional investigation.

Whistleblowers having provided reliable information that allowed the Company to prevent or stop losses are given amonetary reward.

Information about the Hotline is available on the external website, information stands of TATNEFT Group enterprises, payslips, workwear, etc.

In 2022, 772 of the 2,290 reports received for consideration were accepted, 480 of them were investigated, on 292 there were

consultations and reporting to the responsible supervisors. Of the 480 investigations, the stated facts were confirmed for 130 cases, corrective measures were implemented, including disciplinary measures were applied to 29 employees, employment relations were terminated with 20 employees, 3 individuals who made a report were paid monetary remuneration. 4 reports were received about the facts of adverse impact on the environment, for 2 reports, the facts were confirmed and appropriate measures were taken.

Inquiries and complaints of external stakeholders and individuals received by the Company are considered in accordance with the requirements of the Federal Law No. 59-FZ "On the Procedure for Considering Inquiries of National of the Russian Federation" dated 02.05.2006, Law of the Republic of Tatarstan No. 16-ZRT dated "On Inquiries of Nationals of the Republic of Tatarstan" 12.05.2003.

HOTLINE REPORTS

Subje ct of t repor	Inves tigate d	Confi rmed case s
Emp loym ent r elati ons	177	49
Soc ial m atter s	27	29
Proc ent p dure urem roce s	37	8
Abu se/t heft	42	12
Envi HSE ent, ronm	12	7
Qua lity o f ser vice at fi lling stati ons	49	22
Imag e ris ks	28	3
Divid end ent paym	3	0
TOT AL	480	130

CORPORATE GOVERNANCE

Individuals' inquiries are registered in the electronic document management system and submitted to the Company's management for consideration. Office work on the consideration of inquiries and complaints from external stakeholders and individuals is conducted separately from the general office work.

Inquiries and complaints are considered within 30 calendar days from the date of submission. Letters that do not require additional investigation and verification are considered within no more than 15 calendar days.

In the event that a special investigation or other measures are required to address an inquiry or complaint, the deadlines for closing may be extended by exception, however no more than by one (1) month, with the applicant notification.

Inquiries and complaints are not sent for consideration to those Company officials whose actions are being appealed.

Consideration of inquiries and complaints is deemed completed after providing the applicant with information about the results of the consideration and the measures taken.

Senior employees of the Company also conduct a personal reception of citizens. The reception is held on the days and hours set and brought to the attention of citizens.

Channels for inquiries:

— Tel.: 8-800-100-4112;
— E-mail [email protected];

filling out the feedback form in the Hotline section on the official website of the Company https://tatneft.ru;

sending a message to PJSC TATNEFT Hotline Group of the Corporate Social Network https://kss.tatneft.ru/workgroups/group/11121;
— by mail marked Hotline on the envelope to the official address of the Company.

are based on analyzing the synergy potential of digital solutions and reducing operational risks.

The Company follows regulatory requirements and considers cyber security in three main aspects:

— Integration of information protection processes and tools into ongoing digital transformation strategic initiatives,
— Security using advanced technologies,

— Improving the efficiency of cybersecurity functions.

The Company conducts continuous monitoring and response to cybersecurity incidents in

of ensuring integrity, availability and confidentiality of information resources of the TATNEFT Group. During 2022, over 4 million network attacks and more than 26,000 malicious emails containing prohibited and dangerous content were blocked on the information protection media. 1,693 information security incidents were identified and eliminated within the corporate network, 719 of them were high priority. More than 300,000 vulnerabilities have been identified and eliminated. Over 3,000

electronic signature pieces were

terms

generated. In 2022, PJSC TATNEFT introduced a platform for automation and control of internal processes, the functionality of which allows managing organizational and technical measures to ensure the security of personal data. A uniform employee consent form for the processing of personal data was developed and agreed with the

To increase the awareness of the TATNEFT Group employees with respect to information security requirements, training on cyber security is periodically

Roskomnadzor Administration for the

Republic of Tatarstan.

carried out.

Plans for 2023:

◎

creation of a security system for the critical information infrastructure of oil and gas treatment, oil production and energy facilities

◎

creation of a security system for critical information infrastructure in controlled entities

◎

creation of a system and application of simple electronic signatures in information systems

◎

implementation of the methodology for conducting information security audits

◎

creation of a system for the protection of personal data processed in the personal data information systems of PJSC TATNEFT

ensuring the sustainable operation of the information infrastructure of PJSC TATNEFT in accordance with the requirements of the Information Security Concept of PJSC TATNEFT, regulatory documents, standards and recommendations on personal data protection and information security management

CORPORATE CYBERSECURITY POLICY

GRI 3-3

CORPORATE GOVERNANCE

Cyber security of the critical information infrastructure is a high focus area for the Company. Taking into account the growth of cyber risks, the Company raises internal standards for managing cyber security and cyber resilience, including the protection of all types of assets, production processes, financial transactions, as well as in the field of personal data protection.

The Company's Cybersecurity and Cyber Resilience Policy is aimed at ensuring sustainable and reliable protection of the TATNEFT Group's cyber environment along the entire value chain, all types of corporate assets, including sustainable cyber security of critical information infrastructure facilities, an effective system to counter any forms of use of information and communication

technologies to violate the integrity, confidentiality, accessibility of information and corporate cyber environment of the Company, personal data protection and cyber risk control.

In the context of the transition to digital transactions and increased electronic communications traffic, the Company takes a responsible approach to controlling the risks

of cyber intrusions into corporate information systems, which can damage the safety of assets, operating and financial activities, and the interests of shareholders and investors. The Company takes measures to ensure a highly protected internal cybersecurity system and seeks to convey confidence in its quality to all the stakeholders.

The Company takes into account global cyber security challenges that pose potential risks and open up new opportunities in the development of information technology. The Company's key cybersecurity initiatives

SUSTAINABLE DEVELOPMENT

The Company seeks to create long-term value in publicly significant economic, environmental and social areas based on building effective and ethical interaction with stakeholders at each stage of its activities, taking into account reasonableness and adaptability, as well as evaluating the effectiveness of its contribution to sustainable development. The Company seeks to reach consensus on sustainable development with stakeholders based on an integrated approach, the formation of cross-industry, multi-discipline common values to increase the sustainability and high competitiveness of corporate investment and business plans, research projects, products and services at the strategic and operational levels.

The Company takes into account the expectations of stakeholders, as well as the impact that its activities have on stakeholders, examines problems and opportunities based on a comprehensive approach to make the most effective business decisions that will ensure continuous sustainable growth.

The Company position is that harmonious, efficient and sustainable development of business and society as a whole can be ensured only by maintaining a balance between economic, environmental and social aspects, expanding social partnership and responsible investment.

From the very beginning of its activity, the Company adheres to the standards of corporate responsibility, social and humanitarian values and consistently improves the practice of sustainable development. To do this, the Company forms appropriate internal procedures based on advanced international standards, a culture of integrity and adherence to generally accepted principles.

In order to develop the practice of sustainable development, the Company implements international standard ISO 37101:2016 "Sustainable development in communities — Management system for sustainable development — Requirements with guidance for use", IDT".

The Company has implemented other compatible international standards, as well as a number of other standards that help tobuild effective management in all aspects of sustainable development, and national standards identical to the international standards of the ISO series.

The sustainable development and stakeholder engagement policy reflects the Company's position in the field of sustainable development and provides a systematic coordinated approach to integrating aspects of sustainable development and responsible investment into the business processes of PJSC TATNEFT and controlled and related organizations. (approved by the decision of the Board of Directors dated May 27, 2022).

OPENNESS TO STAKEHOLDERS

In order to inform stakeholders, increase investment attractiveness, improve positions in ratings based on timely and full disclosure of information about the Company's activities, the Company actively uses traditional and digital communications to promote the ESG agenda, which allows it to reach all target audiences. Digital tools help to determine the level of audience engagement, assess the tone, the level of loyalty to the Company's ESG projects. Feedback helps to identify the most relevant topics and adjust further actions in promoting ESG topics. The most popular information channels for stakeholders are involved, such as Company's website, telegram channel, groups in social networks, local, regional and federal media, corporate social network, information screens at the enterprises of the TATNEFT Group.

A standard for the preparation and disclosure of quarterly reports on the main ESG indicators has been developed and approved, which determines the composition and volume of information to be disclosed in the field of environmental, social and corporate governance, the timing of disclosure of this information and the persons responsible for its preparation and disclosure. An automated process of collecting and processing ESG indicators of the TATNEFT Group has been implemented, and ESG indicators are published quarterly on the Company's website.

SUSTAINABLE DEVELOPMENT MANAGEMENT

The Company has built an organizational structure for sustainable development management, which allows managing systematically the ESG transformation process, including cascading decisions of the Board of Directors further along the management system to the divisions and employees.

The formed system provides operational management of a portfolio of projects and tasks to achieve goals, monitoring of progress achieved, as well as the collection of new ESG initiatives from the bottom up and timely adjustment of actions and approaches, taking into account the results of monitoring trends in sustainable development.

One of the key attributes of a sustainable company is making changes to internal decision-making processes. The integration of the ESG agenda into strategic, investment and business planning processes, as well as into the motivation

system, allows involving all employees of the company in the sustainable development management, which increases the likelihood of achieving goals and reduces the Group's risks.

To improve the manageability of the transformation process, an ESG goal map was formed, 7 key areas were identified, responsible managers were determined for each of them, appropriate detailed work plans were developed, approved and implemented.

The KPI maps of key company managers include indicators related to the achievement of sustainable development goals. The main monitoring and control tools are defined: strategy, business plans, KPI system for remuneration at the end of the year, process and project management, investment projects.

SUSTAINABLE DEVELOPMENT

DataBook ESG

GRI 2-14, 3-3

142

LINKING THE COMPANY'S ESG GOALS TO THE KPI SYSTEM

INTEGRATION OF PRIORITY SDGS INTO THE KPI SYSTEM

FURTHER TASKS (20222023) FURTHER TASKS (20222023) MONITORING THE IMPLEMENTATION OF ESG TRANSFORMATION GOALS

Integration of the esg target map into existing monitoring and control systems:

SUSTAINABLE DEVELOPMENT

◎ KPIs for ual ratio es ( ion) ann rem une n pu rpos exp ans ;	◎ Proc t; ess man age men
◎ Mon itori f the stra tegy imp lem enta tion ng o ;	◎ Proj ect t; man age men
◎ Bus ines s pla nnin g:	◎ Inve stm ent proj ects

GOAL MAPROADMAP FOR ACHIEVING GOALS RISK MAP

In the published results of the industry rating of environmental openness of oil and gas companies (organized by the World Wide Fund for Nature* and CREON Group), Tatneft was recognized as the sole leader for the first time. This rating allows stakeholders to obtain objective information about the level of openness of oil and gas companies and the scale

of the impact of their activities on the environment. * the organization is included by the Ministry of Justice of the Russian Federation in the register of foreign agents.

I PLACE IN 2022 III PLACE IN 2021 SHARED WITH SIBUR HOLDING, PJSC

The company has become a leader in the Ranking of oil and gas companies in terms of integrating the climate agenda of the Analytical Credit Rating Agency (ACRA).

LEVEL I IN 2020 LEVEL I IN 2021

The leading positions in these indices indicate a high assessment of the completeness and quality of disclosure of information on various aspects of sustainable development incorporate reporting.

PJSC TATNEFT and JSC TANECO became the winners of the All-Russian RUIE competition "Leaders of Russian Business: Dynamics, Responsibility, Sustainability" in the nomination "For Environmentally Responsible Business".

In the international TPI (Transition Pathway Initiative) rating, the Company has risen by two levels at once compared to 2021. The Rating Agency recognizes the high level of integration of climate issues into strategic and operational decisionmaking in the Company.

The winner of the Green Office Awards competition — the national award for office facilities and office premises, the purpose

of which is to encourage and stimulate the development of "green", healthy, sustainable workspaces — in the main category "Best 'Green' Office 2022". Also, the office of Tatneft was nominated in a special category and awarded a victory in the nomination — "The Best Water-Efficient Office/ Building".

of Information on

2022, the Company maintains its leadership position sustainable development. This is confirmed the ESG ratings, victories prestigious competitions and the assessment of Tatneft's leading rating agencies

The RUIE included Tatneft in the group of leaders of sustainable development indices "Responsibility and Openness" and "Rating of Companies on Disclosure

the the Integration of the UN SDGs".^и.

LEVEL III

IN 2022

GRI TCFD

the Company's first places in

SUSTAINABLE DEVELOPMENT

RATINGS AND RANKINGS

in the field of

in IMPLEMENTED (20192021)

The Company has raised the "Vector of Sustainable Development" index to the "B" level, reflecting the dynamics of socio-economic and environmental performance indicators and a systematic approach to management in the field of sustainable development.

Air" ◎

Organization of

◎

Tatneft's Integrated Annual Report for 2021 became a prizewinner in the 25th All-Russian Annual Report competition in the nomination "Best Sustainable Development Report".

LLC Tolyattikauchuk received several

High Social Efficiency". Absolute leadership

Human Resources in

the second place — "For the

the All-Russian competition "Russian

the regional stage

Industrial Organizations" and

Industrial

Industrial Organizations".

held by the

the nominations

Atmospheric

the Republic

Occupational Injuries

awards at once at

Healthy Lifestyle in

the annual ECOleader competition, which is

AZS-Tsentr took 1st and 2nd places in

Ecology and Natural Resources of

Tatarstan, PJSC TATNEFT, JSC TANECO and LLC Tatneft-

Water Resources", "Protection of

the nominations "For the Reduction of

and Occupational Morbidity in

"For the Development of

Organizations", as well as

Formation of a

Ministry of

"Protection of

◎

The oil refining complex of JSC TANECO has passed the expert evaluation of the Sber service — "Green Supply Chain" with the assignment of the highest rating "A", which means that the practices and management system of ESG aspects and sustainable development at the enterprise are at a high level.

HUMAN RIGHTS

GRI 3-3, 406-1, 410

The Company conducts its activities in accordance with the generally accepted ethical standards and values, based on the recognition of the importance of observance of the fundamental equal human rights proclaimed by the UN Universal Declaration ofHuman Rights.

The Company believes that everyone should enjoy all the rights and freedoms proclaimed, including the right to work, the right to a favorable environment, the rights of indigenous minorities and special groups of the population, without any distinction, regardless of race, color, sex, age, language, religion, political or other beliefs, national or social origin, disability, property, class or other status, as well as equal opportunities for women and men, excluding any forms of harassment or discrimination in the field of labor and employment.

The Company strives to prevent any adverse impact on human rights associated with its activities, products or services, business relations, as well as with the preservation of the social and cultural identity of the peoples living in the territory of the TATNEFT Group enterprises.

The Company has historically recognized the importance and value of fundamental human rights and freedoms proclaimed by the United Nations and throughout its activities has responsibly shared the principles of human rights, labor relations and anti-corruption efforts, reported in international declarations and conventions.

The Company recognizes and respects the rights of each employee to collective representation, association of employees into trade unions, and collective bargaining. The Company assesses its activities in the field of human rights in the course of regular assessment of corporate practices, including in the form of self-assessment of the Company's management bodies.

The Company's services and divisions that are directly related to the personnel management, security, and anti-corruption activities are trained in human right aspects. Employees of the Company, including the services related to the personnel and security management activities, are continuously involved in the procedures regarding human rights aspects and regularly take appropriate training. At the Corporate University, the Company plans to develop human rights education with the involvement of employees of the Company's contractors and suppliers.

The Company uses its best endeavors to prevent any adverse human rights impacts that is directly related to its business activities, products or services, business relations, as well as to preserve the national cultural identity of ethnic groups

inhabiting the regions of the Company's operations, and takes all available measures to eliminate the consequences of such an impact, should it happen.

In its activities, PJSC TATNEFT shares the principles of civilized labor relations, fundamental human rights and freedoms, which is reflected in the Collective Agreement in the Human Rights section

THE COMPANY'S COMMITMENTS AND POSITION REGARDING HUMAN RIGHTS ARE REFLECTED IN THE FOLLOWING DOCUMENTS:

◎ Policy of PJSC TATNEFT n.a. V.D. Shashin on Sustainable Development and Interaction with Stakeholders
◎ Corporate Governance Code of PJSC TATNEFT n.a. V.D. Shashin

◎ Corporate Culture Code for PJSC TATNEFT Employees

GRI TCFD

146

145

◎ Health, Safety and Environmental Policy of PJSC TATNEFT n.a. V.D. Shashin with considerations to the climate change
◎ Policy on interaction with the local population leading a traditional way of life, preserving the ecosystem of territories of traditional nature management and the traditional way of life of the local population living in the areas of activity of the TATNEFT Group.
◎ Collective Bargaining Agreement of PJSC TATNEFT n.a. V.D. Shashin

INSTRUMENTS FOR MONITORING COMPLIANCE WITH HUMAN RIGHTS

The Company has implemented a mechanism of appeals, with the help of which users can report, among other things, violations of human rights — the "Hotline". The Ethics Committee considers received appeals.

Compliance with employment and remuneration processes in accordance with the country's labor laws and corporate regulations, as well as management systems related to nondiscrimination, is systematically audited.

The Company periodically assesses the moral and psychological climate of the workforce.

The assessment includes the level of satisfaction of employees with working conditions, the amount of remuneration, social security, and identifies key aspects of labor activity.

Procedures for assessing the impact of production activities on environment and the effectiveness of health and safety measures are constantly conducted.

The Company implements the principles of corporate liability for the conservation of the ecosystem of territories of traditional nature management and the traditional way of life of the local population, enshrined in internal documents.

bargaining to protect labor rights is exercised byProfsoyuz Interregional Trade Union Organization ofRussian Trade Union of Oil and Gas Industry and Construction Workers.

workers to freedom of association and collective

Tatneft

the All-

The right of

INFORMATION ABOUT CASES OF DISCRIMINATION

(BY GENDER, AGE, CITIZENSHIP, RELIGIOUS BELIEFS, ETC.)

	2020	2021	2022
Num ber o f cas es	0	0	0
Cove , % o f the ber o f sta ff rage num	100	100	100
Num ber o f ent ises of th e TA TNE FT G erpr roup	106	119	126

STAFF

GRI 3-3, 406, 408, 409

The Company recognizes the importance and value of fundamental human rights and freedoms in the world of work: freedom of association, the right to conclude collective agreements, labor rights and the right to health care.

The full functioning and stable development of the Company is the merit of its employees only. The high level of the competence of employees, their commitment to corporate values, responsibility and integrity are the key to successful activities and development of the Company. A competently

MANAGEMENT SYSTEM

The principles of the Company in personnel management are based on maintaining a working environment without restrictions on national, gender, age, religious and other grounds. Taking care of the population living in the region of presence is one of the priority tasks. The Company strives to develop an inclusive environment for people with disabilities in the workplace and in the infrastructure of cities and towns.

In matters of personnel management, the Company follows the norms of Russian and international law and does not use forced, compulsory or child labor. Child labor is never and under no circumstances used by the TATNEFT Group. The Company assesses its activities in the field of human rights in the course of regular assessment of corporate practices, including in the form of management self-assessment.

implemented corporate culture helps to create a cohesive business team — professionals aimed at achieving the goals set by the Company's management.

The Company is a responsible employer, provides high-quality and safe working conditions at all enterprises of the TATNEFT Group, adheres to the principle of gender equality and equal opportunities, maintains a decent level of remuneration and provides reliable social guarantees to employees and social support to their families.

The Company pursues an honest, fair and open policy towards its employees. The opportunity for professional and career growth is provided to all employees and career growth depends primarily on the level of development of competencies and personal performance indicators. The Company strives to create an effective system of financial and non-financial remuneration of employees, which allows assessing objectively the contribution of each employee, to attract the most qualified employees, to stimulate the development and professional growth of employees.

INT EG	RAT ED AN	NU AL	REP OR	T 2 02
PRIOR ITY SD G

The personnel management system is regulated by the following documents:

◎ Human Resources Policy

◎ Comprehensive assessment standard for personnel of the TATNEFT Group
◎ Standard for training and development of personnel of the TATNEFT Group
◎ Personnel Adaptation Standard
◎ Personnel Certification Standard of PJSC TATNEFT
◎ Standard of work with the personnel reserve in PJSC TATNEFT
◎Regulations on the management of the basic remuneration of employees of PJSC TATNEFT
◎Collective agreement of PJSC TATNEFT

This year, the Board of Directors approved the updated Personnel Management Strategy of the TATNEFT Group until 2025, which includes current trends and challenges, targets and strategic priorities.

RESPONSIBLE EMPLOYMENT

The Company implements a risk-oriented personnel management policy. At all stages of interaction between the employer and the employee, the leveling of risks associated with the search and selection, hiring, appointment to senior positions, and staff training is governed by local regulations.

In order to ensure the continuity of production due to the possible risk of a shortage of qualified personnel, network schedules are formed monthly for hiring personnel for existing or planned vacancies, especially for large-scale projects. Network schedules are updated taking into account changes in the labor market, geopolitical conditions and other factors.

At the stage of recruitment and hiring in the Company, each candidate undergoes an assessment covering several criteria:

EMPLOYEE LOYALTY AND SATISFACTION INDEX

The study of staff satisfaction is one of the most effective tools for identifying the values and preferences of employees, the risks of social tension, conflicts in labor collectives. The priority goal of the study is the ability of employees to assess most honestly various aspects of everyday life, such as the organization of the current activities of the enterprise, the level of wages, career opportunities, the climate in the workforce, relationships with management, and others.

The strategy provides for

◎ implemention the activities and projects aimed at improving the efficiency of staff recruitment, hiring and development processes;
◎ strengthening compensation programs, benefits and guarantees;
◎ increasing the staff satisfaction and engagement;
◎ managing the competencies of employees taking into account technological changes and new challenges.

The strategy roadmap covers 20 projects and initiatives (indicators) with the set target values. The main goal of the strategy is to meet the needs of the business, maintaining a balance between achieving production indicators and preserving human capital.

The most important link in the Company's HR strategy is the educational cluster, which includes schools, vocational schools, universities and research centers.

‒ assessment of the candidate's qualification compliance with the requirements for the position,
‒ assessment of professional knowledge, skills and abilities,
‒ verification of the candidate's trustworthiness.

The appointment of candidates for vacant managerial positions additionally includes a professional and psychological assessment of the candidate.

* the indicator characterizes the internal state of an employee who is ready to take the initiative and make significant efforts to achieve high results, satisfied with various aspects of work, involved in the life of the enterprise and sharing its values.

** the indicator characterizes the net loyalty of employees and allows assessing their satisfaction with the company they work for. The index shows whether employees are satisfied with their work at the enterprise and whether they are set up for joint development or are disappointed with cooperation and are ready to move to another employer as soon as a more profitable offer appears on the market

GRI TCFD

jobs for people with disabilities, and also comply with the

FEMALE

243

257

requirements for organizing appropriate working conditions.

accordance with the established quotas, the

places for the employment of

the employment of

218

the TATNEFT Group create

specialized workplace. The quota

persons with

people

BY TYPE OF EMPLOYMENT CONTRACTS, BROKEN DOWN BY COUNTRIES OF ACTIVITY, INCLUDING PARTTIME EMPLOYEES

	Perm t emp anen	loym ent c ontra cts	Temp	loym ent orary emp contr acts
	Russ ian Fede ration	Othe ntries r cou	Russ ian Fede ration	Othe ntries r cou
2020	57,75 3	1,66 9	2,64 1	742
2021	59,7 99	2,01 8	2,52 1	665
2022	62,8 04	338	2,29 3	663

BY TYPE OF EMPLOYMENT CONTRACTS, BROKEN DOWN BY GENDER,

Year		pe of By ty loym ent c ontra cts emp
	Perm t emp loym ent c ontra cts anen		Temp loym ent c ontra cts orary emp
	male	fema le	male	fema le
2020	32,5 01	26,9 16	1,477	1,90 6
2021	34,6 03	27,2 10	1,48 3	1,70 3
2022	37,8 07	25,3 35	1,49 0	1,44 6

INCLUDING PARTTIME EMPLOYEES

2022

2021

2020

EMPLOYEES WITH DISABILITIES

306

Every year, the enterprises of

Company allocated 45

was fully fulfilled as part of

disabilities.

MALE

337

387

2022

2021

2020

with disabilities, including 1

In 2022, in

2020

2021

2022 6,076 10%

8,074 12%

9,482 14%

19%

22%

23%

52 3	100 7	72

11 3 61	13 4 56	15 3 74

BY A	GE G	ROU PS A	ND S HARE	TO T	HE TO TAL W	ORKF ORC E

5,808

6,389

5,964 9% 11,884

10% 14,463

9% 15,446

RUSS IAN	OTHE	R CO UNTR IES
FEDE RATIO N

		By ag	ups
	r 30 y .o.		30-5 0 y.o		50 y. over o.
3,04 8	5%	6,80 2	11%	2,03 4	3%
4,14 5	6%	7,94 4	12%	2,37 4	4%
5,20 9	8%	7,93 3	12%	2,30 4	3%
		unde		e gro

STRUCTUREGRI 2-7, 401-1, 401-3, 405-1

In 2022, the TATNEFT Group underwent significant changes in the structure of production and service assets (an increase in the types of work associated with difficult working conditions), which caused a significant redistribution of personnel by structure: by gender, age, categories, regions of presence. The ratios of the indicators of 2022 to 2021 may have significant changes in physical terms.

Year		By ca tegor ies
	Mana gers	Spec ialist s and o fficer s	Work ers
2020	6,38	18,24	38,1
	7	3	70
2021	6,49	18,15	40,3
	8	2	49
2022	7,19	18,2	40,6
	2	77	29

BY G END	ER
Year			By ge nder
		male		fema le
2020	34,0	54.3	28,7	45.7
	74	%	26	%
2021	36,0	55.5	28,9	44.5
	74	%	25	%
2022	39,2	59.5	26,8	40.5
	97	%	01	%

2021

WORKFORCE

62.8

64.9

66.1

2022

2021

2020

BY COUNTRIES OF ACTIVITY, %

2022

9 %

15 3742020 2021 2022

BY AGE GROUPS

SUSTAINABLE DEVELOPMENT

STAFF TURNOVER

In accordance with the legislation of the Russian Federation, the Company provides equal rights for women and men to use childcare leave with the possibility of getting back from it to the same position as at the time of taking the specified leave. In accordance with these opportunities, the prevailing number of employees who previously took childcare leave return to the workplace.

PAYROLL FUND, RUB MLN

57,871

PAYROLL FUND

52,587

2022

2021

2020

46,011

CHILDCARE LEAVE

Empl s who had t he rig ht to child oyee care leave until the c hild r each es th e age of 3 years , pers ons			Empl s who took child leave befo re the child oyee care reach es th of 3 y e age ears, pers ons
Year	fema le	male	fema le	male
2020	2,25 8	3,414	1,83 9	34
2021	2,15 6	3,36 4	1,69 8	26
2022	2,19 5	4,03 0	1,94 2	44

REMUNERATION

GRI 202-1, 405 - 2

SUSTAINABLE DEVELOPMENT

Remuneration is a key part of the personnel incentive system, which allows the Company to remain highly competitive by attracting and retaining qualified and motivated employees.

The Company's policy in the field of remuneration and motivation of personnel is based on the following approaches: competitiveness, fairness, targeting, efficiency, unification, focus on results.

Any decision to increase the wages of the Company's employees is based on the following indicators: the level of the corporate budget of an employee of the Company, the consumer price index (the level of inflation), the minimum consumer budget in the region, the level of wages in other companies in the industry, and the increase in labor productivity of the Company.

The personnel basic income is formed from wages and employment benefits. Wages include a tariff-based (fixed) part, according to the Unified Rate Schedule, and bonusbased (variable) part. The employment benefits provide employees with a relevant scope of medical and other social guarantees.

CALCULATION OF REVENUE PER EMPLOYEE

	2020	2021		2022 /202 1
				+/-	%
Aver head t, pe age coun rson s	49,4 16	51,52 8	61,86 9	10,3 42	120
Net with intra up tu er, R UB m illion reve nue -gro rnov	973, 529	1,29 3,51 9	,211 1,574	280, 692	122
Reve mplo RUB thou sand /per nue per e yee, sons	19,7 01	25,1 03	25,4 44	341	101

RATIO OF THE AVERAGE MONTHLY SALARY OF THE AVERAGE MONTHLY SALARY, RUBCOMPANY TO THE AVERAGE MONTHLY SALARY IN THE

REGION OF ACTIVITY

the C ny's ompa empl oyee s	Avera onthl y sala Avera onthl y sala ry of ge m ry ge m in the regio n of a ctivit y
wom en	men	Total
52,6 70.6 4	75,6 26.6 5	64,0 20.1 4	45,1 79.3 0	2020
57,4 67.97	80,7 44.1 8	72,3 18.13	51,07 0.00	2021
65,5 17.63	94,1 34.0 9	82,8 44.6 0	59,1 10.5 0	2022

RATIO OF THE AVERAGE MONTHLY SALARY OF WOMEN TO MEN

GRI TCFD

AVERAGE MONTHLY SALARY OF EMPLOYEES BROKEN DOWN BY CATEGORY AND GENDER, RUB

	wom en	men	work ers to tal	wom en	men	MSO* total
	38,9 52.3 2	46,4 70.2 5	43,5 96.0 2	71,24 3.01	123, 293. 25	98,4 87.7 7	2020
	43,9 36.9 0	56,5 10.2 3	51,64 3.51	75,7 63.0 6	125, 976. 71	102, 590. 01	2021
MSO cialists , office — ma nager s, spe rs	51,14 0.32 *	69,5 64.1 6	63,4 09.3 5	86,2 70.6 6	140, 730. 32	115,6 82.7 5	2022

RATIO OF THE MINIMUM MONTHLY WAGE MINIMUM AVERAGE MONTHLY SALARY*, RUBGUARANTEED BY THE COMPANY TO MMW

	Minim um Mont hly W age (MMW )	Minim	thly s um av erage mon Comp any's	alary of th e loyee emp s
		Total	men	wom en
2020	14,0	15,6	15,6	15,6
	00	34	34	34
2021	15,4	16,57	16,57	16,57
	00	2	2	2
2022	16,7	30,2	30,2	30,2
**	00	56	56	56

** minimum wage rate for Category 1 workers has been

increased

154 153

EDUCATION AND DEVELOPMENT

GRI 404-1, 404-2, 404-3, 410-1

An efficient system of formation and maintenance of the required level of personnel qualification provides the Company with long-term employee loyalty. The main objectives of the Company's personnel training system are to create conditions that allow employees to achieve their maximum potential in their work and ensure continuous improvement of their professional and managerial competencies.

The process of personnel training in the Company is based on the needs of business and includes the following areas ofdevelopment:

◎ basic training in the main working professions
◎ compulsory training
◎ professional retraining
◎ development of professional skills
◎ development of general corporate and managerial competencies

The Company complies with the requirements of the legislation of the Russian Federation, including in the field of compulsory types of training. In order to form a unified approach to the implementation of mandatory state requirements for the level of personnel training, a project implemented to develop a List of Compulsory Training Programs for the Company's employees. The personnel training system is improved, including work with educational institutions of vocational education, the Personnel Training Center, and the Corporate University. The Company participates in the formation of professional standards, the initiator of the opening of the Regional Oil and Gas Complex Qualification Assessment Center. New methods for assessing the competencies of employees are introduced with the integration of the assessment results into the further development of each specialist and manager.

EMPLOYEE POOL

The sustainable development of any company directly depends on the availability of an effective system for the formation of an employee pool. Tatneft has advanced planning processes in terms of training key specialists and managers. In order to create and maintain the human resources potential of business assets, the task of HR management is to ensure timely and high-quality turnover of managers.

Since 2017, the Company has been forming an end-toend personnel reserve, in which managerial positions are divided into three categories. To create an employee pool, a comprehensive personnel assessment is carried out, according to the results of which operational and prospective an employee pools are formed. Each candidate receives feedback and an individual development plan. Employees who have passed a comprehensive personnel assessment are enrolled in training under corporate programs, depending on the level of the position.

Corporate training programs: "Leaders 1000"

THE AVERAGE ANNUAL NUMBER OF HOURS OF TRAINING PER TRAINED EMPLOYEE, BROKEN DOWN BY CATEGORY AND BY GENDER

Categ f emp loyee ory o s			2020			2021			2022
	TOTA L	Incl. men	Incl. w omen	TOTA L	Incl. men	Incl. w omen	TOTA L	Incl. men	Incl. w omen

Man ager s	62.6 2	62.6 2	62.5 8	49.7 0	49.9 5	47.67	47.9 5	48.2 0	45.9 9
Spe cialis ts	58.7 8	51.71	73.9 4	77.0 6	75.2 0	80.5 0	65.1 9	68.9 3	6.13
Offic ers	15.0 3		15.0 3	37.2 0		37.2 0	50.1 6	102. 0	37.2 0
Wor kers	52.5 6	66.4 7	22.8 3	64.8 8	63.5 3	84.4 7	62.6 3	61.61	76.0 3
Tota l	56.5 0	60.5 1	46.2 3	64.2 4	62.6 5	76.6 7	60.7 0	60.2 3	63.6 8

EMPLOYEE TRAINING

SUSTAINABLE DEVELOPMENT

COSTS, RUB MLN

Corporate training programs are aimed at the development of corporate and managerial competencies, individual development plans also include measures to develop professional and digital competencies of an employee.

In 2022, new corporate executive development programs were created.

Directions of development

◎ operational management

ЕМВА

◎ management and development of one's team
◎effective change management
◎ development of safety culture and ecological outlook

temporary work of the head in the first trade job in the headed business unit with full "immersion" in the production process

2022, 558 employees underwent a assessment, 351 of them did it successfully. Developed according to individual plans — 1,331 employees

of the TATNEFT Group. 245 people were appointed to senior positions of the Company based on the results of a comprehensive assessment and from the employee pool.

comprehensive

Tasks for the formation and development of the Company's employee pool for 2023:

◎ implementation of the program for involving managers in the implementation of targeted educational training programs
◎ formation for managers at all levels of a stable skill of constructive feedback on implemented tasks, projects, goal-setting, development of competencies within the framework of an individual development plan
◎ involvement of managers in the processes of personnel satisfaction management
◎ development of HR support service for the formation and support of key project (management) teams
◎ implementation of a program of targeted support and support for high-potential young workers

CORPORATE UNIVERSITY ACTIVITIES

2,745 persons were trained (intramural and distance training) in 21 courses at the Corporate University. Of these, 45% are employees implementing individual development plans (IDP).

To develop the competencies in the field of business administration of managers, business analysis skills, 5 targeted educational programs of professional retraining are implemented.

The distance learning system is actively developed. 34,192 employees have been trained.

The specialists of the Corporate University developed and implemented 13 corporate professional standards. It is planned to develop 2 corporate professional standards in 2023.

A 360-degree assessment of 1,318 employees was carried out. Following the comprehensive personnel assessment, 390 employees of the TATNEFT Group were provided with feedback/advice on the individual development plan formation.

Large-scale work is underway to introduce culture of selflearning organization. 88 organizations of the TATNEFT Group, more than 70,000 users are connected in the Single Learning and Development Platform (edu.tatneft.ru).

The Company pays great attention to the development of comprehensive command of foreign language in specialists and managers, which would be used in their work and participation in foreign projects. In 2022, more than 200 employees were trained in English courses.

Security personnel is trained annually in human rights policies procedures.

STATE SUPPORT PROGRAMS

As part of the implementation of projects with the involvement of state support, retraining of the Company's employees was organized according to the "Coaching of Professional Activity", "Practical Neuropsychology", "General and HR records Management", "Fundamentals of Graphic Design", "Modern Marketing Technologies and Fundamentals of Internet Marketing" programs.

YOUTH DEVELOPMENT

An important element of the Personnel Management Policy inthe Company is working with young employees.

The strategic goal of the youth policy is the development and support of working youth, the realization of their professional and creative potential in the interests of the Company. Through the implemented youth policy, the Company promotes the social adaptation of working youth to changes in society and the activities of the TATNEFT Group.

Areas of youth policy implementation:

◎ adaptation and mentoring

◎transmission of corporate culture
◎ development ofprofessional competencies (hard skills)
◎ development of general corporate and managerial competencies (soft skills)
◎ identification and support of high-potential employees (HiPo)
◎ development of interregional cooperation
◎ organization of quality leisure
◎ development of opportunities and involvement in a healthy lifestyle and sports
◎ social support (Well-being — life and work for pleasure)
◎ corporate volunteer movement

The Company is interested in attracting talented young people and carries out various organizational activities for these purposes. The structure of the events is developed taking into account the analysis of the involvement and satisfaction of young employees.

IDENTIFICATION AND SUPPORT TOOLS

In 2022, as part of the implementation of the project "Introduction of a modern system of mentoring and adaptation of personnel in the TATNEFT Group, a new Mentoring program for young employees was introduced at the TatNIPIneft Institute. The main goal of the program is the effective involvement of young employees in professional activities, and as a result, retaining them to solve urgent problems of the Company's development, as well as increasing the level of involvement of managers, experienced employees in the development of human resources. In 2023, an updated Mentoring program will be launched for employees throughout the TATNEFT Group.

For the first time, a contest of initiative projects of young employees of Tatneft CONTEST OF INITIATIVE PROJECTS "TATNEFT – THE PLATFORM OF YOUR OPPORTUNITIES" Financial and administrative support for

"Tatneft — the Platform of Your Opportunities" was organized and held. The purpose of organizing and holding the competition is to increase the efficiency of investments in the Company's youth policy by more active involving young employees in solving current challenges and problems, as well as meeting requests in a specific territory. 278 applications were submitted for the competition, 124 projects totaling RUB 8.851 million were recognized as winners. The coverage of the events was more than 6,000 people. your own idea or project

As part of the development of professional competencies, the TatneftTechCupChallenge case championships are

held among young employees of the TATNEFT Group and students, the purpose of which is to involve young specialists in solving the Company's business tasks. In 2022, about 400 participants took part in the championship.

The third International Oil and Gas Youth Forum "Hackathon Oil Tech Challenge 2021" was held jointly with the Ministry of Energy of the Russian

Federation and the Youth Council of the Oil and Gas Industry under the Ministry of Energy of the Russian Federation. The global task was to form a progressive youth team to solve urgent problems in the field of sustainable development facing the fuel and energy complex of Russia and neighboring countries.

The competition of professional skills with a half-century tradition isheld annually among young PROFESSIONAL SKILLS COMPETITION

employees of the TATNEFT Group. 350 enterprises of the TATNEFT Group took part in the competition. According to the results of the competition, 102 winners — the best representatives of professions, were determined.

order to develop the biotechnological direction, the "PI School" was held for the first time with the support of ITMO

University. 46 young talented scientists from different regions of the country were trained at the site of the Corporate University and presented their research and product projects.

During 2022, work with young people in social networks was also actively conducted. The official accounts of the youth organization of PJSC TATNEFT in Telegram and the information YouTube channel "PRO Download Youth" continued to work, thereby allowing the creation of a single corporate platform for information exchange, communication, and feedback.

SUSTAINABLE DEVELOPMENT

156

VOLUNTEER MOVEMENT

The corporate volunteer program Envoys of Sustainable Development Goals was created with the aim of forming a volunteer asset from among employees, students of educational institutions of the Company's scientific and educational cluster to transfer knowledge in the field of Sustainable Development Goals and problems that need to be solved to achieve them. In total, more than 3,500 employees of the Company are involved in volunteer activities. Environmental education, environmental actions and other events are carried out within the framework of the volunteer movement.

Also, with the support of the Company's management, patronage work continues to be actively carried out with fixed orphans in order to adapt to adult independent life through their involvement in the life of the Company. Charity events were held, work was carried out to popularize blood donation among young people.

SOCIAL SUPPORT

The Company traditionally pays great attention to addressing social issues of young people. The Collective Agreement has a section dedicated to young workers and their social guarantees. Representatives of youth organizations of enterprises annually participate in the development of the Collective Agreement. According to the Collective Agreement on the program of issuing interest-free loans to the families of young workers for the purchase of furniture and essential goods, 563 families received a loan in 2022. According to the social mortgage program, 75 families of young workers received apartments in 2022. In total, from 2005 to 2022, 4,970 families of young workers received apartments under the mortgage lending system, which is 33% of the total housing commissioned under the mortgage construction program.

SUSTAINABLE DEVELOPMENT

PJSC TATNEFT was awarded the Republican Prize in the field of voluntary work of the "Good Tatarstan" contest in the "Responsible Business" nomination

For more information, see the "Environmental Education" subsection.

COLLECTIVE REPRESENTATION

The Company recognizes the rights of every employee to represent collective interests, including trade union organizations, recognizes and respects the rights of trade unions, including the rights enshrined in the basic conventions of the International Labor Organization — the right of each employee to be represented by a trade union of his/her own choice and basic trade union rights concerning freedom of association and the right to organize workers into trade unions, as well as the right to collective bargaining. The Company does not prevent its employees from joining associations and trade unions.

The main collective representation of the interests of the Company's employees on the basis of partnerships is carried out by Tatneft Profsoyuz Interregional Trade Union Organization of the All-Russian Trade Union of Oil and Gas Industry and Construction Workers (hereinafter, the Trade Union Committee).

Admission to the Trade Union is carried out on a voluntary basis, based on the personal application of an employee. In the TATNEFT Group, 56,384 employees (85.3% of the total number of employees of the Company) are members of the trade union committee.

The Collective Agreement is the basis of cooperation. Each employee has the right and opportunity to participate in the process of forming the Collective Agreement by sending his/ her proposal to the trade union organization. Trade union representatives take part in the consideration of all social and labor issues and events significant for employees, incl. carrying out structural transformations of the Company, changes in the field of organization and remuneration.

The Collective Agreement confirms the Company's position on the recognition and observance of fundamental human rights, defines the general principles of safe organization and remuneration, social benefits and guarantees in excess of those established by law for employees and non-working pensioners, guarantees of the activities of a trade union organization. The provisions of the Collective Agreement of PJSC TATNEFT are the basic ones for collective agreements of the TATNEFT Group enterprises.

The Trade Union Committee and its primary trade union organizations provide:

◎representation and protection of social and labor rights and interests of trade union members;
◎control over compliance with labor laws of the Russian Federation
◎ organization of sports and recreation, cultural and mass work in labor collectives.

PJSC TATNEFT is a party to the Industry Agreement on organizations of the oil and gas industries and construction of facilities of the oil and gas complex of the Russian Federation

FOR THE EFFECTIVE SOLUTION OF THE TASKS SET, 9 COMMISSIONS WORK UNDER THE TRADE UNION COMMITTEE:

»	for s ocio ic pr otec tion of t rade unio mbe -eco nom n me rs »	s Or on C Mas izati issio gan omm n
»	for l l pro tect ion ega »	Com Hou sing miss ion
»	for o pati l hea lth ccu ona »	Con Com Food trol miss ion
»	for w ork w ith y ople oun g pe »	Cult Spo h Co ural and rts a nd H ealt issio mm n
	»	Com miss ion f or W ork w ith V of La bor and the Grea eter t ans
		Patr iotic Wa r

PROTECTION OF SOCIAL AND LABOR RIGHTS AND INTERESTS OF EMPLOYEES

In order to improve the social and labor situation of employees, the following changes were made to the Collective Agreement: the list of working professions was increased, which established coefficients for working conditions; the estimated amounts of payments for vacation of workers of trade jobs were increased; tariff rates and social benefits were increased.

In order to monitor the fulfillment of the obligations of collective agreements, representatives of the Tatneft trade union committee visited workplaces, got acquainted with working and living conditions, discussed current issues with the collectives of workshops and brigades in online conferences. Electronic questionnaires (surveys) were organized to monitor the satisfaction of trade union members with the organization and remuneration of labor, the organization of safe working conditions and recreation, and to identify relevant areas of work of the most active members of the trade union.

Trade union members receive support in the form of discounts on the cost of vouchers to the health resorts of the Federation of Trade Unions of Tatarstan

LLC Tatneft-AZS-Tsentr primary trade union organization was recognized as the winner of the review competition "The Best Organization of Work in the Field of Occupational Safety and Health in the Primary Trade Union Organization of Neftegazstroyprofoyuz of Russia" for 2021

PROTECTION OF THE RIGHTS

SUSTAINABLE DEVELOPMENT

Control in the field of labor protection on a voluntary basis at the enterprises of the TATNEFT Group is carried out by more than 2,200 trade union labor protection commissioners. The labor protection commissioners are trained annually in the field of labor protection.

TO SAFE WORK

In 2022, the chief technical labor inspector of the trade union conducted 22 inspections of the state of conditions and labor protection of enterprises, compliance with labor protection legislation, implementation of collective agreements and labor protection agreements. Violations identified during inspections were eliminated in a timely manner.

The Collective Agreement establishes the obligations of an employer to ensure healthy and safe working conditions for employees on the basis of a complex of social and labor, organizational and technical, sanitary and hygienic, therapeutic and preventive, rehabilitation and other measures.

LEGAL PROTECTION

The trade union provides legal assistance on the implementation of the provisions of the Collective Agreement, remuneration, compliance with the work and rest regime, dismissal compensations, the legality of disciplinary liability and other issues related to the employee's work. In 2022, 738 members of the trade union received a consultation. Work is carried out on the examination of local regulations of PJSC TATNEFT.

The Commission for the legal protection of trade union members conducts inspections on compliance with labor legislation in organizations of the TATNEFT Group. Representatives of the trade union committee take part in the work of the PJSC TATNEFT commission for certification of employees.

Issues and disagreements that arise in the course of production activities are considered with the involvement of the Ethics Committee of PJSC TATNEFT.

The Company is attentive and respectful to non-working pensioners, providing regular financial assistance to veterans. Work with unemployed pensioners is organized in a new format. 10 Territorial Councils of Veterans were created, working in cooperation with the Center for Support of Social Programs and territorial primary trade union organizations. Funds are allocated annually for the organization of sanatorium rehabilitation of unemployed pensioners and veterans of the Company, as well as financial assistance is provided.

RELATIONSHIP CHANNELS

The Tatneft Trade Union mobile application allows reaching all members of the trade union and informing about the legal labor rights and social benefits provided under the Collective Agreement, providing constant feedback. Popular messengers and social networks, a chatbot, and YouTube channel of Tatneft Profsoyuz are also actively used.

For appeals: hotline (via Telegram) 8-917-390-86-19.

PRIORITY SDG

SOCIAL SECURITY GRI 401-2

In order to strengthen social protection, the Company additionally, in accordance with the Collective Agreement, provides a monthly payment to an employee who is on childcare leave until a child reaches the age of three years and one free day a month or twice four free hours (at the employee's choice) of working time paid at the expense of the employer, with the preservation of the average monthly wage for women with children under 16 inclusive (disabled children under 18 inclusive).

These benefits are not available to temporary or part-time employees.

GRI 402-1

The Company operates in strict accordance with the Labor Code of the Russian Federation, which establishes a minimum period for notifying personnel regarding significant changes in the activities of the organization: no later than two months before the start of the relevant events, and if the decision to reduce the number or staff of employees may lead to their mass dismissal, no later than three months before the start of the relevant events.

SOCIAL SECURITY

The Company cares about the welfare and social security of its employees and their families. Employees are provided with an expanded package of social benefits and guarantees, in comparison with the current legislation, there is social protection for young workers and support for veterans and pensioners. Obligations to ensure them are enshrined in the Collective Agreement.

SOCIAL PAYMENTS TO EMPLOYEES, RUB MLN

(ACCORDING TO COLLECTIVE AGREEMENT)

NONSTATE PENSION PROVISION

One of the most important areas of the Company's social policy is a non-state pension provision for employees. The pension program is based on the principle of social partnership, in accordance with which the Company and its employees form a future corporate pension by joint efforts on a parity basis. The number of employees involved in the corporate program of non-state support is 13,817 people. The volume of contributions to non-state pension provision for 2022 amounted to RUB 547.7 mln.

The number of pensioners receiving non-state pensions is 16,257 persons. Payments of non-state pension to pensioners of the Company through JSC National NPF (NNPF) amounted to RUB 560.1 mln.

Inaccordance with the Collective Agreement, non-working pensioners who retired before the establishment of NNPF receive quarterly financial assistance. The total amount

of material assistance provided to such pensioners in 2022 amounted to RUB 13.7 mln. The number of pensioners receiving this material assistance is 2,300 people.

NONSTATE PENSION PROVISION CONTRIBUTIONS, RUB MLN

160 159

GRI TCFD

EMPLOYEE HEALTH GRI 403-6, 403-7

The Company pays special attention to the provision of measures to preserve the health and life of people, preventive measures, testing and vaccination, as well as provision of high-tech medical care.

The voluntary medical insurance program provides for the provision of services beyond the Program of state guarantees for the provision of free medical care to citizens of the Russian Federation. In Contract, the insured employees of the Company are provided with medical services under 4

◎
◎ Rehabilitation Treatment
◎ Comprehensive Medical Care

In order to reduce infectious diseases, annual seasonal immunoprophylaxis is carried out against seasonal influenza, pneumococcal infection and tick-borne encephalitis. For the purpose of early detection of oncological diseases at the expense of the funds of the VMI program, the Company organized medical examinations under the programs "Men's Health", "Women's Health", developed the "Healthy Back" program and a program of post-COVID rehabilitation. Employees who have had pneumonia are given the opportunity to undergo hyperbaric oxygenation sessions. Work has been organized to conduct testing for a new coronavirus infection.

EPIDEMIOLOGICAL ACTIVITIES

Since the first days of COVID-19 pandemic, the TATNEFT Group has introduced and worked out special measures to counter infection and ensure continuous safe production. The Company has created an automated platform for monitoring and analyzing the health status of personnel and providing them with personal protective equipment, which allows controlling the risks associated with the spread of infections.

All employees of the Company can be promptly provided with individual protective equipment by organizing their own production of preventive and protective equipment. On the basis of medical institutions, the Company has created its own PCR laboratory and an ELISA laboratory.

the

accordance with the Voluntary Medical Insurance programs:

◎ Outpatient Services
Inpatient Services

RUB million

SUSTAINABLE DEVELOPMENT

1.0 HOUSING!

	2020	2021	2022
loye artic ipati ng in the soci al emp es p mort gage pro gram , per sons	5,25 4	4,30 4	3,80 0
loye ho re ceiv ed h ousi emp es w ng, p erso ns	870	700	973
volu f pay ts fo r the initi al pa nt, me o men yme	134. 1	130. 2	531. 8

HOUSING POLICY

Support to employees in improving housing conditions is one of the important directions of the Company's social policy and contribution to the implementation of SDG—11 to ensure universal access to adequate, safe and affordable housing.

The Company is an active participant in the housing construction program for social mortgages in the Republic of Tatarstan. From 2005 to 2022, according to this program, 136 blocks of flats (15,009 apartments) were built in 15 settlements of the republic, as well as 52 individual residential buildings.

In2022, 2 blocks of flats were built and commissioned for the Company's employees in Nizhnekamsk and Nurlat (199 apartments), 3 individual residential buildings Cheremshan, and 25 apartments were purchased in Kazan.

The total number of participants in social mortgages for housing in the oil region amounted to 3,800 people. More than 30% of the apartments commissioned are allocated to young families and young workers.

To pay the initial payment for housing, the Company allocates an interest-free cash loan to employees in the amount of up to 30% of the cost of housing. Over the entire period of the social mortgage program, more than RUB 2.3 billion were contributed to the State Housing Fund of the Republic of Tatarstan to pay an initial contribution for employees.

MILLION М2 THE TOTAL AREA OF THE COMMISSIONED

PRODUCTION SAFETY PRIORITY SDG

GRI 3-3, 403-1, 403-2

Policy Statement of PJSC TATNEFT named after V.D. Shashin in the field of industrial safety

goals of

areas.

◎

the requirements of

description of

Key priorities

conditions

The strategy contains a

sustainable development,

systematic

Recognition of human rights to safe

working conditions, a favorable

Ensuring industrial and

national security

environment and favorable living

environmental safety of production

processes as an integral part of

the Industrial and

long-term development

Labor Safety Management System.

guidelines and covers all business

10.26 RUB BILLION

ALLOCATED FOR THE IMPLEMENTATION OF INDUSTRIAL, FIRE AND OCCUPATIONAL SAFETY PROTECTION MEASURES

◎ Risk-based approach in ensuring occupational safety, industrial and

environment

RUB MLN

2022

2021

2020

Tatneft sets a strategic goal to achieve trouble-free production activities, safe working conditions for the Company's employees, as well as the preservation of a favorable environment for present and future generations.

Tatneft is traditionally committed to the positions of responsible business conduct, therefore, it always pays significant attention to industrial safety, labor protection and the environment.

The Company implements an effective policy of industrial and environmental safety based on the principle of the priority of human life and preventive measures to prevent accidents. The approach to safety is implemented in all production processes, in the work of our own staff and contractors with the priority of health protection.

The fulfillment of safety requirements is the basis of the developed "TATNEFT Group Development Strategy in the Field of Health, Safety and Environment until 2030", which was formed taking into account the priority

INDUSTRIAL AND OCCUPATIONAL SAFETY OBJECTIVES

Indic ator	2020 object ive	2020 actual	2021 object ive	2021 actual	2022 object ive	2022 actual	2023 object ive
Occ iona l inju ry fre upat quen cy (RFR ) rate	0.40	0.34	0.36	0.32	0.43	0.39	0.38
Roa d tra ffic i njury freq y rat uenc e (RRTI )	0.32	0.06	0.30	0.06	0.28	0.00	0.26
Fire freq e (R F) y rat uenc	0.24	0.06	0.23	0.03	0.21	0.06	0.20
Acc iden t fre te (R A) quen cy ra	0.47	0.13	0.42	0.02	0.38	0.04	0.35
Occ iona l inju verit upat y rat ry se e (RS)	193	85.1 2	170	91.6 0	155	92.7	147

In 2022, in order to implement strategic development goals in the field of industrial and occupational safety, the "Program (Comprehensive Action Plan) of the TATNEFT Group in the Field of Industrial and Occupational Safety to Prevent Injuries, Reduce Risk, Accidents and Unplanned Losses

for 2022-2024" was updated. RUB 10.26 billion were allocated for the implementation of measures in the field of industrial and occupational safety to prevent injuries, reduce risk, accidents and unplanned losses.

162

SUSTAINABLE DEVELOPMENT

MANAGEMENT SYSTEM

The Company maintains and continuously improves the integrated management system in the field of health, safety and environment, taking into account the legal requirements and the provisions of international standards ISO 45001:2018 "Occupational Safety and Health Management Systems. Requirements and Guidelines for Use", ISO 14001:2015 "Environmental Management System".

At the operational level, the management system in the field of health, safety and environment (HSE) is provided by two functional divisions:

*

◎ Health, Safety and Environment Department
◎ Environment Protection and Ecology Department

for more details on the environmental management system see the "Environment" section

THE INDUSTRIAL SAFETY AND LABOR PROTECTION MANAGEMENT SYSTEM COVERS ALL THE MAIN MANAGEMENT LEVELS.

● contribute to the creation of healthy and safe working conditions

THE INTEGRATED MANAGEMENT SYSTEM

CONSISTS OF THREE MAIN AREAS:

INDUSTRIAL

OCCUPATIONAL

ENVIRONMENTAL

HEALTH AND

SAFETY

Documents regulating the management system in the field of health, safety and environment:

◎ Policy of PJSC TATNEFT n.a. V.D. Shashin in the field of health, safety and environment, taking into account climate change
◎Regulations on the industrial safety management system at the TATNEFT Group
◎ Regulations on the Occupational Safety Management System of PJSC TATNEFT
◎ Regulations on production control over compliance with industrial safety requirements at hazardous production facilities of PJSC TATNEFT
◎ Procedure for managing risks and opportunities of the management system in the field of health, safety and environment in the TATNEFT Group
◎ Procedure for internal audit of the management system in the field of health, safety and environment in the TATNEFT Group
◎ Guidelines for the management system of health, safety and environment of the TATNEFT Group
◎ Regulations on the procedure for conducting a technical investigation of the causes of incidents at hazardous production facilities of PJSC TATNEFT

HAZARD IDENTIFICATION, RISK ASSESSMENT AND INCIDENT INVESTIGATION

In order to implement the principles of corporate responsibility and risk-oriented approach, the Company has a Procedure for managing risks and opportunities of the management system in the field of health, safety and environment in the TATNEFT Group, including a Methodology for identifying industrial hazards, environmental aspects, assessing risks and opportunities in the field of health, safety and environment in the TATNEFT Group.

The Company updates the register of production risks and environmental aspects for all divisions at least once a year. Identification, assessment of hazards, risks and environmental aspects is carried out on a multi-level basis. Employees of the TATNEFT Group enterprises, in addition to communication with their immediate supervisor, have the opportunity to report promptly and around the clock on dangers and dangerous situations that have materialized risk events by calling the Hotline, the dispatch service, and by e-mail.

The following is used as risk management tools:

◎ Key safety rules.
◎ Programs for investing in the activities aimed at reducing and preventing industrial hazards and risks
◎ Comprehensive three-year programs of organizational and technical measures
◎ Insurance of civil liability to third parties against the realization of industrial safety risks at hazardous production facilities

The Company systematically arranges production control over compliance with industrial safety requirements, internal audits of the management system, analyzes and processes the results of incidents and inspections, develops and monitors the implementation of corrective and preventive actions. To ensure such functions, the work of permanent commissions on labor protection, the production control commission, the fire and technical commission and the internal audit group of the integrated management system was organized.

An important tool for managing industrial and occupational safety is the key safety rules that impose uniform requirements on the behavior of the Company's employees in the performance of their labor functions, as well as employees of contractors in the performance of work at the facilities of the TATNEFT Group (for more details on interaction with contractors, see the Supply Chain section).

◎ Voluntary insurance of environmental liability and property insurance of objects

The investigation of incidents is carried out in accordance with the Regulation "On the Procedure for conducting a technical investigation of the causes of incidents at hazardous production facilities of PJSC Tatneft, their accounting and analysis".

In order to control and ensure radiation safety, measures are carried out on an ongoing basis:

◎ planned radiometric inspection of oil treatment facilities
◎ individual dosimetric control of personnel
◎ production of radiation-hygienic passport of the enterprise

◎ selective radiometric surveys of work premises

According to the assessment of the Office of the Federal Service for Supervision of Consumer Rights Protection and Human Welfare in the Republic of Tatarstan, the state of radiation safety at the Company's enterprises in the reporting year is assessed as satisfactory.

HSE COOPERATION GRI 2-28

The Company takes an active part in the work to improve the HSE regulatory and legal framework of the Russian

Federation, as part of existing working groups. The largest of them are the regulatory guillotine, the Scientific and Technical Council of Rostechnadzor, the RUIE Industrial Safety Committee.

In 2022, within the framework of the "regulatory guillotine"

mechanism, a block of local regulations in the field of industrial and occupational safety was revised. The Company's specialists took part in the revision of draft federal laws. 37 proposals were submitted, six were accepted in the editorial office of Tatneft, nine exceptions to the clauses in the rules were settled. The Company also took an active part in the framework of the Labor Protection Committee of the Russian Union of Industrialists and Entrepreneurs in public discussions on the amendments to the Labor Code of the Russian Federation.

6 amendments to the federal legislation in the field of labor protection, developed within the framework of the regulatory guillotine, were adopted in the editorial office of Tatneft

EMERGENCY PREVENTION AND ELIMINATION SYSTEM

The Company has a system for preventing and eliminating emergency situations (ES) caused by oil and oil product spills, protecting the population and the environment from their harmful effects in the Company, which is based on:

◎ increasing the reliability of production equipment
◎ timely detection of emergency situations and minimization of losses from them
◎ rapid response to emergencies

In 2022, there was not a single man-made accident with damage to the natural environment in the area of the Company's activities

SUSTAINABLE DEVELOPMENT

Emergency Prevention and Elimination System

Q-ty incident description elimination of consequences2022 1 On 5 April 2022, 6.4 tonnes of oil-containing fluid leaked from the NGDU Prikamneft oil field gathering pipeline of the Tatneft Production Business Unit, contaminating an area of160 m2 the contamination has been eliminated, the oilcontaining soil has been removed for disposal, biological land reclamation has been carried out2021 1 1.23 m3 of oil-containing fluid leaked into the ground and further into the Ursalinka River at the Almetyevneft NGDU facility of the Tatneft-Production Business Unit. the consequences of the incident have been eliminated 2020 0 - - INCIDENTS RELATED TO ENVIRONMENTAL DAMAGE

Plans for liquidation of oil and oil product spills are updated on an ongoing basis in accordance with the norms established by law. Contracts have been concluded with professional emergency rescue units. Non-professional emergency response teams (NERT) with the right to conduct gas rescue operations were established and certified by the departmental certification commission. NERT is equipped with machinery and special equipment sufficient for the localization and elimination of oil spills, reserves of material resources have been created. More than 500 stationary oil-collecting structures, booms, and lagoons are maintained in working condition.

To increase readiness for actions to localize and eliminate emergencies, comprehensive emergency training exercises are carried out. To ensure the openness of the Company in the matters of environmental protection and ensuring environmental safety, there is a mechanism for the participation of the interested public and the media in monitoring the comprehensive emergency training exercises. Information about the exercises is published in print media, the Internet and social networks. A Memo has been developed for members of the public interested in participating in the conduct and analysis of command and staff, comprehensive and other exercises to eliminate oil and petroleum products spills. In 2022, comprehensive exercises were held with the participation of representatives of the regional youth public environmental organization "It will beClean" and the Almetyevsk State Oil Institute.

OCCUPATIONAL HEALTH AND SAFETY

GRI 403-3, 403-4, 403-5

The occupational safety management system contains a set of interrelated elements that establish policies and goals in the field of occupational safety and procedures for achieving these goals. The general requirements for the organization of work on labor protection, principles and methods of management, tasks, rights, duties and responsibilities for creating healthy and safe working conditions are established by the "Regulations on the Occupational Health and Safety Management System".

The Company has established an Occupational Health and Safety Committee whose functions include organizing joint actions of the executive bodies and the trade union committee to ensure labor protection requirements, prevent occupational injuries and occupational diseases, and preserve the health of employees. It has 16 members elected on a parity basis — 8 representatives from each party of the partnership. Also, joint occupational health and safety committees have been established in each subdivision.

The Occupational Health and Safety Committee organizes inspections of labor conditions and labor protection, informs employees about the results of these inspections, collects proposals for the section on labor protection of the collective agreement. Commissioners for labor protection, elected by the trade union organizations of the subdivisions, contribute to the creation of healthy and safe working conditions, as well as exercise public control over the state of working conditions in the workplace.

OCCUPATIONAL HEALTH AND SAFETY TRAINING

In order to ensure preventive measures to reduce occupational injuries and occupational diseases, the Company has the "Regulations on the organization of training and testing knowledge of labor protection requirements, training and certification in industrial safety of employees".

Managers and specialists undergo special training on labor protection in educational institutions and training centers during the first month upon admission to work, then — as required, but at least once every three years, other employees — in the commissions to verify knowledge of the requirements of protection of structural units, enterprises, according to the approved training programs.

All employees of working professions after the initial briefing at the workplace and internship before admission to independent work are tested for knowledge of labor protection requirements. The next test of knowledge of employees is carried out at least once every 12 months. Employees associated with the performance of work or maintenance of hazardous production facilities, units, including electrical installations, equipment that is a source of increased danger, and other high-risk objects, undergo primary and periodic testing of knowledge on occupational safety within the time limits established by the relevant regulatory documents.

TRAINING IN THE FIELD OF OCCUPATIONAL AND INDUSTRIAL SAFETY, PERSONS

	2020	2021	2022
Indu stria l safe ty tra ining and cert ificat ion	1,28 6	3,18 8	10,19 2
Occ upat iona l hea lth a nd s afety train ing	5,15 6	10,24 1	14,2 26
Train ing i rking cialt ies n wo spe	2 5,54	3,65 3	7,30 3
Train ing i n ad ed tr ainin vanc g co urse s	1,86 2	8,17 0	12,12 9
Cert ificat ion o f we lding el per sonn	179	301	914
Train ing a nd c ertifi catio n of NER T me mbe rs	286	474	316
Educ ation and train ing i rious n va area s	963	3,25 2	4,91 1

GRI TCFD

WORKPLACE SAFETY

In order to increase the efficiency of work to create safe and healthy working conditions, the Company annually enters into Labor Protection Agreements that regulate the relationship between the employer and employees and determine the mutual responsibility of the parties, as well as planning, ensuring and carrying out various labor protection measures.

for by Costs per 1 employee amounted to RUB 29,100.

implementation of

assessment of

measures aimed at

working conditions of

reducing the risks of

conditions: planned

diseases) are carried out.

There are programs of

musculoskeletal system in

possible consequences of

(including in terms of drug-related

are used to

exertion.

In order to

5 years and an

In order to

work is

COVID-19 certain types of work,

unscheduled special

working conditions

develop and implement

working

improving the

employees,

exposure

harmful and hazardous production

— 1 time every

factors, the Company conducts

special assessment of

mandatory periodic medical examinations

employees, psychiatric examinations

voluntary

employees. Lumbar exoskeletons

workplaces with significant physical

pandemic, ill-health prevention

continued. Rehabilitation

employees who have been ill with

is carried out.

reduce diseases of

the

prevent and mitigate the

the COVID-

the

medical insurance, rehabilitation

SPECIAL ASSESSMENT OF WORKING CONDITIONS

PREVENTION OF OCCUPATIONAL DISEASES

In order to ensure healthy working conditions, comply with the requirements of sanitary norms and rules for technological processes, equipment, transport, workplace organization, work, recreation and sanitary services, prevention of health effects of harmful and dangerous factors, prevention of occupational diseases of workers in the workplace, industrial control over compliance with sanitary rules is carried out. In 2022, sanitary and hygienic studies of workplaces were carried out in the amount of RUB 37.8 million.

SUSTAINABLE DEVELOPMENT

In 2022, more than RUB 1.9 billion were allocated tocarry out activities provided the Labor Protection Agreements.

Expenses per employee

Total expenses

at workplaces in the Company's structural divisions. In 2022, a special assessment of working conditions at 12,964 workplaces was carried out. Based on the results of a special assessment of working conditions, measures have been developed to improve working conditions at workplaces.

COST OF MEDICAL EXAMINATIONS, RUB MILLION

For more information, see the "Healthy Lifestyle" section, the "Sanatorium-Resort Health Improvement" subsection.

MAN-MADE INCIDENTS

In 2022, 1 accident was registered in NGDU Bavlyneft of Tatneft-Production Business Unit. During the gas-hazardous work, there was a fire of a gas-liquid mixture, as a result of which two workers received burns.

A technical investigation of the incident causes was carried out, measures were taken to eliminate the consequences of the incident, and to prevent such cases.

The circumstances and causes of the incident were brought to the Company's employees through the Industrial Safety and Labor Protection Control corporate information system.

2020 1* 2021 0 2022 1

DYNAMICS OF ACCIDENTS

Rostekhnadzor classified this event as an "accident", the Company considers it as an "incident".

DYNAMICS OF FIRES

inclu ding by bu sines s are as
Year	Total	Ex plora tion a nd produ ction	Oil an d gas ssing proce	Powe r ration gene	Petro chem icals	Othe r bus iness areas
2020	3	0	1	0	0	2
2021	2	0	1	0	0	1
2022	4	1	0	1	0	2

INDUSTRIAL

INJURIES

GRI 403-9, 403-10

The Company accepts responsibility for the preservation of life and health of people, regardless of whether they are employees of the Company or contractors. It makes every effort to reduce the likelihood of occurrence of occupational hazards in the performance of work at the production facilities for all employees. For each accident related to industrial injuries, thorough investigations of the circumstances are carried out and prompt measures are taken to prevent the consequences of such incidents.

Inaccordance with the mission and to implement the policy in the field of health, safety and environment, the Development Strategy in the field of health, safety and environment of the TATNEFT Group until 2030 has been approved, which specifies the Company's goals and obligations in this area.

OCCUPATIONAL INJURIES BY SEVERITY OF CONSEQUENCES

	2020	2021	2022
Acc iden ts, n umb er	17	20	26
Num ber o f peo ple i njure d in acci dent s, pe rson s	17	22	27
Mino iden ts, p r acc erso ns	10	11	20
Seri acci dent ous s, pe rson s	7	9	6
Died in a ccid ents , per sons	0	2	1

GRI TCFD

In 2022, 26 accidents were registered in the TATNEFT Group, of which 1 was fatal, the number of victims was 27 people.

The increase in the number of accidents and days of disability is due to the entry of service assets into the TATNEFT Group, the production activities of which are associated with a high risk of occupational injuries and accidents. In order to prevent accidents atwork, 202 measures were developed and implemented based on the results ofinvestigations.

INDUSTRIAL INJURIES IN BUSINESS AREAS

	busin ess a reas
Year	Numb er of accid ents (fata l)	Explo ration and produ ction	Work and over drillin g	Oil an d gas ssing proce	Powe r ration gene	Petro chem icals	Othe r bus iness area s
2020	17 (0 )	3 (0)	1 (0)	3 (0)	0 (0)	1 (0)	9 (0)
2021	20 (2 )	1 (0)	0 (0)	5 (0)	1 (0)	0 (0)	13 (2 )
2022	26 ( 1)	2 (0)	10 (0 )	4 (0 )	0 (0)	2 (0)	8 (1)

OCCUPATIONAL INJURIES BY GENDER, PERSONS

	Numb er of le inju red in accid ents (fata l) peop
Year	Total	Inclu ding men	Inclu ding wom en
2020	17 (0 )	14 (0 )	3 (0)
2021	22 (2 )	15(1 )	7(1)
2022	27 (1 )	21 (1 )	6 (0)

INDICATORS OF OCCUPATIONAL INJURIES

Indic ator	2020	2021	2022
Injur y fre r 100 0 em ploy te pe quen cy ra ees	0.34	0.32	0.39
Injur erity rate y sev	85.1 2	91.6	92.7
Tota l rate of o ation al inj ury l evel ccup	31.5 8	32.4 1	37.7 1
Fata l inju te pe r 100 0 em ploy ry ra ees	0	0.03	0.01 5
Injur y fre te (L TIFR 1 mi llion quen cy ra per hour rked ) s wo	0.2	0.2	0.22

NUM BER OF D AYS OF T EMPO RARY DISA BILIT Y AS A RE SULT OF
ACCI DENT S

year	Total	incl. (aver er vic tim) men age p	incl. w (ave ictim ) omen rage per v
2020	1,765	1,58 3 (11 3.1)	182 (60.7 )
2021	2,10 6	1,741 (116 .1)	365 (52. 2)
2022	2,50 4	1,977 (94 .14)	527 (87.8 )

OCCUPATIONAL DISEASES

When calculating the indicators, the workforce was used.

workers associated with a

height and when working with moving machines and

injury includes workers engaged in

high risk

performing work

The category of

mechanisms.

year	Total case s	Inclu ding men
2020	1	1
2021	0	0
2022	0	0

The Company has uniform requirements for the behavior of employees of contracting organizations when performing work at the facilities of the TATNEFT Group. Coordination of the Company's activities with contractors is carried out in accordance with the Standard of the Procedure for the Admission of Contractors and the Organization of Safe Work, aimed at implementing the requirements of ISO 14001:2015, ISO 45001:2018, "Safety Rules in the Oil and Gas Industry", "Labor Protection Rules".

The Company implements an integrated approach to assessing the qualifications of contractor personnel and verifying their knowledge on industrial and occupational safety requirements before establishing contractual relations and during their implementation, which is a key factor in ensuring production safety. In 2022, before admission to work, the knowledge of more than 28,000 employees of contracting organizations was tested.

Contracts with contractors include obligations to comply with industrial and occupational safety rules. At the Company's facilities, the contractor constantly monitors the fulfillment of contractual relations, compliance with the requirements of Russian legislation and local regulatory documents of the Company.

2022

2021

2020

COMPANY'S FACILITIES

17 17

NUMBER OF ACCIDENTS

ACCIDENTS

(FATAL)

2022

2021

2020

NUMBER OF PEOPLE INJURED IN

2022

2021

2020

HIGH RISK WORKS

High risk works with a high risk of injury include types of labor activities that carry risks to the health of personnel, performed in places where harmful and dangerous production factors operate. To minimize the likelihood of work-related injuries and emergencies, lists of high-risk work are developed and approved annually in accordance with the classification of working conditions.

Persons of at least 18 years of age who have passed a medical examination, primary and introductory briefings at the workplace, training under a special program and certified by the permanent examination commission of the enterprise of the subdivision are allowed to high risk works. High risk works are carried out in accordance with the work permit, which determines the content, place, time and conditions of work, the necessary safety measures, the composition of the team and persons responsible for the safety of work.

THE ENVIRONMENT

GRI 3-3

SUSTAINABLE DEVELOPMENT

The Company adheres to the principles of the UN Global Compact and evaluates the impact of planned and ongoing activities on the environment when making management and investment decisions, along with other significant factors, as well as in solving environmental problems, industrial safety and labor protection issues.

In carrying out its activities, the Company gives priority to the measures aimed at preventing possible negative impact on the environment. Identification of hazards, assessment and management of risks in the field of environmental protection, climate risks are carried out at all stages of the production life cycle, starting with pre-design surveys.

The approved "Development Strategy in the Field of Health, Safety and Environment of the TATNEFT Group Until 2030" defines the Company's goals and responsibilities in the field of climate aspects and greenhouse gas emissions. The Company uses advanced scientific achievements and innovative technical solutions, systems and processes in its production activities, taking into account world experience and the best available technologies in order to prevent climate change, as well as reduce the negative impact on the environment.

The internal document reflecting the

field of

Change".

V.D. Shashin Field of

is the "Policy of

Company's position and approaches in

Environment Taking Into Account Climate

environmental and climate impact

PJSC TATNEFT Named After

Health, Safety and

the

INTEGRATED ANNUAL REPORT 2022

KEY PRIORITIES

PRIORITY SDG

Area s	Liab ilitie s
◎ min imiz ing t he im clim cha t on ate pac nge	◎ redu ction of G HG e miss ions and carb on foot print ◎ of gr alter nativ use een e en ergy sou rces	◎ incre of th e lev el of utili zatio n of ase ciate d pe trole asso um g as ◎ cont rol o f env ironm enta l imp acts in th pply e su chai d me es to miti gate h im pact n an asur suc s
◎ favo rabl viro nt a nd li ving e en nme ditio con ns	◎ avoi danc e of envi enta l dam from ronm age omic acti vitie econ s ◎ redu ction of lo of ra ater ials a nd sses w m prod ucts at a ll sta of pr oduc tion activ ities ges and entio n of their rele into the prev ase envi ent ronm ◎ appl ying of th e be st av ailab le te chno logie s, equi nt, d igita l pro trol s oluti pme cess con ons	◎ entio n of cies and taki f prev eme rgen ng o all p ossi ble m res t o mi nimi ze th eir easu cons eque nces ◎ entio n of tive impa ct on natu ral prev nega obje cts
◎ tion of n al ec olog ical atur pres erva and bio dive rsity syst ems	◎ mini miza tion of w ork i ecia lly pr ted otec n sp ral a and thei d zo natu tecte reas r pro nes ◎ ratio n of biod ivers ity, h abita nima l resto ts, a migr ation nd c tion for rout es a omp ensa ible envi l dam enta poss ronm age	◎ redu ction of fr tion of na l enta tura agm land nd th a of distu rbed land scap es a e are
◎ ratio nal u f na tura l res se o ourc es	◎ impr ent o f the fficie of ovem ene rgy e ncy prod uctio nd e ing o f n pro cess es a nsur ation reso urce con serv ◎ impl ntati f ele ts of circ ular eme on o men yclin d us e of clab le econ omy , rec g an recy mate rials	◎ of w ater cling and tems and use recy reus e sys redu ction of w ater abst racti on fr atura l om n sour ces
◎ imp t of the iron tal i ct rove men env men mpa t sys tem man age men	◎ ring of co mpli with licab le ensu ance app latio nd p ntion of e enci es b regu ns a reve merg y impl nting indu stria l env ironm enta l con trol eme and audi ts ◎ impl ntati f sta te-o f-the -art infor mati eme on o on tech nolo gies , tec hnic al di stics and agno te m onito ring meth ods remo	◎ addi tiona l risk ent i ecia lly ass essm n sp prot ecte d na tura l are etlan ds, w here the as, w Com rates pany ope ◎ main taini f an n dia logu d reg ular ng o ope e an inter actio n wit h sta keho lders

comprehensive environmental impact assessment in the implementation of infrastructure projects

GRI TCFD

172

173

174

THE COMPANY'S POSITION ON CLIMATE CHANGE

The Company shares the global concern related to climate change and recognizes that global warming caused by an increase in the concentration of greenhouse gases in the atmosphere is one of the most important challenges for society and business. Since the issues of ecology and sustainable development of the regions of presence have historically been important for the Company's activities, Tatneft implements a long-term policy on decarbonization and environmental protection. Since 2015, greenhouse gas emissions into the atmosphere have been recorded and the UN Sustainable Development Principles and Goals have been implemented, since 2019 PJSC TATNEFT has been a member of the UN Global Compact. SDG 13 "Urgent Measures to Combat Climate Change and Its Consequences" has been identified as one of the priority goals

In the strategic planning of its activities, the Company takes into account:

◎	◎
fact ciat ed w ith t he p oten tial ors asso	th o f the inve stor s' ex tatio grow pec ns
imp act of th e Pa ris A t cli mat gree men e	rdin g th e lo ng-t tain abil ity rega erm sus
of p ls on the glo bal bala rima goa nce ry	of th e bu sine nd r lato ss a egu ry
ptio ene rgy con sum n	irem for disc losu f ents requ re o
	info tion iron tal rma on env men
◎	imp act and ting for all ty acc oun pes
dev elop t of iron tal men env men	of e miss ions , inc ludi ng i ndir ect
latio n in the Rus sian Fed erat ion and regu	nho issio incl udin gree use gas em ns, g
abro ad	thro ugh the ply c hain sup

In accordance with the international recommendations of the Task Force on Climate-Related Financial Disclosures (TCFD), an analysis of the risks and opportunities associated with climate change and their impact on the TATNEFT Group was carried out when updating the corporate strategy. The perimeter of the scenarios used for strategic planning of the long-term development of the world and Russian economy and energy includes a climate development scenario that corresponds to the goals of the Paris Climate Agreement; a long-term forecast of greenhouse gas emissions by the Group's enterprises in the strategic development option and a portfolio of projects that allow achieving intermediate goals to reduce greenhouse gas emissions.

CLIMATE GOALS

TCFD-4.3

In 2022, the Board of Directors approved the climate section of the Development Strategy. The long-term goal setting is based on the vector of achieving carbon neutrality by 2050 in terms of controlled greenhouse gas emissions (Scope 1 and 2, taking into account compensating measures and the

development of low-carbon technologies). Interim targets suggest a reduction in carbon intensity by 14% by 2025 and 30% by 2030 compared to the baseline year 2021.

SPECIFIC GREENHOUSE GAS EMISSIONS (SCOPE 1 AND 2)

DECARBONIZATION STRATEGY OF THE COMPANY

◎ biological capture of distributed CO2 emissions

development of renewable energy

IMPLEMENTATION OF SDG 13 PROGRAM AND DECARBONIZATION OF THE COMPANY IS ACHIEVED THROUGH ASET OFSDGS

INTERACTION ON THE CLIMATE AGENDA GRI 2-28

The Company takes an active position in the climate agenda and understands that the solution of its tasks requires cooperation at the national, international and industry levels and interacts with all stakeholders in the field of reducing the risks of climate change and adapting to climate change.

The Company's representatives are members of the RSPP committees and actively participate in the work of the Committee on Climate Policy and Carbon Regulation. In 2022, as part of a delegation from the Russian Federation, the Company took part in the 27th UN Climate Change Conference (COP27). The Company takes part in the working groups of the RUIE's Committee on Ecology and Nature Management, on the implementation of the "regulatory

ENVIRONMENTAL MANAGEMENT SYSTEM

GRI 2-12, 3-3 TCFD-1.1, 1.2

SUSTAINABLE DEVELOPMENT

The Company develops a HSE management system throughout the entire production chain of the TATNEFT Group.

At the operational level, the management system in the field of health, safety and environment (HSE) is provided by two functional divisions:

guillotine" mechanism in

Partnership initiatives in

achievements of the UN

2021, the Company signed a

Supervision of

activities of

one of

In the field of

the Russian Federation, the Government Commission for

Economic Development and Integration "Climate Projects",

its official partners. The Company supports the

Scientific and Technical Council Federal Service for

Natural Resources.

the Climate Partnership of

the field of

management under the Analytical Center of

ecology and nature

Russia and became

the climate agenda and the

events.

the Government

Memorandum on the

SDG and participates in

◎	◎
Hea lth, Safe nd E nvir ty a ent onm	Env iron t Pro ion and Eco logy tect men
Dep artm ent	Dep artm ent

* for more information about the industrial and occupational safety management system, see the "Production Safety" section

Since 2006, the Company has been developing an integrated health, safety and environment management system meeting the advanced ISO international standards. Compliance with the standards is confirmed by recertification every three years. Internal and external supervision audits are conducted

annually, contributing to the improvement of the management system, increasing the level of competence of employees in these areas.

principles of responsible business practices

In order to develop further the management system and improve its effectiveness, the main processes were formalized in 2022. In the processes of the functional area, covering

178 177

all organizations of the TATNEFT Group, responsibility matrices were developed, process efficiency indicators were determined, which were linked to strategic goals in the field of environmental protection.

RISK MANAGEMENT

TCFD-3.1, 3.2, 3.3

INTEGRATION AND CLIMATE RISK MANAGEMENT

In the Company, the process of identifying and assessing risks/opportunities related to climate, as well as in the field of health, safety and environment, is part of an integrated risk management process based on the recommendations of national and international standards (ISO 31000:2018 "Risk Management. Principles and Guidelines"; COSO ERM "Risk Management Framework").

Risk and opportunity management is part of the Company's overall management system and a tool embedded in the Company's business processes and used for decisionmaking at all levels of management, in accordance with ISO 31000:2018 "Risk Management. Principles and Guidelines". The central element of this process is the "Risk Management and Internal Control Policy of PJSC TATNEFT".

The Company has a documented process for identifying, assessing, monitoring and managing climate risks and opportunities as part of the overall risk and opportunity management process. Strategic-level risks are managed in accordance with the "Climate Risk and Opportunity Management" methodology. Operational-level risk management is carried out on the basis of the Standard for Risk Management in the Field of Health, Safety, and Environment. Risk owners are responsible for identifying risk opportunities, developing and implementing risk management measures. Climate risk owners perform regular monitoring and prepare reports on climate risk management.

IDENTIFICATION OF CLIMATE RISKS

health protection: GOST R

14064-2:2019, ISO 14064-3:2019

field of

and GOST R

The climate risk management system is built on the basis of completeness and reliability of risk identification, on a comprehensive assessment of their impact on people, tangible assets, the environment and image.

The Company ensures compliance with ISO standards in

ISO 14001-2016. ISO standards in

climate have been implemented: ISO 14064-1:2018, ISO

environmental management, industrial safety and

ISO 14001:2015, ISO 45001:2018,

the field

the

In 2022, the Company developed a register of climate risks, which, in accordance with the TCFD classification, includes risks associated with a gradual transition to a low-carbon economy, as well as physical risks. The register of climate risks and opportunities, climate risk management measures and the risk management report are reviewed and approved by the Company's Board of Directors.

Assessment of climate risks and opportunities is carried out at least once a year. When identifying internal or external factors that have the potential to influence the register of climate risks and opportunities, an extraordinary assessment of climate risks and opportunities is carried out.

The risks are divided according to the planning horizon (short, medium and long-term) and are ranked based on expert consensus assessment of the probability and consequences of their implementation, measures for dealing with these risks are determined.

CONSIDERATION OF CLIMATE RISKS AND OPPORTUNITIES RELATED TO CLIMATE CHANGE IS MANDATORY IN THE COMPANY'S GOVERNING DECISIONS.

Any risk associated with a direct danger to human life and health, the occurrence of environmental disasters, the Company considers with maximum priority.

Risk groups Risk management measures Market risks Description: Reduced demand for oil and petroleum products due to the strengthening of the environmental agenda and a shift in consumer preferences towards ◎ Reducing the carbon footprint; ◎ Increasing the share of fuel segment

products with lower carbon footprint

Impact: Change in structure/ decrease in revenue projects
- ◎KPI system for reducing greenhouse gas emissions

Regulatory risks

◎

◎ Building an automated system for accounting greenhouse gas emissions

Consideration of the internal price of CO2 in the evaluation of investment

◎ Implementing a program to reduce greenhouse gas emissions
Impact: Growth of operating costs for inventory, emissions ◎ Regular monitoring the legal regulation of greenhouse gas emissions

assessment and verification. Possible payments for greenhouse gas emissions

Description: Tightening environmental regulation.

Expanding the product coverage of cross-border carbon

Reputational risks

regulation

human capital

◎Open and transparent dialogue with stakeholders, expanded disclosure of

Description: Increased attention of stakeholders to the long-term sustainability of the Company on ESG aspects
Impact: Increasing the cost of financial resources and information ◎Development of the Company's "green" brands
- ◎ Carrying out preventive measures in the field of accident and injury reduction

Industrial safety and labor protection costs, ecosystem restoration

Technological risks

modernize production facilities

Physical risks

(emergency and chronic)

LEVEL OF IMPACT

Description: Limited access to low-carbon technologies and equipment, commercial efficiency and the need to ◎

◎ R&D on low-carbon technologies

Impact: Growth of capital expenditures, R&D expenses

Implementation of energy e"ciency and energy saving program.

Description: Increased frequency of extreme weather events, temperature anomalies, changes in precipitation regime

Impact: Costs of restoring production facilities, increase in the cost of insurance, interruptions in the operation of transport infrastructure

◎Implementation of building codes and regulations in the implementation of new construction projects
◎Insurance against environmental risks.
◎ Provision of assets for temporary storage of finished products

In order to minimize risks and increase safety, methods of preventing losses and reducing the cost of compensating for damages of realized risks are improved, insurance of negative events is organized. The TATNEFT Group on an ongoing basis provides insurance against the risks associated with damage to the environment. Insurance contracts are concluded for all hazardous production facilities of the Company.

GRI TCFD

SUSTAINABLE DEVELOPMENT

Risk Management and Internal Control Policy of PJSC TATNEFT

When evaluating investment projects from 2021, the Company takes into account the risks associated with an increase in CO2 emissions (Scope 1, 2 and 3), the Board of Directors has set an internal carbon price of \$49 per ton of CO2-eq.

IN 2021, GHG EMISSION WERE INCLUDED IN OF THE HEADS OF AREAS.

TARGETS

BUSINESS

THE KPIS

high medium low Exploration and production Oil and gas processing Petrochemicals Retail business Power generation Composite materials

For more information about climate risks, see Annex No. 2.

CLIMATERELATED OPPORTUNITIES TCFD-4.3

The course on conscious consumption, concern for the environment and human health creates opportunities for business development. The Company sees significant potential in the implementation of a program to improve energy efficiency and energy conservation, increase the rational use of associated petroleum gases, develop

biotechnological projects, increase the share of low-carbon and secondary raw materials in oil refining and composite products, expand the network of gas filling stations and the collection of secondary raw materials for further processing.

Clima te ch rtunit ies an d fina ncial impa ct ange oppo	Meas to im plem ent o pport unitie ures s
Ratio nal u f res se o ourc es
Econ omic effe ct of red ucin ption g en ergy con sum	◎ Ener "cie and avin gy e ncy ener gy s g pro gram
	◎ Incre asin g the ratio nal u f AP G. se o
	◎ Impl ntati f the cling wat pply syst t TAN ECO eme on o recy er su em a

Low carb on fo otpr int p rodu cts a nd s ervic es	◎ Use of w ials aste ater as r aw m
Cha in th e str uctu re / g rowt h of from the sale nge reve nue	◎ Expa nsio n of the p rodu ct lin e wit h hig h en viron tal c hara cter istic men s,
of pr oduc ts w ith h igh e nviro ntal char acte ristic nme s.	inclu ding the of lo rbon and onda ater ials use w-ca sec ry ra w m ◎ Expa nsio n of the C NG/ LNG refu eling netw ork

Cost red uctio n, in clud ing t hrou gh th y of ts e sy nerg asse with in th e Gr oup	◎	Intro duct ion o f the prin ciple s of circu lar e cono my
	◎	Use of re able new ene rgy
	◎	Prog for t he u f com posi d bio posi ials i pital te an te m ater ram se o com n ca truc tion cons

LEVEL OF IMPACT

SUSTAINABLE DEVELOPMENT

CONTRIBUTION TO THE ENVIRONMENT PROTECTION

In 2022, environmental protection expenditures amounted to RUB 10.8 billion, which is 8.5% less than in 2021. The decrease in expenses is mainly due to a change in the organizational structure of the TATNEFT Group and a decrease in investments due to the completion of construction and commissioning of the factory-wide flare system and a crude gas compressor unit.

The calculation of environmental protection costs was made on the basis of reports on the forms of federal statistical observation No. 4-OC "Information on current environmental protection costs" and No. 18-KS "Information on investments in fixed assets aimed at environmental protection and rational use of natural resources".

Item of ex pend itures , RUB billio n	2021	2022
EP c osts (Fo rm N o. 4- OC)	10.1	9.9
Inve nts i n fixe d as aim ed a t EP stme sets (For m N o. 18 -KS)	1.7	0.9
Tota l	11.8	10.8
Paym ents for n egat ive im pact on t he E P	0.02 8	0.02 4
Fine d pa nt of dam for s an yme ages envi enta l imp act ronm	0.06 1	0.04

CONTRIBUTION TO ENVIRONMENTAL PROTECTION, RUB BILLION

2022

2021

2020

0,8%

MACHINE ENGINEERING

Large-scale environmental protection activities of the TATNEFT Group enterprises were financed from their own funds on a priority basis.

180

0.001% RUB 0.03 MILLION. FOR BIODIVERSITY PRESERVATION AND NATURAL AREAS CONSERVATION

0.014%

RUB 1.6 MILLION FOR ENVIRONMENTAL PROTECTION FROM NOISE, VIBRATION, AND OTHER PHYSICAL IMPACTS

35.9% RUB 3,884 MILLION FOR PROTECTION AND REHABILITATION OF LAND, SURFACE AND

6.5% RUB 708 MILLION FOR WASTE MANAGEMENT

19.6% RUB 2,124 MILLION FOR WASTEWATER COLLECTION AND TREATMENT

37% RUB 4,003 MILLION FOR ATMOSPHERIC AIR PROTECTION AND CLIMATE CHANGE

0.5% RUB 51 MILLION FOR RESEARCH AND DEVELOPMENT ACTIVITIES AIMED AT REDUCING NEGATIVE ANTHROPOGENIC IMPACTS ON THE ENVIRONMENT

0.5% RUB 53 MILLION FOR OTHER BUSINESS LINES IN THE FIELD OF ENVIRONMENTAL PROTECTION

0.06% RUB 6.9 MILLION FOR ENSURING RADIATION SAFETY OF THE ENVIRONMENT

The volumes of financing of environmental protection measures in accordance with the European Classification of Environmental Protection Activities and expenditures, СЕРА 2000) are grouped into 9 areas.

2022

208

384

155

SPECIFIC ENVIRONMENTAL PROTECTION COSTS IN BUSINESS AREAS

SUSTAINABLE DEVELOPMENT

	2020	2021
Expl orati nd p rodu ction on a RUB /ton of e ted o il xtrac	158	147
Oil a nd g ssin as p roce g RUB /ton of o il eq uiva lent of pr sed oces rials mate raw	334	289
Petro chem icals , RUB /ton of m arke table duct pro s	429	736
Pow tion er ge nera RUB /kW h of rated gene ene rgy	6,6	18

ENVIRONMENTAL PROGRAM

The achievement of the established goals in the field of environmental safety, reduction of environmental impact, including in the field of climate aspects and greenhouse gas emissions, is implemented through consistently formed environmental programs. Since 1990, four environmental programs have been successfully implemented. The applied integrated approach to solving environmental issues has made it possible to improve the state of the environment and reduce the man-made impact of oil production.

Since 2021, the fifth environmental program of the Company developed for the period up to 2025 in order to maintain the environmental condition of the Company's region of activity at a legally permissible level corresponding to the potential possibilities of self-restoration of natural ecosystems, has been in effect.

The environmental program consolidates the efforts of all TATNEFT Group enterprises to preserve the quality of the environment. The program takes into account not only the legislative requirements for environmental protection, but also the additional obligations assumed. The program is based on a riskoriented approach and aims to reduce the man-made impact on the environment.

OBJECTIVES TO REDUCE THE NEGATIVE IMPACT ON THE ENVIRONMENT AND THEIR ACHIEVEMENT

Busin ess a rea	Actua l 2022 год	Objec tive 2022 год
Red uctio n of ific p ollut ant e miss ions spec
Expl orati nd p rodu ction (kg/ ton o f ext racte d oil ) on a	2.44	2.78
Oil a nd g ssin g (kg /ton of o il eq uiva lent of pr sed rials ) mate as p roce oces raw	0.71	1.06 3
Petro chem icals , (kg /ton of m arke table duct s) pro	0.00 54	0.00 63
Pow tion (kg/ kW* h of rated rgy) er ge nera gene ene	0.00 04	0.00 097
ns S Sco pe-2 Red uctio n of ific g hous issio -1+ spec reen e ga s em cope
Expl orati nd p rodu ction (kg/ ton o f ext racte d oil ) on a	173	175
Oil a nd g ssin g (kg /ton of o il eq uiva lent of pr sed rials ) mate as p roce oces raw	167	177
Petro chem icals (kg/ ton o f ma rketa ble p rodu cts)	1.52	1.7
Pow tion (kg/ kW* h of rated rgy) er ge nera gene ene	0.25 6	0.25 6
Red uctio n of ific c mpti f fres h wa ter fo eds spec onsu on o r ow n ne
(m3/ Expl orati nd p rodu ction ton o f ext racte d oil ) on a	1.18	1.18
Oil a nd g ssin g (m 3/ton of o il eq uiva lent of pr sed rials ) mate as p roce oces raw	0.06 0	0.27 4
(m3/ Petro chem icals ton o f ma rketa ble p rodu cts)	0.00 89	0.02 07
Pow tion (m3/ kW* h of rated rgy) er ge nera gene ene	0.00 149	0.00 15
APG utili zatio n lev el		Targ et by 202 5
Expl orati nd p rodu ction , % on a	98.0 9%	98%

182

AIR EMISSIONS

GRI 2-4, 305-1, 305-2, 305 – 3, 305-4, 305-5 TCFD-4.1, 4.2

GHG EMISSIONS

The most important element of the climate risk management system is the assessment of greenhouse gas emissions. At the corporate level, the Company's strategic goals for reducing greenhouse gas emissions have been approved. Control and accounting of greenhouse gas emissions are regulated by the internal standard "Greenhouse Gas Emissions Management". The system of accounting and reporting on greenhouse gas emissions in the TATNEFT Group complies with the standards and recommendations of the Greenhouse Gas Protocol (GHG Protocol), ISO 14064 and aims to ensure disclosure of information regarding climatic aspects in accordance with the recommendations of the Task Force On Climate-Related Financial Disclosures (TCFD).

The Company keeps records of greenhouse gases generated during production activities:

carbon dioxide (СО2),

SUSTAINABLE DEVELOPMENT

formed during the combustion of fuel at stationary combustion source (boiler units, furnaces and other heat engineering equipment), as a result of the combustion of gas at flare units, from industrial processes related to the processing of oil at oil refineries, as well as when using fuel by vehicles

methane (СН4),

emissions of which are carried out as a result of gas combustion at flare units, during the operation of treatment facilities, from leaks of technological equipment, as a result of the removal of process gases into the atmosphere through candles (diversion, dispersion, bleaching) without combustion or catalytic oxidation

Of the total mass of direct emissions, 95.4% is carbon dioxide and 4.6% is methane (according to Annex No. 3 of the Guidelines, approved by Order of the Ministry of Natural Resources of the Russian Federation No. 300 dated 30.06.2015, for the conversion of methane (CH4) into tonnes of CO2 -eq. the global warming potential (GWPi) equal to 25 is used).

There are no other names of greenhouse gases in the direct emissions of the TATNEFT Group enterprises (according to the classification established by Decree of the Government of the Russian Federation No. 2979-r dated 22.10.2021).

When calculating indirect emissions, carbon dioxide emissions are taken into account.

According to the recommendations of the GHG Protocol Corporate Standard, 2021 (the year of inclusion of the climate section in the Company's Development Strategy) was chosen as the base year for consistent comparison of emissions over time.

Due to the change in the perimeter of the TATNEFT Group in 2022, greenhouse gas emissions were recalculated in order to compare correctly the dynamics of emissions for the TATNEFT Group.

Changes in the perimeter of greenhouse gas emissions accounting: — the spin-off of the tire business of Tatneft from the Group and the merger of the service businesses.

Gree nhou s emi ssion s (Sc ope 1 , Sco pe 2) , mln tonne s CO2 se ga -eq.	2020	2021	2022
Sco pe 1 , inc ludi ng:	6.84	7.61	8.31
Expl orati nd p rodu ction on a	2.26	2.19	2.11
Oil a nd g ssin g* as p roce	2.17	2.64	3.38
Petro chem icals **	0.41	0.30	0.28
Pow tion er ge nera	1.94	2.30	2.36
Com posi ials te m ater	0.02	0.02	0.02
Reta il bu sine ss	0.01	0.01	0.01
Mac hine inee ring * eng	0.02	0.00 5	0.00 3
Othe e Gr oup ** r ent ises of th erpr	0.03 06	0.15 06	0.15 05
Sco pe 2 , inc ludi ng:	4.12	4.85	5.25
Expl orati nd p rodu ction on a	1.99	2.55	2.92
Oil a nd g ssin as p roce g	0.92	1.01	1.18
Pow tion er ge nera	0.00 4	0.00 8	0.00 7
Petro chem icals	0.96	1.02	0.87
Com posi te m ater ials	0.02	0.02	0.02
Reta il bu sine ss	0.05	0.05	0.06
Mac hine inee ring * eng	0.02	0.02	0.02
Othe ises of th e Gr oup ** r ent erpr	0.16	0.16	0.16

The sum of indicators in some lines may not match the total due to rounding.

* Updated data for 2021.

** Updated data for 2020-2021.

*** Due to the exclusion of Plant BUMMASH, LLC from the TATNEFT Group in 2022, the data was recalculated to the base year.

**** The data was recalculated to the base year.

The Company uses technologies to reduce the use of electricity and heat through the use of pellet boilers. In accordance with the Guidelines for Quantifying Emissions when Assessing Greenhouse Gas Emissions from the use of biomass, these data are not combined with other greenhouse gas emissions.

PelletsGREENHOUSE GAS EMISSIONS (SCOPE 1), T CO2EQ.

* data are calculated on the basis of Guidelines for conducting a voluntary inventory of greenhouse gas emissions in the subjects of the Russian Federation, approved by Order of the Ministry of Natural Resources of the Russian Federation No. 15-r dated April 16, 2015

GREENHOUSE GAS EMISSIONS (SCOPE 1), T CO2EQ.

GHG Emissions (Scope 3), million tonnes of CO2-eq. 2020 2021* 2022 Business trips** 0.0004 0.001 0.001 Natural gas production and transportation*** 0.71 0.82 0.76 Processing and use of products sold**** 100.81 110.85 103.47 Total: 101.52 111.68 104.24

*GHG emissions have been recalculated to the base year due to changes in the accounting perimeter.

** Calculation of GHG emissions during air travel is carried out using the ICAO calculator. ***Calculation of GHG emissions from consumed natural gas is carried out on the basis of data on

specific emissions of natural gas production, transportation and processing by Gazprom PJSC. ****The calculation of GHG emissions during the processing and use of sold products is carried out on the basis of the coefficients of the Guidelines approved by Order of the Ministry of Natural Resources of the Russian Federation No. 300 dated 30.06.2015.

In 2022, Scope 3 perimeter of accounting for indirect greenhouse gas emissions included greenhouse gas emissions from employee air travel

APPLIED TECHNIQUES

SUSTAINABLE DEVELOPMENT

1. Direct greenhouse gas emissions (Scope 1) are calculated in accordance with the requirements of the following regulatory documents:
◎ Order of the Ministry of Natural Resources of Russia No. 300 "On Approval of Guidelines for the Quantitative Determination of Greenhouse Gas Emissions by Organizations Carrying out Economic and Other Activities in the Russian Federation" dated 30.06.2015;
◎ The Greenhouse Gas Protocol (A Corporate Accounting and Reporting Standard).
1. Calculations of indirect greenhouse gas emissions (Scope 2, 3) were carried out in accordance with the requirements of the following regulatory documents:
◎ Order of the Ministry of Natural Resources of the Russian Federation No. 330 dated 29.06.2017 "On Approval of Guidelines for Quantitative Determination of Indirect Energy Emissions of Greenhouse Gases";
◎ The Greenhouse Gas Protocol (A Corporate Accounting and Reporting Standard);
◎ Corporate Value Chain (Scope 3) Accounting and Reporting Standard.

For Scope 2 calculations, the coefficient of energy emissions provided by LLC Nizhnekamsk CHP was used.

GREENHOUSE GAS

EMISSION INTENSITY

EMISSION INTENSITY (SCOPE 1)

EXPLORATION AND PRODUCTION KG OF CO2EQ./T OF EXTRACTED OIL

OIL AND GAS PROCESSING, KG/ TONNES OF OIL EQUIVALENT* PETROCHEMICALS, KG/KG**

121.0

POWER GENERATION, KG/KW*H

0.26

EMISSIONS INTENSITIES (SCOPE 1 + SCOPE 2)

EXPLORATION AND PRODUCTION KG OF CO2EQ./T OF EXTRACTED OIL

2022

PRODUCED)

110.9

115.6

EXPLORATION AND PRODUCTION KG OF CO2EQ./BARREL OF OIL PRODUCED

116.4

The reduction in the intensity of direct greenhouse gas emissions during oil production was 8%. The reduction was achieved through the implementation of measures to increase the level of APG utilization and optimize the operation of furnaces

0.27

* Updated data for 2021.

** Updated data for 2020-2021. ***The calculation includes emissions from JSC TANECO and Tatneftegazpererabotka Division of PJSC TATNEFT.

The increase in specific emissions during oil refining isassociated with ensuring a high depth of oil refining — 99% (the average inRussia is 83.5%).

EXPLORATION AND PRODUCTION KG OF CO2EQ./T OF OIL EQUIVALENT (OIL AND GAS

OIL AND GAS PROCESSING KG/TON OF OIL ***

PETROCHEMICALS, KG/KG **

1.77

POWER GENERATION KG/KW*H

2022

1.52

186

188 187

CARBON FOOTPRINT REDUCTION PROJECTS AND PROGRESS TCFD-4.3

In order to achieve SDG 13 indicators, the Company has formed a portfolio of projects aimed at reducing the carbon footprint. The projects are included in the "Fight Against Climate Change" program.

In 2022, the potential of the Greenhouse Gas Emissions Reduction Program has been increased from 1.9 million tonnes of CO2-eq. to 2.2 million tonnes of CO2-eq. (16%). The environmental effect of the Program implementation in 2022 amounted to 0.7 million tonnes of CO2-eq. The cost of implementing measures in 2022 is RUB 2.4 billion. The achieved effect for 2021-2022 amounted to 0.944 million tonnes of CO2-eq*.

Targets for greenhouse gas emissions have been met in business areas of the TATNEFT Group.

* the environmental effect of the implementation of the Greenhouse Gas Emissions Reduction Program is calculated as the difference between the baseline (i.e., the calculation of greenhouse gas emissions inthe absence of measures) and the result of a quantitative assessment of actual greenhouse gas emissions, taking into account changes inthe level of production activity. The calculation takes into account greenhouse gas emissions Scope 1,2,3

123.7% IMPLEMENTATION OF PLANNED INDICATORS FOR THE PERIOD OF

20212022

all

IMPLEMENTATION RESULTS

REDUCTION OF SPECIFIC DIRECT EMISSIONS FROM OIL AND GAS PRODUCTION

SET GOALS

BY 30% BY 2030

REDUCTION OF SPECIFIC DIRECT AND INDIRECT EMISSIONS (SCOPE 1+2) IN THE BUSINESS AREA OF

REDUCTION OF SPECIFIC GREENHOUSE GAS

EMISSIONS BY COVERAGE 1+2 BY 14% BY 2025 AND

SUSTAINABLE DEVELOPMENT

PROJECTS TO REDUCE DIRECT AND INDIRECT GREENHOUSE GAS EMISSIONS

◎

million.

The use of renewable energy sources

A number of projects and scientific

research in the field of CCUS (Carbon

Capture Utilization and Storage) have

capture amounted to 6.0 million tonnes

of CO2. The R&D investment portfolio

for the capture project is RUB 127.8

been implemented, the potential for

by 2,400 tonnes of CO2-eq.

has reduced greenhouse gas emissions

◎

Reduction of flare burning due to changes in the technological regime of separation at the Company's facilities, expansion of the gas collection system, increase in the level of utilization of waste gases at JSC TANECO allowed reducing emissions of more than 400,000 tonnes of CO2-eq.

◎

The implementation of the X-Plate technology at LLC Nizhnekamsk CHP allowed reducing 15,900 tonnes of CO2-eq.

PROJECTS FOR THE IMPLEMENTATION OF COMPENSATION MEASURES

◎

Implementation of the program for planting and restoration of forests. In 2022, about 2.2 million trees were planted on an area of 1,325 hectares. Over 10 years of the program implementation, more than 20.5 million trees have been planted.

PROJECTS TO IMPROVE THE SYSTEM OF ACCOUNTING FOR GREENHOUSE GAS EMISSIONS◎

◎

Scope 3 perimeter of accounting for indirect greenhouse gas emissions has been increased: greenhouse gas emissions from employee air travel have been included.

◎

The process of calculating greenhouse gas emissions for the TATNEFT Group has been automated, software has been created that unites the Group's enterprises and ensures the integration of software with fuel and energy consumption accounting systems;

In order to increase the level of competence in the field of climate among the Company's employees and the formation of an environmentally oriented worldview, training courses have been developed: Simulation of work in the module "Greenhouse gases", "Climate agenda, sustainable development goals and the company's position in the field of climate".

methane emissions through the use of unmanned aerial vehicles that allow timely obtaining reliable data on technological malfunctions at facilities.

Development of a system for monitoring

◎

BEGINNING OF THE PROGRAM

REDUCTION OF SPECIFIC DIRECT AND INDIRECT EMISSIONS (SCOPE 1+2) IN ENERGY PRODUCTION (KG/KWH OF GENERATED ENERGY)

EMISSIONS OF POLLUTANTS GRI 305-6, 305-7

In 2022, gross emissions of pollutants into the atmospheric air by the TATNEFT Group amounted to 100,200 tonnes, which is 3.2% less than in 2021. The reduction was achieved through implementation of the following measures:

◎ modernization of production using the best technologies, equipment, materials, digital management solutions
◎ improvement of the energy efficiency of production processes
◎ maintaining of the technical condition of oilfield equipment at the appropriate level
◎ introduction of technology for capturing light fractions of hydrocarbons released from tanks;
◎ reduction of volumes of associated petroleum gas burned in flare units
◎ purification of associated petroleum gas at desulfurization plants
◎ replacement of flare units with sootless combustion units

	2020	2021	2022
Gro miss ions of p ollut ants into the ss e
atm heri c air *, th and ton osp ous nes ,	108 .7	103 .5	100 .2
inclu ding :
solid s	2.1	2.0	1.3
sulfu r dio xide	14.1	10.3	9.9
carb ide on m onox	21.9	21.4	19.5
nitro oxid es (i n ter f NO 2) gen ms o	9.0	8.5	9.1
hydr bons (wit hout vola tile o ic ocar rgan ds) com poun	13.4	13.1	12.9
vola tile o ic co unds (VO Cs) rgan mpo	47.1	47.1	46.5
othe r	1.1	1.1	1.0

◎ repair and replacement of tanks, application of anticorrosive coating on them and introduction of electrochemical protection means

◎ overhaul and replacement of commercial oil and gas pipelines

◎ improvement of the environmental performance of vehicles

* Indicators on emissions of pollutants into

the atmospheric air are formed on the basis

of indicators reflected in the forms of state

statistical reporting (2-TP air).

◎use of gas returnable fuel dispensers at gas stations.

GROSS AIR POLLUTANT EMISSIONS

	2020	2021	2022
Expl orati nd p rodu ction kg/t f on a on o cted oil extra	2.84	2.56	2.44
Oil a nd g ssin g kg /ton of o il as p roce equi vale nt of ed ra ater ials pro cess w m	0.91 1	0.86	0.71
Petro chem icals , kg/ kg o f ma rketa ble prod ucts	0.00 7	0.00 48	0.00 54
Pow tionk g/kW *h o f gen d erate er ge nera ener gy	0.00 09	0.00 03	0.00 04

SUSTAINABLE DEVELOPMENT

EMISSIONS OF OZONEDEPLETING SUBSTANCES

The TATNEFT Group does not use ozone-depleting substances on an industrial scale, nor does it produce them.

EFFICIENT USE OF ASSOCIATED PETROLEUM GAS

The Company implements a program to improve the rational use of associated petroleum gas aimed at stimulating the processing of APG into products with high added value and reducing the impact on the environment and climate.

In 2020-2022, the volume of APG flaring was reduced by 50%. The APG utilization level was 98.09% in 2022.

APG FLARED VOLUMES OF THE

TATNEFT GROUP, MLN CU M

Calculations of APG utilization levels are carried out in accordance with Decree of the Government of the Russian Federation No. 1148 "Regulation on the specifics of calculating fees for negative environmental impact from emissions into the atmospheric air of pollutants formed during flaring and (or) dispersion of associated petroleum gas" dated 08.11.2019.

Inorder to increase the level of associated petroleum gas utilization, the Company took measures to connect separation points to the gas gathering system, organize multiphase transport of well products and use the gas for own process needs.

WATER INTAKE AND WATER CONSUMPTION

GRI 3-3, 303-1, 303-2, 303-3, 303-4, 303-5

Caring for the planet is an integral part of our mission, which is aimed at mitigating the effects of climate change through a responsible approach to the use of water — a vital resource for the Earth and for humanity.

The use of water resources is necessary for the implementation of the activities of all business areas of the TATNEFT Group — from oil and gas production to the sale of products. At the same time, the Company defines water as a strategic resource for the protection of biodiversity and human health, socio-economic development and industrial activities. We are committed to the optimal management of water resources at all stages of activity in harmony with the needs of the territories in accordance with the UN Sustainable Development Goals.

The territory of the main production activity of the Company belongs to the regions that do not experience a shortage of fresh water. According to the "Water Strategy of the Russian Federation for the Period Up To 2020" (approved by Decree of the Government of the Russian Federation No. 1235-r dated August 27, 2009), the regions with a shortage of water resources include the Republic of Kalmykia, the Belgorod and Kursk regions, the Stavropol Territory, the North Caucasus, certain areas of the Southern Urals and southern Siberia, lower reaches of the Volga.

The assessment of the definition of low—water regions is also carried out on the basis of data from the Aqueduct project of the World Resources Institute — basically, the territory of the Company's activity has low and average values of the "Baseline water stress level" indicator

https://www.wri.org/aqueduct/tools

The Company's main approach to solving the problem of rational water use:

◎ application of recycling and re-water supply systems
◎ increasing of the degree of wastewater treatment
◎ reduction of water intake from natural sources

Consumption of "fresh water"*, water use and access to water facilities for the TATNEFT Group in Russia is carried out in accordance with the legislation of the Russian Federation, on the basis of water use agreements, decisions on the provision of water facilities for use, licenses for the right to use subsoil for the purpose of extracting groundwater, as well as resolutions of local regulatory authorities, this makes it possible not to expose local communities and the natural environment to the risk of water scarcity.

The collection of data on water accounting is carried out according to the rules for the formation of state statistical reporting, and, if such reporting is not provided, on the basis of economic contracts for water consumption and sanitation.

*"Fresh water" is water taken from surface and underground sources, rainwater and water received from third parties under water supply contracts. It is used for both production and household and other needs of the Company. According to international standard GRI 303, "fresh" water is water containing less than 1,000 mg/l of dissolved solids (the definition is based on ISO 14046:2014). In this section, unless otherwise indicated, we talk about "fresh water".

The Company's position in the field of management of activities for the protection and rational use of water resources

SUSTAINABLE DEVELOPMENT

GRI TCFD

192

WATER CONSUMPTION, MLN M3

SUSTAINABLE DEVELOPMENT

In 2022, due to continuing implementation of measures and investment projects to reduce water intake and water disposal, water consumption in the TATNEFT Group decreased by 5%.

Due to the change in the approach to accounting for water losses, data for 2020, 2021 were recalculated for comparison.

SPEC IFIC W ATER CON SUM PTIO N FO R
PROD UCTI ON N EEDS

	2020	2021	2022
Expl orati nd p rodu ction m3/ f ton o on a cted oil extra	1.21	1.141	1.18
g m3 Oil a nd g ssin /ton of o il as p roce equi vale nt of ed ra ater ials pro cess w m	0.14 5	0.07 5	0.06
, m3/ Petro chem icals kg o f ma rketa ble prod ucts	0.01 63	0.01 42	0.00 89
Pow tion m3/k W*h of g ated er ge nera ener ener gy	0.00 148	0.00 145	0.00 149

The Company withdraws water from various sources, including ground and surface water bodies. The main sources of water withdrawal are the Kuibyshev storage reservoir, the Volga, the Kama, the Stepnoy Zai, the Yamashka, the Sterlya, the Shabiz rivers. Water is also supplied by third-party organizations under water supply contracts and as part of the organized collection of meltwater and stormwater runoff from the territories of enterprises.

The TATNEFT Group does not have a significant impact on natural water sources by the water withdrawal. Water withdrawals from surface and underground sources do not exceed the allowable withdrawal limits.

RECYCLED AND REUSED WATER, MILLION М3

2022

total volume of circulating and recycling water supply, million cu m

share of recycled and sequentially re-used water, %

An important indicator for the characteristics of rational water use is the costs in the systems of recycled and reused water.

2022, the share of recycled and reused water was 94.2% the total volume of water used for production needs, which saves the amount of water withdrawn (clean water) from the external environment.

*Data are given taking into account the volumes of water in circulating water supply systems, sequentially reused (water that has retained quality indicators after application in any technological process and is supplied for reuse without treatment), and also extracted along with hydrocarbons and subsequently used for the purposes of maintaining reservoir pressure, (re-used).

USE OF WATER FOR VARIOUS NEEDS, MLN М3

for production needs

Intake for reservoir pressure maintenance

87 % of consumed water is used for production needs.

In 2022, the approach to accounting for losses during water transportation changed, previously losses were reflected separately and were not summed up with the general intake, some of them — in production needs. Since 2022, losses have been taken into account — in the intake in the "surface water" category, and in use — in the "other" category, 2021 has been recalculated for comparison.

WATER EXTRACTED ALONG WITH HYDROCARBONS, SUBSEQUENTLY PUMPED INTO THE RESERVOIR TO MAINTAIN RESERVOIR PRESSURE

The implemented scheme of

changing the supply scheme of

wastewater quality is

7.9

mln m³

The Company conducts regular monitoring of

WATER DISPOSAL INTO SURFACE WATER BODIES,

production of

The consumption of

for river water supply

With the help of

use of fresh water in

WATER DISPOSAL

Improvement of

facilities in

14.4

MLN М3

2022

2021

2020

10.7

River

by technological solutions used at

2022 was optimized by

one of

accordance with the standards established by

accredited organizations monitor compliance with the established standards.

closed water supply and sanitation at

river water for production needs has been reduced by

the important objectives of

BODIES, MLN М3

4.7 million m3, from 2018 — about 15 million m³

treated wastewater, which allowed saving 7.62 million m3

LLC Togliattikauchuk water circulation unit, reconstruction of

the facilities for the preparation of

SPECIFIC WATER DISPOSAL INTO SURFACE WATER

of water in 2022 by

3.7 million m3 due to the use of

the treatment facilities of

the environmental safety program.

2020

wastewater quality. Wastewater from production processes is

Russian legislation. The Company's laboratories as

co-produced water during the extraction of

JSC TANECO provided 100% return to

excluding its consumption from the Kama

recycled water obtained

SVO, the

the main underground water pipeline

sent to treatment

well as independent

2021 the

PROJECTS AND PROGRESS TO REDUCE WATER CONSUMPTION

SDG 6 GOALS

REDUCE WASTEWATER DISCHARGES BY 20% AND INCREASE THE RATIO OF TREATED AND UNTREATED WASTEWATER BY 5 TIMES BY 2025

GOALS IMPLEMENTATION RESULTS:

REDUCTION OF THE VOLUME OF WATER DISPOSAL

INCREASE THE VOLUME OF RECYCLED, MULTIPLY AND REPEATEDLY USED WATER BY 9% BY 2025

GOALS IMPLEMENTATION RESULTS:

2022 to 2021

INCREASE IN THE VOLUME OF RECYCLED AND SEQUENTIALLY REUSED WATER REDUCTION OF WATER CONSUMPTION

2022 to 2020

REDUCE FRESH WATER LOSSES DURING ITS PREPARATION AND TRANSPORTATION

GOALS IMPLEMENTATION RESULTS:

SUSTAINABLE DEVELOPMENT

REDUCTION OF FRESH WATER LOSSES DURING ITS PREPARATION AND TRANSPORTATION

INCREASE IN THE RATIO (BY SUSPENDED SOLIDS) OF THE VOLUMES OF TREATED AND UNTREATED WASTEWATER

9.7 %

2022 to 2020

Exploration and production m3/ton of extracted oil 0 0 Oil and gas processing m3/ton of oil equivalent of processed raw materials 0.141886 0.004943 Petrochemicals, m3/kg of marketable products 0.015487 0.014011 Power generation m3/kW*h of generated energy 0 0

In 2022, the TATNEFT Group achieved a 26% reduction in wastewater disposal.

Investment projects for technological re-equipment of production are implemented, measures are taken to comply with the standards for the content of pollutants in wastewater, to maintain the territory of wastewater disposal sites and places in proper sanitary and ecological condition in order to ensure the regulatory level of wastewater treatment and the complete exclusion of the discharge of contaminated wastewater into the environment.

In order to improve the quality of mechanical wastewater treatment of LLC Tolyattikauchuk, two radial primary settling tanks were reconstructed at the industrial wastewater neutralization and treatment plant and a system of reagent

treatment of incoming wastewater was introduced. To improve the quality of aftertreatment, the drum nets were replaced at the industrial wastewater neutralization and treatment plant.

Wastewater was diverted to municipal sewerage organizations (transferred to a third party after use) — 4.9 million m³ (a decrease of 5% is due to the exit of the tire business from the perimeter of the TATNEFT Group.

2022

HYDROMONITORING

On the territory of the Company's production activities, a regime monitoring network of hydromonitoring functions to monitor the state of surface and underground waters, monitor the impact of the oil production process in order to comply with the license conditions for the use of subsurface resources. The results of the sample analyses are entered into the corporate information system. In 2022, 1,986 points of observation of water bodies were monitored, 22,463 samples were taken, the number of analyses performed was 102,081. Industrial environmental monitoring of water bodies is carried out by the Company's chemical and analytical laboratories. The analysis of waters is carried out according to the parameters that are characteristic of the influence of production processes, in particular oil production, oil refining.

PRESERVATION OF SPRINGS

The Company pays special attention to the preservation and improvement of water quality in springs. The quality of water in springs, being a kind of indicator of the activity of oil workers, signals the progress of field development. Therefore, the water quality in springs is kept under special control. Purposeful geological and technical measures carried out by oil workers in the area of activity of the Company's subdivisions, constant monitoring of the reliability

SUSTAINABLE DEVELOPMENT

of equipment contribute to the prevention of contamination of water sources, allowing to ensure the potential of selfrestoration of ecosystems.

In 2022, PJSC TATNEFT once again organized and held an annual competition "For maintaining the aesthetic condition of equipped springs and improving water quality", which has been implemented in the Company since 1995. 24 enterprises of the TATNEFT Group took part in the competition. The springs presented for participation in the competition are distinguished by their originality, skillful use of the natural landscape and natural material. Many of them have become a genuine decoration of the area, settlements, outdoor recreation areas. During this time more than 500 springs have been cleaned, captured and architecturally completed on the territory of the Company's operations.

In 2022, the water quality in the main rivers ofthe Company's territory was stable.

The content of chloride ions, oil and petroleum products in the dissolved and emulsified state in the main rivers did not exceed the established standards of the maximum permissible concentration and substances.

WASTE MANAGEMENT

GRI 306-1, 306-2, 306-3, 306-4, 306-5

One of the environmental priorities of the TATNEFT Group is the reduction of environmental footprint through reduced production and consumption waste generation and increasing the share of recyclable waste. The Company has implemented the best available technologies, established a complex system of selective accumulation, collection, and disposal of production and consumption wastes and using them as a raw material to produce marketable products. The TATNEFT Group enterprises dispose of 47 types of hazardous waste, including oily waste.

When selecting contractors to provide waste management services, the Company takes into account the amount of negative environmental impact from the use of technology (waste management operation, the amount of pollutant emissions into the atmosphere and the amount of greenhouse gases per unit of recycled waste, etc.).

In 2022, 307,001,000 tonnes of waste were generated at the enterprises of the TATNEFT Group. The amount of waste generated in 2022 increased by 40.8% compared to last year due to changes in the composition of the TATNEFT Group.

307

354

2022

2021

Waste generated in own production process

Waste used directly by the TATNEFT Group enterprises

Transferred to third parties GRI TCFD

200

In the course of production activities at enterprises, in accordance with licenses for the right to handle waste, activities are carried out for the collection, transportation, processing, disposal, neutralization, placement of waste of hazard classes I — IV. The amount of waste as of the beginning and end of each reporting year (waste remaining in accumulation) depends on the organization of the production process ofprocessing the resulting waste.

In 2022, waste of hazard class 1-4 was formed — 66.293% (203,519 tonnes), hazard class 5 — 33.707% (103,482 tonnes). The data collection methodology is conducted according to the rules for the formation of state statistical reporting in Form No. 2-TP (waste).

7% s S)
3% S SI
4% S 0
8

0.001%

PETROCHEMICALS COMPOSITE MATERIALS

OIL AND GAS PROCESSING

SOCIAL DEVELOPMENT

POWER GENERATION

0.136%

OTHER SUBSIDIARIES AND AFFILIATES

WASTE MANAGEMENT BY BUSINESS AREAS, THOUSAND TONNES

Busin ess a rea		Gene rated			Dispo sed o f and treat ed			Sent for du mpin g and neut raliza tion
	2020	2021	2022	2020	2021	2022	2020	2021	2022
Expl orati nd p rodu ction on a	33.4	58.8	73.8	24.4	44.9	60.1 1	10.5	14.7	18.6
ing* Wor kove r and drill	-	-	92.9	-	-	91.6 9	-	-	1.2
Mac hine inee ring eng	16.1	17	44.4	46.5	34.3	54.8 7	1.5	1.8	4.8
Oil a nd g ssin as p roce g	15.3 2	17.8	14.2	10	14.6	11.49	4.9	4.5	3.5
Reta il bu sine ss	25	24.8	29.7	0.3	0.4	1.50	24.1	24.5	28.3
Tire busi ness	36	25.6	-	19.2	17.6	-	24.3	15.5	-
Com posi te m ater ials	3.4	4.6	3.8	1	0.5	0.57	2.4	4	3.3
Pow tion er ge nera	3.3	2.9	3.5	1.7	1.1	82.3 7	0.4	0.4	0.6
Trad ing a nd lo gisti cs	0.0	0.01 2	0.0	0	0	0.00	0	0.01 1	0.0
Soc ial d evel ent opm	0.08	1.1	2.5	0	0.1	0.18	0.08	1	2.3
Digit al de velo nt pme	0.00	0.08	0.4	0	0	0.01	0	0.08	0.4
Othe r ent ises of th e Gr erpr oup	70	53.9	30.6	69.2	48.0 7	21.47	0.7	5.9	9.1
Petro chem icals	10.5	11.3	11.2	1.6	2	2.16	8.9	10.1	9.6
Expl orati on**	5.9	0	0	5.7	0	0	0.1	0	0
Tota l	218 .8	.0 218	307 .0	179 .6	163 .6	326 .4	77.8	82.5	81.7

* The Workover and Drilling Business Unit became part of the TATNEFT Group in 2022

**In connection with the reorganization of the Company's structure in 2021, the waste indicators of the Exploration business area are included in the Exploration and Production business area.

SUSTAINABLE DEVELOPMENT

groundwater, and ensures the collection of

recycling technologies become available.

waste products. The existing impervious screen made

geosynthetic membrane (HDPE) excludes biological

JSC TANECO operates a

and chemical contamination of

subsequent transportation to

this way can be

of a

placed in

DRILLING WASTE MANAGEMENT

Enterprises of the TATNEFT Group formed and processed 94,997 tonnes of drilling waste.

All waste generated during well drilling by contractors is the property of the Contractor according to the contractual terms and conditions. The Company has established a system for accounting and monitoring the movement of waste generated during drilling by contractors, as well as a system for compensating their costs for the disposal of drilling waste.

RESPONSIBLE CONSUMPTION

specialized landfill for dumping

the adjacent territories,

the treatment facilities. Waste

leachate for its

recovered for disposal when new

The company develops a model of rational consumption and a circular economy based on a careful attitude to the consumption and distribution of all types of resources (natural, human, financial), applies methods for assessing the effectiveness of resource management, takes into account the resource potential of production processes along the entire value chain and life cycle of products and services. This makes it possible to reduce the environmental intensity of economic growth with an increase in the efficiency of production processes and preserve natural resources for future generations.

As part of the implementation of SDG 12, goals have been set until 2030 aimed at ensuring responsible and efficient consumption of resources and sustainable means of production.

For 2022, a target indicator of the share of waste sent for disposal and reuse of the total volume of waste has been set for the TATNEFT Group enterprises — 64.8%.

To reduce technological losses, a target of 13.6% was set for 2022. The target indicator for the TATNEFT Group was achieved ahead of schedule, technological losses were reduced by 35.21% in comparison with the base year 2020.

WASTE MANAGEMENT (RECYCLING, TREATMENT), THOUSAND TONNES

Wast ment type e ma nage	On-p remis es of the G roup' s ent erpri ses			Outsi de th e Gro up's e nterp rises			Total
	2020	2021	2022	2020	2021	2022	2020	2021	2022
Haz ardo aste us w
Disp osed	3.8	5.2	7.39	37.9	49.7	143. 25	41.7	54.9	150. 64
Proc d esse	0	0	0	0.00 7	0.07 7	0.23	0.00 7	0.07 7	0.23
Tota l	3.8	5.2	7.39	38.0	49.8	143 .48	41.8	55	150 .87
Non -haz ardo aste us w
Disp osed	34.7	37.5	39.3 1	103. 1	70.7	135. 77	137.8	108. 2	175.0 8
Proc d esse	0	0	0	0.04	0.4	0.47	0.04	0.4	0.47
Tota l	34.7	37.5	39.3 1	103 .1	71.1	136 .24	137. 8	108 .6	175 .55

WASTE MANAGEMENT (NEUTRALIZATION, DUMPING), THOUSAND TONNES

SUSTAINABLE DEVELOPMENT

Wast ment type e ma nage s	On-p remis	es of the G enter	roup' s	Outsi de th e Gro up's e nterp rises		Total
	2020	prise s 2021	2022	2020	2021	2022	2020	2021	2022
Haz ardo aste us w
Neu traliz ation	3.3	3	0	19.8	20.8	27.57	23.1	23.8	27.57
inclu ding inci tion nera	3.3	3	0	7.2	5.9	0.16	10.5	8.9	0.16
- wi th en erati ergy gen on	3.3	3	0	0	0	0	3.3	3	0
- wi thou ation t ene rgy g ener	0	0	0	7.2	5.9	0.16	7.2	5.9	0.16
ept f SW Dum ping (exc or M - icipa l soli d wa ste) mun	15.8	12.2	7,11	14.7	16.6	16.0 3	30.5	28.8	23.1 4
Tran sfer of M SW t egio nal o a r rator ope	0	0	0	4.6	6.6	8.12	4.6	6.6	8.12
Tota l	19.1	15.2	7,11	39.1	44.0	51.7 2	58.2	59.2	58.8 3
Non -haz ardo aste us w
Neu traliz ation	0.9	0.9	0	0.8	0.7	0.01	1.7	1.6	0.01
inclu ding inci tion nera	0.9	0.9	0	0	0	0	0.9	0.9	0
- wi th en erati ergy gen on	0.9	0.9	0	0	0	0	0.9	0.9	0
- wi thou ation t ene rgy g ener	0	0	0	0	0.7	0	0	0.7	0
SW Dum ping (exc ept f or M - icipa l soli d wa ste) mun	4.4	0.8	0	7	13.4	15.10	11.4	14.2	15.10
Tran sfer of M SW t egio nal o a r rator ope	0	0	0	6.5	7.5	7.76	6.5	7.5	7.76
Tota l	5.3	1.7	0	14.3	21.6	22.8 7	19.6	23.3	22.8 7

SHARE OF WASTE SENT FOR DISPOSAL AND REUSE, %

The share of waste sent for disposal and reuse from the total volume of waste has increased, including due to the inclusion of new enterprises in the TATNEFT Group.

SDG 12 GOALS

INCREASE IN THE SHARE OF RECYCLED AND REUSED WASTE UP TO 50% BY 2025, UP TO 70% BY 2030

GOALS IMPLEMENTATION RESULTS:

SHARE OF RECYCLED WASTE, %

40.5 72.5 2020 2022 79% INCREASE

REDUCTION IN PROCESS LOSSES BY 14.2% BY 2025, BY 20% BY 2030

GOALS IMPLEMENTATION RESULTS:

REDUCED TECHNOLOGICAL LOSSES, %

SUSTAINABLE DEVELOPMENT

0.731 0.474 2020 2022 35.21 % DECREASE

PROJECTS ON THE INTRODUCTION OF A CIRCULAR ECONOMY AND RESPONSIBLE CONSUMPTION

Construction of a gas turbine plant at LLC Nizhnekamsk CHP — as a result of modernization, the installed capacity of the station will increase, and the transition to combined-cycle technology will reduce the cost of electricity generated. The construction is scheduled to be completed in 2024.
Pyrolysis of wood biomass to produce bio-oil (a component for fuel production) and biochar (fertilizer for agriculture).
Reconstruction of a cryogenic plant for deep processing of dry distilled gas with the release of new products.
Development and testing of pyrolysis of rubber chips, plants for the production of rubber modified bitumen, installations for the hydroconversion of heavy oil residues.
The secondary use of reinforced concrete, the secondary use of waste paper, used vegetable and motor oil, PET bottles, used tires, processing of technological waste of fiberglass and the production of new types of marketable products.
During the academic years, work was organized in schools of the city of Almetyevsk, schools and kindergartens of Aktuba village, Malbagush village of Aznakaevsky district for the collection of PET bottles, polyethylene and polypropylene. More than 7,700 tonnes of recyclable materials were collected. For these purposes, the Company handed over 249 containers for the collection of recyclables.
Circular forest is a project for growing seedlings in a greenhouse with their subsequent transplantation into the forest. The wood obtained from mature trees is processed to produce biofuels. Both heat and carbon dioxide obtained as a result of processing will be used in greenhouses, where seedlings will be grown again.

GRI 3-3, 304-1, 304-2, 304-3, 304-4

One of the priorities in the field of sustainable development of the Company is to minimize the impact on the environment. The Company reduces the man-caused impact on the natural environment of ecosystems and maintains favorable living conditions in the areas of its operations, improving environmental performance, and takes measures to restore the ecosystem to the level of selfhealing potential, including the protection and conservation of biodiversity.

The Company has undertaken the following commitments in the field of biodiversity conservation: ◎

◎

reducing the significant impact of the Company's activities, products and services on the biodiversity of protected natural areas and areas with high biodiversity value outside the boundaries of protected natural areas

◎

conservation and restoration of biodiversity, habitats, animal migration routes and compensation for possible environmental damage

reduction and prevention of fragmentation of natural landscapes, reduction of the areas of disturbed territories ◎

minimization of work on specially protected natural territories and in their protected areas, on World Natural Heritage sites

presence as

which is an

The Company treats any natural territories in

set of

integral part of

Biodiversity Conservation Program is

natural biosystems in

achieve this goal, a

the places of its

measures has been developed,

the Environmental Program.

the

preserve the diversity

protected and annually strengthens the work

biodiversity conservation. The Company implements

the territories of activity at a level

that ensures their sustainable existence and sustainable use.

the Biodiversity Preservation Program. The purpose of

Regulatory internal documents:

◎ Policy on Sustainable Development and Interaction with Stakeholders
◎ Policy of PJSC TATNEFT n.a. V.D. Shashin in the field of health, safety and environment, taking into account climate change
◎ Standard on Management of Protection of Land and Forest Resources, Biodiversity, Specially Protected Natural Territories (specially protected natural territories)
◎ Regulations on the protection and rational use of land and forest resources

Environmental aspects identification system

The integrated management system of the Company provides for a system of identification of environmental aspects, which allows to identify areas of impact on biodiversity that need to be controlled or improved, as well as to set priorities in actions.

The results of hazard identification and risk assessment of the environmental aspects of the Company are the initial data for the development of measures for the conservation of biodiversity and the formation of appropriate programs.

The Company's main impacts on biodiversity:
◎oppression of flora and fauna with prolonged air pollution, physical exposure
◎impact on immobile groups of living organisms during the construction of oil facilities
◎ fragmentation of landscapes, due to the construction of a road network, pipelines
◎ death of micro- and mesofauna, flora, soil degradation as a result of accidental oil spills on the terrain

In the course of production activities, the Company does not have an irreversible impact on biodiversity.

REDUCTION IN OCCUPIED SPACE BY 16.1% BY 2025

IMPLEMENTATION RESULTS

RETURN OF LAND AND FOREST PLOTS, HA

2021

2020

2022

REDUCTION OF DEFORESTATION AREA, HA

◎ specially protected natural areas

◎ species and populations of the animal world subject to special protection and their habitats
◎ vulnerable ecosystems (estuaries, swamps, tundra, etc.)

GRI TCFD

208

SUSTAINABLE DEVELOPMENT

210 209

GRI TCFD

SPECIALLY PROTECTED NATURAL AREAS

The main activity of the Company is concentrated on the territory of the south-east of the Republic of Tatarstan, which is densely populated, developed by agriculture and experiences a high anthropogenic load. There are 35 specially protected natural territories in the region of the Company's production activity. The largest specially protected natural area of federal significance is the Nizhnyaya Kama National Park. This is a unique natural complex of forests and meadows of the north-east of Tatarstan with an area of 26,460 hectares, located in the center of the Nizhnekamsk territorial production complex.

The Company carries out industrial ecological control of the flora (phytomonitoring) on the territory of the Nizhnyaya Kama National Park. According to the results of monitoring studies, in 2022, the operation of the Company's oilfield facilities did not lead to a deterioration of the ecosystems of the adjacent territory, and did not violate the park's protection regime.

Industrial environmental control is carried out by the Company in the territories of the developed fields located in the Nenets Autonomous Okrug. Due to the special vulnerability of natural tundra complexes, the control program has been expanded and includes an assessment of the species and quantitative composition of vegetation cover, soil mesofauna and soil mammals, mosses, wildlife, benthos. The monitoring results show that the area of activity is not subject to significant anthropogenic impact.

SPECIES AND POPULATIONS OF THE ANIMAL WORLD SUBJECT TO SPECIAL PROTECTION

18 bird species and 4 fish species listed in the Red Book of the Russian Federation, 2 mammal species listed in the Red Book of the Russian Federation and the Red Book of the Republic of Tatarstan such as the marmota bobak and the Russian desman, which are also in the Red List of the International Union for Conservation of Nature, inhabit the territory of the TATNEFT Group operations.

The location of production facilities outside the territories of the habitat of rare animal species, the implementation of environmental protection measures can reduce the negative impact on the environment and prevent the disappearance of rare animal species by supporting existing specially protected natural areas.

The Company, together with Ak Bars Hockey Club, continues to support the restoration and increase of the population of the "red book" snow leopard. Sailugemsky National Park in Altai is the only place in Russia where the symbols of Tatarstan — snow leopards — live. Installed camera traps help to record the habits of predators, their migration and the appearance of new individuals, and anti-poaching raids have reduced the number of facts of illegal hunting.

Educational and PR events aimed at increasing the awareness of the program and the level of environmental responsibility have been implemented jointly with the Sailyugemsky National Park. A children's book "The Mystery of the Missing Stick" has been published, where a separate chapter is devoted to the rescue of snow leopards in the Altai. The work has an important disciplinary and educational value, 10,000 copies of the book were donated to the children of the Company's employees.

In 2023, information cooperation and participation in antipoaching raids in the Altai Territory of the Saylyugemsky National Park will continue, as well as charity matches of Ak Bars Hockey Club in support of the conservation of the snow leopard population.

Since 2021, the Company has been providing voluntary insurance of environmental risks of a hazardous production facility - the oil treatment and pumping unit of NGDU Prikamneft, which is the closest to the Nizhnyaya Kama National Park and the Kama River

IMPLEMENTED MEASURES AIMED AT PRESERVING BIODIVERSITY

plan ting of va rious type s of tree d sh rubs s an	2.2 m ln pc s.
optim izatio n of the l ing a rea d ue to the layo ut of drill ing e quip t ogg men	11.6 ha
clea ning of th asta l stri f the Ste Zai Rive r fro inva sive plan t spe cies – Am erica ple w ith th e pla nting of e co ps o pnoy m an n ma tree s of loca l spe cies illow , lind en, b ird c herr y, et c. – w	50 h a
the a f cut d br ushw ood redu ced thro ugh the u f ins ulate d wi lines ning thro ugh tree rea o s an was se o res o n po wer run fore sted area s	79 h a
uncl aime d lan d plo ts re turn ed	1,86 9.6 h a
ratio n of distu rbed land resto s	1,39 0 ha
relea f fry of va luab le fis h sp ecie s, in clud ing y ster let, c silve p to the V olga , Kam a, Ku ibys hev rvoir se o oung arp, r car rese	262, 000 pcs.
haul of p ipeli ings over ne c ross	41 p cs.
dism antli f ina ctive pipe lines thro ugh wate r bod ies ng o	79 p cs.
haul of p ipeli tota l: over nes,	321 km
◎ of w hich with the of fib ergla ipes use ss p	146 km
ir of field join ts of pipe lines of th e PD D sy stem repa	164 k m
inati f ind ustri al sa fety of pi pelin exam on o es	5,28 7 km
ion o f pip eline de o f fibe rglas s pip truct cons s ma es	240 km
lining of m ud p its d uring wel l con struc tion and work over	m2 430 ,000

STOCKING OF RIVERS WITH YOUNG FISH, THOUSAND PCS

MILLION TREES

DYNAMICS OF FOREST PLANTATIONS BY THE TATNEFT GROUP (MILLION TREES PER YEAR)

202 2	2,2
202 1	7,8
202 0	2,0
2019	1,6
2018	1,4
2017	1,2
2016	1,1
2015	1,2
2014	1,3
2013	0,7

SUSTAINABLE DEVELOPMENT

LAND RESTORATION

The main task of the stage of completion of production activities is the environmentally safe completion of work and ensuring the restoration of disturbed areas. At the same time, a necessary condition for the liquidation stage is to ensure the conditions for the conservation of biodiversity in the zone of influence of the liquidated production facilities, as well as compensation/reimbursement for damage to disturbed biological resources.

It is mandatory to carry out measures to restore disturbed lands: technical and biological reclamation. Reclamation measures create conditions for the development of vegetation. Gradually, biotic factors begin to have a greater influence on species diversity. The applied methods of reclamation provide high rates of vegetation renewal. After reclamation, work is underway to return unclaimed land.

VOLUMES OF RECLAMATION OF DISTURBED LANDS, HA

DISTURBED LANDS RESTORED LANDS 1,503 ha ha 2022 2021 2020 865 930 2022 2021 2020 1,139 974

The Company's activities for the restoration of disturbed lands are regulated by the "Regulations on the Protection and Rational Use of Land and Forest Resources". In 2022, inorder to establish a unified procedure for the reclamation of disturbed lands at the enterprises of the TATNEFT Group, as well as to prevent the negative impact of disturbed lands on the environment, Instructions for the reclamation of disturbed lands and Guidelines for the creation of soil for reclamation were developed.

1,390

In the Company, a comprehensive approach is applied to the reclamation of lands affected during the construction and operation of facilities, taking into account the categories of land use, soil types, types of violations, and pollution. The Company's standards for the reclamation of lands affected during the construction and operation of oil field facilities, loss of piping integrity, the use of biotechnologies, and the preparation of reclamation projects have been updated.

The increase in the area of disturbed land is associated with an increase in drilling and construction of wells, as well as overhaul of pipelines.

ABANDONMENT OF OIL AND GAS FACILITIES

After the end of the cycle of operation of oil facilities, their dismantling and abandonment is carried out. The abandonment of hazardous production facilities is carried out in accordance with the approved technical documentation for abandonment, with the implementation of measures defined in the project to protect the environment, ensure the safety of the population, the removal and disposal of waste, reclamation and landscaping of the land after the abandonment of the facility.

At all wells, before well abandonment, production casing integrity survey is run,, behind-the-casing cross flows, gas seepage, leakage of casing strings are eliminated if any. At liquidated wells located on the lands used for agricultural purposes and on lands of non-industrial categories, the wellheads are deepened by at least 0.8 m from the surface, equipped with a plug mounted on a casing (intermediate casing). The plug is covered with a material that prevents its corrosion, and the wellhead is backfilled with soil. After the well is liquidated, the well territory is cleaned, contaminated soil is removed, pits, granaries, trenches are filled in, false fills are removed, waste and equipment are disposed, landscapes are restored on the territory of the well and the adjacent territory, land reclamation is carried out. The condition of the liquidated wells is monitored.

THE IMPACT ASSOCIATED WITH THE RIGHT TO OWN AND USE LAND AND NATURAL RESOURCES

To ensure interaction with local communities and other users on land use issues and advance information and communication of information to citizens (land users), the Company organizes the introduction of information about zones with special conditions for the use of territories (security zones and sanitary protection zones of production facilities) into publicly available information resources — public cadastral map, maps of municipal information resources of the Federal Register.

There have been no cases of forced relocation of local communities or individuals resulting from decisions taken within the framework ofland issues inthe Company's activities.

212

RESOURCE EFFICIENCY

GRI 302-1, 302-2, 302-3, 302-4

PRIORITY SDG

TATNEFT, as one of the largest participants in the energy market, conducts systematic work in the field of energy and resource efficiency. These concepts in the Company are combined in a closed cycle, including cost optimization, resource savings and their secondary use, energy efficiency improvement throughout the production chain.

The policy of the TATNEFT Group in the field of integrated management system is aimed at achieving common strategic goals in the field of rational use of natural resources involved

ENERGY EFFICIENCY

In accordance with the 2030 Development Strategy, the key guideline is the continuous improvement of energy efficiency, improvement of energy efficiency and energy conservation management processes in the implementation of all types of production activities; cost containment through the introduction of advanced innovative energyefficient technologies and rational use of energy resources; development, implementation, operation and continuous improvement of the Energy Management System that meets the requirements of ISO 50001-2018.

Uniform requirements for the energy management system are established by the standard "Energy Efficiency and Energy Conservation in the TATNEFT Group". The Company also imposes requirements for energy efficiency and energy conservation to the services, equipment and technologies supplied, which are taken into account in the technical requirements for equipment, in the directory of energy-efficient

SUSTAINABLE DEVELOPMENT

in production through the introduction of resource-saving and energy-efficient technologies, the use of environmentally friendly and alternative energy sources, waste recycling and the use of recyclable materials, the introduction of the best available technologies, equipment, materials, digital technological process management solutions.

equipment and technologies and other local regulatory documents. Informing suppliers about energy efficiency requirements is mandatory in the procurement documentation.

Improving energy efficiency is one of the main areas of adaptation to climate change, implemented by fulfilling the objectives of SDG 7 "Low-Cost and Clean Energy".

IMPROVING THE LEVEL OF ENERGY EFFICIENCY OF PRODUCTION

IMPLEMENTATION RESULTS:

45.2% INCREASE

OPTIMIZATION OF FUEL AND ENERGY RESOURCES CONSUMPTION, THOUSAND TONNES OF OIL EQUIVALENT

2021

115

EFFICIENCY OF THE ENERGY SAVING PROGRAM, %

167

INCREASING THE SHARE OF ENERGY GENERATED FROM RENEWABLE SOURCES

IMPLEMENTATION RESULTS:

PRODUCTION AND CONSUMPTION OF ENERGY FROM RENEWABLE SOURCES, TONNES OF OIL EQUIVALENT

10% INCREASE

CONDUCTING

OF PILOT OPERATIONS

Energy efficiency is one of the main principles of the Company's development. Since 2000, the Company has been implementing technical and organizational measures aimed at reducing energy consumption — Energy Efficiency and Energy Saving Programs. The current target program for improving energy efficiency and energy saving has been developed for a three-year period from 2022 to 2025.

214

SAVING OF FUEL AND ENERGY RESOURCES

UoM	2020		2021		2022	2023
		plann ed	l actua	plann ed	l actua	plann ed
actu al th nd to ousa nnes of oi l equ ivale nt	108	112	115	160	167	173
Fulfi llme nt of plan , %	-		102. 7		104. 4	-
RUB mln	728		846		1,241

In 2022, energy consumption savings amounted to 167,000 tonnes.

With a plan of 2.8%, the implementation of the energy saving program for 2022 amounted to 3.0%.

The most efficient saving areas are: oil and gas treatment, processing, transportation, oil and gas production technology, reservoir pressure maintenance.

Energy efficiency requirements are integrated into all processes that determine the life cycle of technological objects: design, construction, operation. The energy saving program includes more than 3,000 activities. A pool of innovative technologies has been formed in the perimeter of each business area, the implementation of which ensures the achievement of energy efficiency goals:

◎ in oil production — energy-efficient pumps for the processes of lifting well products, oil treatment and reservoir pressure maintenance systems using fiberglass pipes.

◎in oil and gas processing and petrochemicals — heat recovery systems of secondary energy resources, energyefficient pumping and compressor units.
◎ energy—efficient transformers, automatic reactive power compensation devices, heat networks made of composite materials, technologies for optimizing fuel combustion processes in boilers are used at the enterprises of the energy block.

The Company's strategy takes into account the role of renewable energy sources and their importance for a cleaner, low-carbon energy future. As part of SDG 7 task to increase the share of energy from renewable sources, the program "Development of renewable energy sources" is implemented, including investment and innovative projects on solar generation, wind and hydro generation, biofuel-based generation, deep heat utilization and other projects.

The strategic goal is to generate 900 MW of renewable energy by 2050

Of these, 650 MW (72%) are external projects,

250 MW (28%) - energy supply of the Company's facilities

Bringing the share of renewable energy capacity to 4% by 2030

FORECAST OF CAPACITY COMMISSIONING TO 2050

ENERGY CONSUMPTION FROM NONRENEWABLE

SOURCES

Desc riptio n of f uel an d ene es (F ER) rgy re sourc	UoM	2020	2021	2022
	thou sand KW h	5,18 0,87 4	7,16 2,49 9	7,87 8,417
Elec tric p owe r	GJ	18,6 52,6 74 4,06 17,00 5,96 8	25,7 87,10 8	28,3 64,6 24
	Gca l	1,473	8,74 2,30 6	8,64 2,55 2
Ther mal gy* ener	GJ		36,6 05,2 84	36,1 87,6 00
	f oil equi vale nt (T OE) tonn es o	3,36 2,06 0	3,64 2,14 7	3,77 4,09 8
Boile r and furn fuel, incl udin ace g	GJ	98,5 41,97 9	106, 329 751,	110,6 18,8 12
Natu ral g as	thou sand m3	1,92 6,47 0	2,27 0,36 0	2,08 9,53 7

* Thermal energy for super viscous oil production is included in the natural gas purchases.

The actual heat of combustion under standard conditions (calorific value) for each type of fuel was used to calculate the value of boiler and furnace fuel consumption in tonnes of oil equivalent (TOE).

216

215

GRI TCFD

ENERGY GENERATION FROM RENEWABLE ENERGY SOURCES

	2021	2022
Tota l ene rodu ction , ton of oi l rgy p nes equi vale nt	1,097 , 325	1,101 ,774
Pow tion, thou sand KW h er ge nera	1,732 ,601	1,807 ,671
Heat erati on, G cal gen	6,19 1,50 3	6,15 8, 09 9
Ener ation from wab le en gy g ener rene ergy tonn f oil equi vale nt sour ces, es o	1,146 .7	1,25 3.4
Shar e of r able eratio n, % enew energ y gen (from the t otal e prod uctio n of t he TA TNEF T nergy Grou p)	0.10	0.11

Investments in the amount of RUB 54.8 million were directed to the development of renewable energy projects.

In 2022, flow—through micro-hydroelectric power plants, wind generators, heat pumps at gas stations, a gas station heating system using a solar collector were put into operation.

ENERGY CONSUMPTION FROM RENEWABLE ENERGY SOURCES

Desc riptio n of f uel an d ene es (F ER) rgy re sourc	2020	2021	2022
Elec tric er, K Wh, incl udin pow g	1,10 2,19 6	1,09 3,76 7	715 ,996
Hydr er, K Wh opow	1,09 5,33 2	1,06 3,32 1	658 ,784
Sola kWh r ene rgy,	6,86 4	30,4 46	56,9 55
Wind kWh ene rgy,	-	-	257
Elec tric p r, GJ owe	3,96 8	3,93 8	2,57 8
Hea , Gc al, i nclu ding t en ergy	7,59 2	7,09 2	8,36 8
Pelle t fue l, Gc al	7,59 2	7,09 2	8,36 1
Low de h Gca l eat, -gra	-	-	7
GJ Heat ene rgy,	31,78 6	29,6 93	35,0 35

In 2022, renewable energy was not purchased from the outside.

VOLUME OF ENERGY CONSUMPTION, GJ

Name 2022Amount of energy consumed * 175,208,649The amount of energy consumed minus the realized electrical and thermal energy142,909,501

*The amount of energy consumed includes the consumption of electricity, thermal energy and boiler and furnace fuel from renewable and non-renewable sources.

Introduction of pellet heating equipment and solar power plants at the Company's gas stations continues. Currently, 330

By 2023, it is planned to achieve the volume of production from renewable energy sources ofatleast 1,491tonnes.

pellet boilers and 4

solar power plants operate.

Energy intensity is the ratio of total energy consumption in tonnes of conventional fuel to the cost of manufactured products under comparable conditions (prices in 2021).

of ultra—viscous oil production — 0.9%, due to changes in the basket of oil refining products, petrochemicals and other business areas — 2.9%.

The decrease in energy intensity in 2022 compared to 2021 amounted to 6.8%, including due to the measures of the energy saving program — 3%, due to a decrease in the share

In order to reduce greenhouse gas emissions, fuel and energy resources consumption and reduce technological losses, the following measures are being implemented:

◎ introduction of pipelines made of polymer materials

◎ application of a composition (chemical reagent) for the treatment of the internal surfaces of hot water pipes

◎ implementation of operational remote control systems

◎ introduction of reinforced polyethylene pipelines

◎ using a deaerator vapor to heat the source water

AMOUNT OF ENERGY SOLD

		Heat energ y	Elect ric po wer
GJ	tonne s of o il equiv alent	Gcal	GJ	tonne s of o il equiv alent	thous and K Wh
25,7 84,8 38	879, 728	6,15 8, 09 9	6,514 ,310	222, 256	1,80 9,38 2

ENERGY INTENSITY COEFFICIENT (SPECIFIC FUEL CONSUMPTION), TONNES OF OIL EQUIVALENT/RUB

GRI 3-3

The Company contributes to the development of state and local economies in the areas of its operation by creating high added value, providing jobs, attracting local suppliers and contractors, promoting the development of related industries and directs voluntary investments in the development of social infrastructure. The Company implements projects in the areas of health and healthy lifestyle, education, culture, sports for people of all ages, supports the preservation of the spiritual and national traditions of the indigenous population, and provides support to socially vulnerable groups in order to develop a favorable social environment and improve the quality of life for all, including inclusive opportunities, in the areas where it operates.

The Company is one of the largest taxpayers in the Russian Federation and the main taxpayer in the Republic of Tatarstan, providing a stable contribution to the state budget, which facilitates the implementation of the state social and economic policy. TATNEFT Group enterprises are city-building enterprises in most of the localities of the operating regions.

Recognizing the importance of social partnership between business and society for the sustainable development of the regions in which it operates, the Company follows the principles of high corporate responsibility, creating a stable economic infrastructure for the country and contributing to social

progress. The Company makes a significant contribution to creating favorable conditions and quality of life in the areas of its core business.

The Company strives to maintain the status of the best employer and the best partner both in its business activities and in its interaction with government agencies and administrations, educational, non-profit and public institutions, the local population and society in general, based on the following priorities:

◎ continuous improvement of the social infrastructure in the areas of operation
◎ensuring the development of a healthy lifestyle, supporting health care
◎ contribution to improving the quality of education at all levels
◎ development of the science and technology base and innovation infrastructure
◎ promoting a qualitative improvement in the living conditions of employees and the local population

INTEGRATED ANNUAL REPORT 2022

OPERATIONAL

LEVEL

THE BOARD

Development of activities, new areas of activity, support and control of the intended use of funds, evaluation of the effectiveness of social facilities in the following areas:

MANAGEMENT APPROACH

The Company has defined uniform social policy management processes for the entire TATNEFT Group.

Principles of social policy management:

Efficiency: The funds used to implement the programs should make a tangible contribution to solving the problems. The results of the programs are subject to regular evaluation and accounting.

Consistency: Social programs are regular and systematic

Significance: The Company strives to make its social programs as targeted, timely and responsive as possible to the pressing needs of society

Openness: The Company strives to develop and implement social programs based on dialogue and cooperation with stakeholders

PROMOTION OF SOCIAL DEVELOPMENT

222

The Board of Directors reviews the Company's social policy annually and plans to improve the level of management of social programs and expenditures to increase the efficiency of social investments. The Company establishes centralized management of social programs and expenses and introduces methods for selecting social initiatives based on goal setting, long-term planning and performance evaluation.

The Company's investment program is based on the expansion of activities, the development of new assets, the construction and modernization of production facilities, which is inseparable from the need to create a socially oriented and environmentally friendly infrastructure. Stable demand for the Company's products and services in the regions of operations creates sustainable opportunities for local business development, providing jobs and employment for the local population, including in related industries.

Together with local authorities, the Company implements projects to improve and develop the infrastructure of cities and towns, participates in the construction of socially significant facilities, and supports the development of education, health care, the cultural environment, the preservation of spiritual heritage, and sports. When creating social programs, the Company takes into account the social priorities of the state policy: the Concept for Long-Term Social and Economic Development of the Russian Federation and the Strategy for the Social and Economic Development of the Republic of Tatarstan.

During the reporting year, an internal model of social activity management was created, which allows for a systematic approach to addressing pressing public challenges in light existing federal and republican programs and increasing the efficiency of the Company's social investments.

SOCIAL INVESTMENTS, RUB MLN

PROMOTION OF SOCIAL DEVELOPMENT

Alloc ation of ex pens es	2020	2021	2022
Soc ial ex es (c ollec tive loan nts, nts, pens agre eme repa yme com pany anni aries .) , etc vers	458	784	1,26 2
Volu hea lth in volu life insu ntary ntary n-sta te sura nce, ranc e, no ion s chem pens e	523	351	883
Con tribu tions to th e Sta te H ousi ng F und	4,98 9	6,76 9	7,86 5
Cha rity	5,53 6	5,43 2	7,914
Con tribu tions to s ocia l fac ilities	642	3,38 6	1,494
Main tena of so cial f acilit ies ( heal th re sorts reati nce , rec on c amp s, leisu nters , etc .) re ce	2,76 7	1,69 2	1,783
Soc ial in ts (c apita l inve nts) vest stme men	1,54 2	1,051	1,524
Spo rts s rt uppo	3,72 8	3,93 8	4,16 6
Tota l	20,1 85	23,4 03	26,8 91

SOCIAL EXPENSES

VOLUNTARY HEALTH INSURANCE, VOLUNTARY LIFE INSURANCE, NONSTATE PENSION SCHEME

CONTRIBUTIONS TO THE STATE HOUSING FUND

CONTRIBUTIONS TO SOCIAL FACILITIES

MAINTENANCE OF SOCIAL FACILITIES (HEALTH RESORTS, RECREATION CAMPS, LEISURE CENTERS, ETC.)

SOCIAL INVESTMENTS (CAPITAL INVESTMENTS)

GRI 413-1

The impact of social investments on society is assessed through feedback channels (surveys, votes, etc.) and programs are adjusted as necessary.

The identification of key social impact assessment tools, as well as the collection of feedback and prioritization, including the possible involvement of sociologists and consultants, is implemented at the process level.

Effective communication channels have been identified, including:

◎corporate social media platforms (Telegram and VKontakte accounts)

◎ corporate media

◎ blogger communities

◎ press events with loyal media

◎ contests, activities during celebrations, etc. Today, there is an effective evaluation of TATNEFT's activities through digital platforms with surveys and various metrics that determine the level of audience engagement, the tone, the level of loyalty to the Company's projects.

The process of collecting feedback (satisfaction of beneficiaries, monitoring of social problems) is further developed by a full sociological research with collection of statistical indicators of projects (coverage and other metrics).

The geopolitical realities affecting the micro and macro environment around the Company and the risks associated with them make it impossible to use such an effective tool as the Public Councils to interact with the public. They have been suspended for 2022. If the situation recovers, the Company will return to holding them on an annual basis.

CHARITABLE FOUNDATION

SDG 1, 3, 4, 10, 11

THE GOAL IS TO DO GOOD

SOCIAL INVESTMENTS,

3.5

RUB BLN

2.8

In accordance with high standards and principles of corporate social responsibility, the Company makes significant social investments, which are implemented through the TATNEFT Charitable Foundation (hereinafter referred to as the Foundation). The scope of the Foundation's responsibilities is expanding every year, and the system of planning and accounting for funds allocated for charitable purposes is improving.

The amount of social investments channeled through the Foundation from 2020 to 2022 was 11.4 billion rubles, with more than 5.1 billion rubles in 2022. Additional donations from thirdparty legal entities and private patrons amounted to more than 200 million rubles.

In 2022, 42,500 people and 532 nonprofit organizations received charitable support. The Foundation held 572 events attended by more than 200,000 people.

2022

2021

2020

The Grant Competition is part of the large-scale work on social development of the region. The competitive approach helps tosystematize charitable activities, focus on issues of high social priority, and increase the transparency of decisions, including through social performance evaluation. The Grant Competition ensures equal access to co-financing for all districts and cities in which the Company operates. The grant program is implemented in four priority areas: Education, Health, Territorial Development and Culture. In 2022, 290 projects were implemented. The Company's social investments through the grant competition amounted to 1.4 billion rubles. Co-financing from other sources amounted to 1.03 billion roubles.

5.1 billion rubles in social investments of the Foundation >42,000 people received charitable assistance

Learn more about the grant program

The Energy of Good, TATNEFT contest of social initiatives, selects the best creative ideas and interesting proposals for solving urgent issues related to social, economic and cultural development of the region. In 2022, the Company awarded grants to authors of 121 projects for the total amount of 110 million rubles.

TATNEFT Charity Foundation is building a comprehensive system to identify and support talented children and youth through the Rukhiyat program. The program is aimed at promoting the cultural life of the oil region of the Republic, supporting young talents, publishing activities, working with

The Miloserdie program provided targeted assistance to veterans and people with disabilities, low-income families, foster children, orphan students, and people in difficult situations. Support was provided to socially oriented nonprofit organizations and medical institutions.

The Gifted Children program is aimed at supporting intellectually gifted students. Every year we organize school subject competitions, scientific, creative and engineering contests and conferences, as well as students' participation similar events in other regions of Russia and abroad. We also provide financial support for talented students from low-income

families, encourage talented students and their mentors when

they achieve high results, and finance programs and activities

students.

developing the intellectual potential of

The Tazalyk program is aimed at promoting physical education and mass sports among the Company's employees and the population of the south-eastern part of the Republic of Tatarstan, developing and supporting children's sports and talented athletes. More than 650 young athletes participated in competitions in various sports. With the support of the program, 360 young athletes participated in competitions

The following projects are also supported by the Foundation:

◎ Almetyevsk Street Theater Light Wings
◎ Academy of Digital Creativity
◎Almetrika Interactive Scientific and Educational Center
◎Information and exhibition space
◎ Animation School

of various levels.

aimed at

◎ History is made by people

Detailed information on the projects can be found in the Investing in Future Generations and Preserving Cultural Heritage sections.

writers and poets, artists and cultural figures. During the 26 years of the program, more than 250 titles of books were published with the total circulation of more than 440 thousand copies. Traditionally, the books published by the Foundation are donated to libraries, educational institutions, museums, nursing homes of Tatarstan, the Tatar Congress, health resorts and recreational centers of the Company, as well as to places ofcompact residence ofTatars inRussia and abroad.

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PROMOTION OF SOCIAL DEVELOPMENT

PROJECTS WITH PARTNERS

Together with Rusfond, TATNEFT is implementing a project to form the Volga Region Register of Potential Bone Marrow Donors (a program of targeted assistance to children in Tatarstan). Since its inception, the project has provided financial assistance to 75 seriously ill children with musculoskeletal, cardiovascular, neurological and autism spectrum disorders, etc.

A similar joint project is being implemented with Podari Zhizn Foundation, which provides targeted support for cancer treatment to children in Tatarstan. 47 Podari Zhizn Foundation mentees have been supported since the project's inception.

The joint project with the Gift to an Angel Charity Foundation for the first time implemented a unique School of a Special Parent Program for parents raising children with musculoskeletal disorders. Thanks to the expanded program for Almetyevsk, the project provided parents and guardians of children with cerebral palsy not only with an introduction to home physical therapy, but also with logopedic and psychological programs, methodological materials, and psychological support free of charge. In total, the project has helped 20 families since its launch.

From January to March 2022, a second joint project, Communication is Simple, was implemented to teach augmentative and alternative communication methods to children.

Aproject with the Science for Children Foundation. Thanks toinvestments in the Search for Molecular Genetic Markers for Early Detection of Tumor Predisposition research project, entire families can undergo genetic testing to identify disruptions or mutations that may later cause cancer.

To date, the project has provided assistance to 175 people from different regions of Russia, including ongoing medical and genetic counseling for 89 pediatric patients and their parents.

The company's Champion Club program launched the Good Deeds, Let's Help Together, campaign, in which concerned users of TATNEFT stations share their bonuses through the app for the benefit of special children. The collected funds will be used for rehabilitation and purchase of technical equipment.

The company pays attention to people with disabilities. Targeted charitable assistance is provided to people with disabilities and non-working pensioners, as well as to boarding homes to improve social and living conditions. Public utilities of the Russian Association of the Blind, Disabled and Deaf are regularly paid. Upon request, charitable assistance is provided to the public organization of veterans Battle Brotherhood, the Talgat Shaikhullin Rehabilitation Center, religious organizations and various sports clubs.

Since its inception, the Company has implemented initiatives to ensure the openness, safety, resilience and environmental sustainability of the cities and communities in which it operates. The development of social infrastructure, environmental protection and safety, provision of housing, heat and power supply, development of transportation and roads are an integral part of the Company's activities in the areas of operation.

Each year, the Company finances the construction, renovation, and repair of social infrastructure, provides resources and equipment, and implements targeted programs and projects in the cities and communities in which it operates.

In 2022, 6.9 billion rubles were allocated for the development of social and cultural spheres and public infrastructure, and 645 projects were implemented

	Cons truct ion, r ation enov and i nt mpro veme		Provi ding and resou rces equip ment		Imple ment ing ta rgete d nd pr oject progr ams a s

	Quan tity,	Amou nt,	Quan tity, p cs	Amou nt, RU B	Quan tity, p cs	Amou nt, RU B
	pcs	RUB		thous and		thous and
		thous and
Scie and educ ation nce	114	1,65 4,80 7	28	127,1 38	18	138, 445
Deve lopm ent o f cul ture and art, tion of tra ditio pres erva ns	33	1,047 ,467	40	96,8 72	119	599, 765
Hea lth	23	292, 523	42	565, 758	4	33,5 45
Spo rts a nd h ealth y life style	18	572, 637	24	101,5 80	21	136, 741
Mun icipa l infr astru cture	78	960 ,283	63	401, 196	20	146, 822

SCIENCE AND EDUCATIONTRADITIONS HEALTH 1.3 RUB BLN 197 FACILITIES PROVIDING RESOURCES AND EQUIPMENT AND SUPPORTING OPERATIONS

DEVELOPMENT OF CULTURE AND ART, PRESERVATION OF

28 FACILITIES

40 FACILITIES DEVELOPMENT OF CULTURE AND ART, PRESERVATION OF

42 FACILITIES

24 FACILITIES SPORTS AND HEALTHY LIFESTYLE

63 FACILITIES MUNICIPAL INFRASTRUCTURE

18 FACILITIES SCIENCE AND EDUCATION

119 FACILITIES DEVELOPMENT OF CULTURE AND ART, PRESERVATION OF

4 FACILITIES

21 FACILITIES

MUNICIPAL INFRASTRUCTURE

As part of the development of social infrastructure in 2022,

the following projects were implemented:

Almetyevsk

◎ Construction of the Industrial Square with the skatepark
◎ Renovation of the building for the children's art school
◎ Major repairs to the central mosque and construction of an annex (all but complete)
◎ Major repairs to School No. 1 (almost complete)
◎ Renovation and equipping of the veterinary center

Nizhnekamsk

◎ Construction of Engineering Lyceum No. 38 Vector
◎ Construction of emergency medical center
◎ Construction and equipment of Kindergarten No. 100 Eureka

Bugulma

◎ Major repairs to the House of Crafts

Leninogorsk

◎ Construction of the Neftyanik Ice Arena

Aznakayevo

◎ Construction of a civil registry office
-

the following projects are being designed:

Almetyevsk

◎
- ◎ Art gallery
- ◎ Perinatal center

Concert hall

◎ Sports center in school No. 5 Training arena in the Tennis City center
◎ Sports and shooting center
◎ Improvement of the public gardens and the banks of the city water reservoir
◎ Youth center, community center, Iske Elmet cultural center
◎ (as part of a project to create community centers and public spaces)
Nizhnyaya Maktama settlement
◎ Indoor swimming pool
◎ Cultural center
Nizhnekamsk
◎Indoor artificial ice rink (Taneco Arena)
Bugulma
◎ Children's school of arts
Aznakayevo
◎ Tennis center

measures were taken to maintain and develop municipal power supply facilities:

Almetyevsk

◎ Replacement and construction of heating systems
◎ Increasing the capacity of the boiler house of the central district hospital
◎ Construction of heating and hot water systems for residential buildings at the research center

Aznakayevo

◎ Construction of a cogeneration plant

Aktubinskiy settlement

◎Construction of heat and power supply systems
◎ Construction of an autonomous boiler plant and a steam boiler
◎ Replacement of central heating and hot water supply systems

PROMOTING AN INCLUSIVE ENVIRONMENT FOR PEOPLE WITH DISABILITIES

The Company strives to develop an inclusive environment for people with disabilities in the workplace and in the infrastructure of cities and communities. The Company is building ramps into administrative buildings and a number of manufacturing facilities to make them accessible to people with disabilities.

Work on the development of educational opportunities for people with disabilities, starting at an early age, is highlighted in a separate area. As part of the implementation of SDG 4"Quality Education", programs are being developed to support children, parents, teachers and educators to create conditions for the education of children with disabilities, including in remote settlements in the regions where the Company operates.

PARTICIPATION IN NATIONAL long-term

PROJECTS

Company by

As part of the goal of

and a favorable environment inthe region of operations, the Company participates in the National City Environmental Quality Index project together with the municipal administrations of the cities in the region. Each city has a target index depending on its position in the 2020 rating: the first three rating positions for Almetyevsk and Nizhnekamsk, the first five positions for Bugulma, Elabuga, Leninogorsk, and at least the 10th position for Aznakaevo, Bavlov, Nurlat. The cities must fall into the category of favorable urban environment in all sections of the rating (safety, life and health; infrastructure; social, cultural and business development; ecology). The measures are co-financed, among other things, by grants from the Company.

INTEGRATED ANNUAL REPORT 2022PRIORITY SDG

INVESTMENT IN FUTURE GENERATIONS

The Company implements a corporate social responsibility and sustainable development policy that transforms the results of its business activities for the benefit of society. The Company does not wait for government regulation, but acts proactively. As a client of the industry, we participate in the creation of professional standards, as we are interested in attracting responsible and professional employees.

For many years, the Company has been paying special attention to the training of future specialists, attracting students and teachers to participate in business projects. We improve the system of personnel training, including cooperation with

CONTINUOUS EDUCATION SYSTEM

The Company is a key participant in the scientific and educational cluster of the system of continuous multilevel vocational education for oil and gas personnel training.

vocational education institutions. Through the development of science, the Company opens new directions for the full cycle of business, science and production cooperation. Education, as the most powerful tool to change the world for the better, begins with the upbringing of personality from the early years, and TATNEFT takes an active part in the development programs of each educational level.

In order to achieve Sustainable Development Goal 4 "Quality Education", a portfolio of projects has been created that cover the educational environment of both the Company's employees and the entire population of the region in which it operates, including children.

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EARLY CHILDHOOD EDUCATION

The Company participates in projects to help kindergartens by providing funds for their renovation, repair and equipment, and acts as an organizer and sponsor of various educational programs.

"TATNEFT and Childhood. Dialogue with the Future" project is aimed at improving the quality of the educational environment in early childhood education institutions in the south-eastern part of the Republic. It is implemented in cooperation with the Child Development Laboratory of the Research Institute of Urbanism and Global Education at the Moscow City Pedagogical University.

In accordance with the objectives of the project, the educational environment in the kindergartens will be brought in line with the best international standards and an educational community of teachers, parents and children is being created around the goals and values of sustainable development and respect for the environment and people. Teachers are trained in 13 educational and partial programs, including programs in spatial modeling, language development, social play techniques, aesthetic and physical development of children.

series of workshops for teachers were held as part of the further vocational program "Evaluation and Development of the Quality of Early Childhood Education Using the ECERS Scales". Kindergartens are equipped with construction toys, sports equipment, teaching materials and children's books.

The peculiarity of the current project is the work of an expert team consisting of Almetyevsk kindergarten teachers and the availability of a coordinating center, which includes the heads of the city kindergartens.

Project coverage

21 early childhood education institutions in the seven districts of the south-east of the Republic that

1309 Early childhood education staff

families

have joined the project

2655 2-7-year old children and their

SCHOOL EDUCATION PROJECTS

The Almetrika Interactive Scientific and Educational Center is a unique museum creating conditions for the

and scientific space aimed at development of creativity in children and youth. More than 55 interactive exhibits make it easy to visualize the concepts of time, mass, length, current, light, temperature, amount of matter and energy. There are biology and chemistry laboratories. In 2022, the exhibition was visited by 14.5 thousand people, including 6 thousand children under 5 years old, more than 160 public workshops and 6 science shows, 13 holiday shifts, about 100 children attend science clubs.

The Academy of Digital Creativity

provides conditions for the development of creativity in children and youth to promote computer graphics and digital creativity. The Academy's educational formats include online courses, online podcasts, intensive sessions, and creative campuses. The Academy's portfolio includes 40 courses and 20 workshops attended by more than 2000 people. A comprehensive educational program was developed and implemented for the Summer Camp League 2022, including special children's projects to promote the Sustainable Development Goals.

The Company won the 4th Russian contest of the best environmental practices called "Reliable Partner — Ecology" in 2022. The project was recognized as the best educational environmental project.

Animation School А1002 is a unique project for

children to develop national animation, promote animation art, strengthen and popularize children's and youth animation, created together with Soyuzmultfilm Studios. The Animation School includes computer classes to teach 2D and 3D animation techniques, a mocap (motion capture) studio, a comic book zone, a mini-library, a recording studio, a mini-cinema, a photo studio, etc. 18 cartoons were created, and 125 students graduated from the school. As part of the Karakuz Festival, the school held the second Russian Outdoor Animation Festival (attended by more than 27,000 people). In 2022, the Animation School hosted the workshop of animators: Animators Community of Bazelevs. It is an international educational model for retraining actors into 3D animators. 30 people participated in the project, the best graduates got an internship in Khoja Nasreddin, the international animation project.

Caring for the Future: A Network of Unique School Biolaboratories for Plant Microcloning project. Students grow plants produced by microcloning in school laboratories. Students contribute to the restoration of biodiversity. The Company buys plantlets from schools to implement landscaping programs.

Eight school laboratories, two greenhouses and a botanical mini-garden are currently in operation. 267 students and 28 teachers are involved in the project, and 300,000 in vitro plantlets have been grown. In 2022, 80,000 trees were planted on an area of 200 hectares as part of the research.

Russian educational project #Oil_kitchen

Oil Kitchen is one of the projects of the Company's comprehensive program to improve education in the form of playful workshops on ecology and petrochemistry for children and seminars for teachers. Over 4 years, the project has developed and implemented nine unique projects for youth and teachers in Tatarstan, with a total of over 5000 participants.

Young Geologists Competition is an open republican competition organized by the Ministry of Education and Science of the Republic of Tatarstan, the Institute of Geology and Oil and Gas Technologies of the Kazan Federal University, PJSC TATNEFT and small oil companies of the Republic. The annual competition is aimed at popularization and promotion of young geologists' clubs as a form of supplementary education for the purpose of early career guidance. The 8th edition of the competition was attended by 36 teams from secondary schools, which are the basic places of geological movement of children and youth in Tatarstan. The total number of participants was 288 students.

TATNEFT Charity Foundation.

is supported by

PROMOTION OF SOCIAL DEVELOPMENT

234

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SUPPORT FOR SECONDARY SPECIAL AND HIGHER EDUCATION

The Company seeks to fill the shortage of personnel in the market and train qualified specialists. Trained personnel will meet the challenges of the oil industry and implement new technologies.

"We all want the Company to be sustainable for many years to come. We can achieve this only by developing science. That is why TATNEFT needs ambitious young people with a strong inner core, we want their work to remain not only in Tatarstan, but to benefit people all over Russia and the world".

N.U. Maganov, General Director of PJSC TATNEFT

Advanced Engineering School

The Advanced Biotechnological Engineering School isa project that has been supported by a federal grant. As part of the project, admissions to the Master's program inArtificial Intelligence in Biological Systems have already started this year.

The Advanced Engineering School will help train expert engineers and engineering team leaders for both high-tech companies in the real economy and scientific institutions, which may lead to the creation of trial versions of products and the opening of startups in the future.

In 2021, under the auspices of UNESCO, an agreement was signed on the establishment of the Regional Center of Mineral Resources Competencies in the Republic of Tatarstan. The Center will help attract representatives of the international academic community to the process of training mining specialists in Tatarstan and obtaining international professional certification by industry specialists.

The Higher Oil School is a research center that aims tocreate the synergy of university, industry and academic science to form a rich innovation potential for the needs of the entire Russian oil industry, as well as to ensure the competitiveness of national higher petroleum education among the world's leading educational and scientific centers.

With the Company's support, the Biotechnology Centre coordinated by the Company has been set up

to produce bioproducts integrated into Tatneft's production chains, such as biofuels.

The Company is building the campus of the Higher Oil School: a scientific and educational facility with all the necessary infrastructure, including laboratory and academic buildings, modern dormitories, residential quarters, two kindergartens, a cultural center, a sports center, and parking lots. The research building, the sports center and two dormitories have been completed and put into operation.

One of the elements of the educational system of the Higher Oil School is the Aktuba ecovillage. This project develops, tests and implements advanced technologies to ensure carbon neutrality.

30% INCREASE IN THE NUMBER OF FULLTIME AND MASTER'S STUDENTS IN 2022

The Federal Project "Advanced Engineering Schools" was created in 2022 on the initiative of the Ministry of Science and Higher Education of the Russian Federation and is aimed at training qualified engineering personnel for high-tech industries. It is one of 42 initiatives of the Government of the Russian Federation aimed at improving the quality of life of people and is implemented under the state program "Scientific and Technological Development of the Russian Federation".

School of Science Leaders

The concept includes identification of scientific leaders, support of initiatives and innovative project management. The participants' professional competence is enhanced by thematic lectures and master classes held by leading experts from Russian oil and gas universities. TATNEFT helps young scientists and post-graduate students to implement promising projects in artificial intelligence, big data, machine learning, modeling, energy-saving technologies and materials science.

The Vproekte program is a platform for implementing business projects in teams with the Company's key specialists. It is an environment that engages talented students and teachers, develops hard and soft skills, and applies accumulated knowledge in the workplace.

EDUCATIONAL

INSTITUTION

In 2022, the Vproekte program won awards in two categories at the Russian Youth Employment Best 200 UNIQUE PARTICIPANTS AND TEACHERS

7 RUB MLN

2,800

TASKS COMPLETED

PAID TO STUDENTS

Practices Competition: 1st place in the Best Digital Solutions for Measures to

2nd place in the Best Practices for Youth Engagement in Science and High-Tech Fields.

Promote Youth Employment,

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Hospitality School

The Company initiated the establishment of the Hospitality School at the Almetyevsk Technical High School of Economics and Trade. The decision to create the School was made due to the need for qualified tourism and service personnel both in Tatarstan and in Russia. Educational areas of the Hospitality School are based on high Swiss standards and the classical European school of hospitality. 15 tutors have been trained and certified and 4 educational programs have been updated.

With the support of TATNEFT, two classrooms and the dormitory of the Technical High School will undergo major repairs. The classrooms and laboratories will be equipped with modern equipment according to World Skills standards.

Federal Project "Professionalitet", where the Company acted as an industrial partner of the Almetyevsk Polytechnic College. The partnership agreement was signed in August 2022. The project is aimed at creating a flexible model of training qualified personnel in the secondary vocational education system in accordance with the real needs of the real economy.

The INTERNATIONAL PETROLEUM YOUTH FORUM is

held annually on the premises of TATNEFT. The Forum is a unique international platform created to unite and develop talented young people and solve urgent tasks of the industry. The events of the Forum are aimed at developing project work skills on the most topical problems of the oil and gas industry. Such events help to identify promising personnel who are then offered employment with the Company. The Forum is attended by university representatives and young oil and gas industry specialists under the age of 35 from Russia and neighboring countries.

The Professionalitet project is listed among the strategic initiatives for socio-economic development of the Russian Federation until 2030.

SDG POPULARIZATION

Educational projects

TATNEFT SDG Envoys

Environmental shifts at summer camps

Environmental projects at summer camps

Looking for a Carbon Footprint

Competitions and initiatives

Competition on separate waste collection

Ecological field expedition to study the flora and fauna of the south-eastern part of Tatarstan

Support of the Russian Wintering Bird Census in the southeastern part of Tatarstan

110 projects supported by TATNEFT CF

Creating a developmental environment

Almetyevsk Ecologization

Annual contract to grow cloned plantlets in school laboratories
Creation of a botanical garden at the secondary school No. 2 in Aktubinskiy settlement

>300 volunteers from among students and young workers

238

237

PROMOTION OF SOCIAL DEVELOPMENT

FORMATION OF AN ENVIRONMENTAL "SCHOOL-UNIVERSITY-SOCIETY" MINDSET

The Company takes a leading role in shaping environmental culture by actively participating in improving the ecology of cities in the region: building parks and squares, improving streets and avenues, and providing municipalities with vacuum cleaners, street flushers and snow blowers. The Company pays special attention to educating the younger generation and promoting environmental thinking.

The Company is interested in improving the environmental situation in the region, tries to instill interest in this topic and supports educational institutions. Contributing to preuniversity education has a positive impact on the education of the future generation.

To communicate the Sustainable Development Goals to the younger generation, the corporate volunteer program TATNEFT SDG Envoys, was launched, in which young employees of the Company as well as students carry out educational activities. The Company volunteers give lectures on the topic of "The Most Important Lesson in the World," which program provides for cultivating husbandry towards nature, responsible use of water resources, and important principles of social communication. The main challenge for 2023 is to share knowledge about the Sustainable Development Goals with schoolchildren, reaching 100,000children.

The educational study "Looking for a Carbon Footprint" for schoolchildren in Tatarstan was launched. The project will allow children to independently study climate change and the impact of greenhouse gases on it, to realize their own role in the preservation of the ecosystem of the entire planet. A bot assistant and a website with the results of calculations were created. An educational talk show "Schoolchildren Also Have Something to Say" was held and broadcast in the Recommendations section of the VKontakte platform.

DISTRICTS OF THE REPUBLIC OF TATARSTAN 159. TEACHERS

POPULARIZATION AMONG YOUNG PEOPLE

Educational projects

SDG training through youth forums

Corporate University environmental courses

Fundamentals of Energy Efficiency and Energy Saving course in all fields of study

Projects and initiatives

PROMOTION OF SOCIAL DEVELOPMENT

33 initiative projects were supported in the TATNEFT-ECO and TATNEFT-Dobro categories

Eco-rafting on the Steppe Zay River

Volunteer events and clean-up days

Energy watch by students

Energy audit of the field infrastructure facilities by students

81 VOLUNTEERS 72,000 CHILDREN 2,650 STUDENTS 1,049 SCHOOLS 400 LESSONS

POPULARIZATION AMONG THE ADULT POPULATION

Educational projects

Sustainable Development Management module of EMBA and MBA programs for top management

Targeted Energy Saving and Energy Efficiency training program for key business area specialists

Environmental module as part of the TATNEFT-Master-2030 target educational program

Distance learning courses for all employees:

− Climate Agenda, Sustainable Development Goals and the Company's Climate Position
− Assessment of the Environmental Impact of the Activities of Energy Companies, etc.

Projects and initiatives

Environmentalist Day event

Eco-rafting on the Steppe Zay River

Participation in voluntary clean-up activities

Fish stocking in rivers

Restoration of popularization of the Red Data Book irbis, etc.

PRESERVATION OF CULTURAL HERITAGE

Art, which speaks about the most important human values, fits harmoniously into the life of cities and forms their cultural code, bringing the development of the urban environment to a completely new level of quality. Using the language of art, the Company creates its own cultural code based on respect for our traditions, values and national characteristics, while combining them with modern, high-tech, environmentally friendly and responsible business principles. In this way, we instill respect for our roots, love for our homeland, sensitivity to beauty in all its manifestations, and the preservation ofour historical and cultural heritage.

CULTURAL PROJECTS OF THE COMPANY

Tales of the Golden Apples is an art project for the improvement and development of the urban environment (public art) of Almetyevsk. The public art program has been running since 2017 and was completed in 2022. Within its framework, TATNEFT, Nov Bureau and Street Art Research Institute (Saint Petersburg) designed and created unique art objects in the city. The concept of the program is to combine monumental murals of buildings, sculptures, media installations, landscape and architectural solutions. All objects weave reality and magical folklore into a single urban space. Since the beginning of the program, the oil capital of Tatarstan has been enriched by almost four dozen pieces of street art created by a team of artists from all over the world. More than 100 events of various kinds have been held. As part of the project, a series of guided tours have been organized, each of which reveals a new side of the city and the art on its streets.

Now the project will be continued by local talent. For this purpose, the Company is creating Open Workshops, a unique art space where residents will be able to create their own art. The creation of the residence for artists and artisans successfully reveals the theme of the final season of the public art program, which is called Care. This is a metaphorical transfer of all that has been done in the project to the residents of the city, who will now continue to take care of its beauty and aesthetic content.

The TATNEFT Charity Foundation carries out various projects to study and popularize the little-known musical heritage ofour region, torestore old instruments and musical works

Remembering our history, remembering our roots, knowing where we come from

of the peoples of the Volga region. An important element in the development of culture has also become the organization of concerts of prominent Russian artists.

The Information and Exhibition Space

project is an educational center and a platform for communication between different groups, playing an important role in the formation and development of the cultural identity of the region, transmitting its symbols and values to visitors and residents of the city. There is an exhibition of musical instruments of the peoples of the world. The collection consists of musical instruments of large and small ethnic groups, peoples living in different countries and includes the largest classified collection of pan-Turkic instruments in Russia. More than 3,400 people visited the exhibition of musical instruments in 2022.

The Kadim Almet project, organized at the exhibition of musical instruments of the peoples of the world by 16 musicians and vocalists, revives authentic music and root culture. The debut album of the group won the Russian ethnic music prize Russian World Music Awards 2022 in the Best Authentic Project category.

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Besides Kadim Almet, another project is developing: the Karlygach ensemble. It was created at the Children's Music School No. 2 in Almetyevsk. The ensemble is a laureate of regional, Russian and international competitions.

Tatneft Music Art is a cultural project of TATNEFT Charity Foundation, which introduces a series of free concerts of professional and student creative groups of the Republic of Tatarstan, where you can get acquainted with classical music, world cultural traditions, instrumental performances.

The Cultural City Environment project has been implemented since 2016. Since then, 9 cities in the south-east of the Republic have participated in the project. Professional and amateur art groups, writers and poets, ensembles, artists, dancers, athletes and popular guest actors of the Republic perform at the project sites.

TATNEFT Charity Foundation supported the creation of the social theater Inclusion. School, which provides an opportunity for "invisible" people to engage in creative work: troubled teenagers, pensioners, people with disabilities, etc. The theater is an inclusive platform where theater professionals from Tatarstan and Russia create and perform contemporary theater performances together with local people. People with disabilities are trained in the theater studio. Professional actors and students take part in the classes as volunteers.

Almetyevsk Street Theater Light Wings is the first

professional street theater in the Republic of Tatarstan. It was created to develop the art of street performance using the traditions of the Russian and Tatar theater schools and to train street performers. The Light Wings Theater is the organizer of the 2nd Street Theater Festival Light Wings held in July 2022 with the support of the TATNEFT Charity Foundation and the Presidential Fund for Cultural Initiatives. Every year, the team of the theater takes part in international and Russian festivals of street art.

Karakuz Ethnocultural Festival

he Company contributes to the preservation and strengthening of the culture of the multinational population of the Republic, revives centuries-old traditions of fairs and street performances, creates a favorable atmosphere for selfrealization of talented, creative people and groups. The cities of the south-eastern part of Tatarstan for the second year in a row held a large-scale ethnocultural festival Karakuz. >65 thousand people participants and audience

History is Made by People project

The project is aimed at preserving the historical truth about the formation and development of the oil industry of the Russian Federation and the Republic of Tatarstan, perpetuating the memory of the veterans of the Company, service enterprises, related industries, the public sector, who made a significant contribution to the creation and development of the fuel and energy complex of the region and the Republic, to the development of our region. More than 2000 video interviews with veterans in the Republic of Tatarstan, Moscow, Samara and Togliatti were organized and conducted as part of the project.

In 2022, the Project for Digitization of Old Manuscripts with the Status of a Book Monument was launched. The main objectives are to provide for the preservation of historical and cultural heritage in the regions of the Company's operations and to facilitate the introduction of modern technologies in the archival business. The project to study, catalog, digitize and make available on the Internet Arabic books and manuscripts from the collections of the Lobachevsky Scientific Library of the Kazan Federal University and the Institute of Oriental Manuscripts of the Russian Academy of Sciences has involved the digitization of more than 5000 Arabic manuscripts. The total volume of manuscripts to be digitized is estimated at 30,000.

TATNEFT Search Team

The team was created on November 28, 2015 and is a structural subdivision of the regional youth organization "Association "Fatherland" of the Republic of Tatarstan of the Russian public movement "Searching Movement of Russia". During the whole period of its activity the team conducted search expeditions in Novgorod, Leningrad, Kaluga, Rostov, Tver, Murmansk and other regions, Krasnodar Territory, Republic of Karelia, Republic of Crimea and Republic of Belarus. Participants of the team have recovered the remains of 305 Red Army soldiers, the names of 51 soldiers have been established. The Museum of the Glory of the Battle was created in the school of Almetyevsk No. 25, where the exhibits found in the places of former combat operations are exhibited. In 2022, the team studied and analyzed more than 500 files in the Central Archive of the Moscow Region of the Russian Federation.

Oil Museum

The history of the formation and development of the oil industry in Tatarstan is preserved by the Oil Museum Group created by the Company. It includes two museums located in the Leninogorsk district: in Leninogorsk and in the village of Shugurovo. The first oil museum of the USSR was established on October 1, 1968 in Leninogorsk, the homeland of Tatarstan oil. The museum reverently chronicles the history of oil, reflecting its brightest and most significant pages. The open-air museum with expositions tells about the history of creation and development of the first large industrial enterprise, the Shugurovsky oil-bitumen plant.

INTERACTION WITH LOCAL INDIGENOUS PEOPLE LIVING A TRADITIONAL LIFESTYLE

GRI 3-3, 411

The Company adheres to the principles of rational use of natural resources, preservation of a favorable environment, ecosystems and biological diversity of systems, preservation of historical and cultural heritage sites and prevention of environmental damage caused by economic activities in the areas of traditional nature management of indigenous peoples and small-numbered peoples living in the areas of activity.

Limited impact is achieved through the adoption of energyefficient technologies, the use of green and alternative energy sources, waste recycling, and the use of recyclable materials. The Company does not operate in places of ancient settlements, monuments of history and culture, places of worship, ancestral burial grounds and other objects of historical and cultural value.

The Company has the TATNEFT Group Policy on Interaction with Local People Living Traditional Lifestyles, Preservation of Ecosystem of Traditional Nature Management Areas and Traditional Lifestyles of Local People Living in the Areas ofTATNEFT Group Activities.

The main mechanisms of implementation of the Policy are:

◎ Conclusion of agreements on participation of the Company in socio-economic development of the region with the administrations of the constituent territories of the Russian Federation and municipalities in the areas of traditional residence and traditional economic activities of small-numbered peoples of the Russian Federation;
◎ Informing, consulting, organizing feedback channels, cooperation with public organizations of small-numbered peoples

The interests of indigenous and small-numbered peoples are affected by geological exploration and the construction of winter roads in areas traditionally used for reindeer grazing. In its activities, the Company enters into a reimbursable agreement to establish a private easement on a land plot (when temporarily occupying land plots for reindeer grazing). Environmental and subsoil monitoring at the Company's license areas in the Nenets Autonomous District is carried out annually. According to soil and water indicators, the environmental situation in the monitored areas in2022is acceptable, almost clean.

The Company provides charitable support for sporting events held among the local indigenous population.

In 2022, there were no conflicts with the indigenous population and no cases of violations affecting the rights of indigenous and small-numbered peoples.

Position of the Company with respect to interaction with local indigenous people living a traditional lifestyle

PROMOTION OF SOCIAL DEVELOPMENT

HEALTHY LIFESTYLE

GRI 403-6, 403-7

The Company cares about the health of its employees and the inhabitants of the regions where it operates and invests significant efforts and resources in a healthy social infrastructure.

In order to implement SDG-3, the Board of Directors of TATNEFT has developed and approved a program aimed at creating conditions for providing affordable and quality medical care, introducing innovative technologies of preventive medicine and, as a result, reducing the incidence of diseases. In order to achieve this goal, a roadmap has been developed, which includes projects aimed at providing quality medical care and preventive measures not only to the employees of the TATNEFT Group, but also to the inhabitants of the regions where the Company operates.

Each year, the Company finances the construction, repair, and strengthening of the resource base of health care institutions in the regions where it operates, equips them with advanced medical equipment, and pays for apartments for visiting physicians. The main focus of current projects is the modernization, equipment and systemic transformation of the work of 32 corporate health centers, which should improve the availability and quality of medical care.

The Company has created a system of high-tech medical assistance at the medical unit in Almetyevsk.

The maternity hospital with perinatal center, which is being built by the Company, will be integrated with the medical unit, which will improve the quality of medical services and allow to create a multi-level system of medical care with the involvement of narrow specialists, close cooperation and interaction between medical facilities.

TATNEFT invests significantly in improving the resources and equipment of the Almetyevsk Oncological Center. Thanks to the purchased modern equipment, created conditions and training of medical staff, the detection of cancer in its early stages can be significantly increased. The Palliative Care Center is also supported.

As part of the national Health program, a geriatric center was opened in the village of Shugurovo, Leninogorsk district, Tatarstan, with the support of the Company's grant. The interregional geriatric center is engaged in research, prevention and treatment of age-related diseases. This type of care is aimed at multiprofessional treatment and rehabilitation of frailty syndromes.

The established system for the prevention and treatment of infectious diseases for employees includes:

◎ monitoring and prevention of the increase in the early stages of acute respiratory infections, pneumonia and COVID-19;
◎ monitoring and prevention of the increase in the early stages of acute respiratory infections, pneumonia and COVID-19;
◎ vaccinations;
◎ monitoring of seriously ill employees;
◎ monitoring the stages of hospital and health resort rehabilitation of seriously ill employees, which allows to reduce the mortality rate.

In order to prevent occupational accidents, preventive measures are taken to explain the need to observe the principles of a healthy lifestyle, nutrition and a rational work and rest regime.

Control of compliance with occupational health and fire safety rules has been strengthened, especially during weekends, holidays and the first and last days of the week.

The Company continues to focus on improving the health and longevity of its employees, their families and the community at large by promoting healthy lifestyles and implementing existing programs.

PRIORITY SDG

REDUCTION OF THE NUMBER OF TEMPORARY DISABILITY DAYS BY 25% BY 2025 AND BY 50% BY 2050

IMPLEMENTATION RESULTS:

SPECIFIC RATE OF TEMPORARY DISABILITY PER 1000 EMPLOYEES, DAYS

REDUCTION IN THE FREQUENCY AND SEVERITY OF OCCUPATIONAL INJURIES BY 30% BY 2025*

IMPLEMENTATION RESULTS:

* The increase in the number of accidents is due to the addition of service assets to the TATNEFT Group, the operation of which is associated with a high risk of occupational injuries and accidents.

244

243

PROMOTION OF SOCIAL DEVELOPMENT

SPORTS SUPPORT

For many years, the Company has been developing a culture of healthy living. Sports programs play a particularly important role. Participation in corporate sports events develops the sports movement and gives employees the opportunity to demonstrate their achievements.

The Company supports various sports competitions: boxing, wrestling, tennis, badminton, swimming, volleyball, karate, figure skating, acrobatics, skiing and other sports. In the reporting year, more than 1400 people from 39 enterprises of the Company located not only in the south-eastern part of the Republic of Tatarstan, but also in Moscow, Togliatti, Kazan and Cheboksary took part in competitions in 11 sports. The Company also supports children and youth hockey, boxing, wrestling, swimming, volleyball, karate, figure skating, skiing, acrobatics, table tennis and kickboxing.

The sports facilities built by the Company become the favorite recreation places of the employees of the oil region, city residents and guests. In 2022, the ski resort of TATNEFT PJSC was visited by 50,531 people. In the winter season of 2021-2022, the ice skating rink for residents and guests of Almetyevsk was visited by 41,022 people.

GREEN TRANSPORT

The Company creates conditions for the development of green transportation infrastructure in the oil region. One of the most striking and successful examples of ESG investments is the construction of bike paths. Thanks to the financial support of TATNEFT, the project was launched in the spring of 2016. Today Almetyevsk holds the title of the bicycle capital: the most extensive bicycle network in Russia has been built and is actively operating. The city has also purchased several hundred bicycles for the bikeshare service. There are plans to extend this positive experience to other cities in the oil region.

COMPARISON OF SPECIFIC LENGTH OF BICYCLE NETWORK KM (BIKE PATHS) / KM2 (TOWN SQUARE)

DEVELOPMENT OF EQUESTRIAN SPORTS

The Company has adopted a program for the development of equestrian sports, which includes the development of infrastructure in all equestrian schools and the organization of regular competitions. The Organization of Equestrian Sport Competitions in the South-Eastern Part of the Republic of Tatarstan project includes annual competitions in Olympic equestrian sports (jumping and dressage) and competitions in testing trotting and racing horse breeds (running and racing).

In 2022, the Kentavr Equestrian School (Elabuga) underwent a large-scale reconstruction: a new modern arena with an administrative building, a summer stable, a training barrel, a horse walker and paddocks were built.

Equestrian facilities: —3 equestrian schools—stud farm

—horse training facility

The Green Fitness project started in Kazan in 2015. In 2016, Green Fitness was launched on a large scale in Almetyevsk with the commercial support of TATNEFT. Now the project has expanded its boundaries and is working all over Tatarstan.

At Green Fitness, people of all ages can do dance exercises, yoga, Zumba, and other activities in multiple locations at the same time. The advantage of these classes is that they are held outdoors and the outdoor areas can accommodate many people. The classes are led by professional instructors.

THE PROJECT IS IMPLEMENTED AS PART OF THE FEDERAL PROJECT "SPORT IS A WAY OF LIFE", WHICH AIMS TO INVOLVE THE POPULATION IN PHYSICAL EDUCATION.

TATNEFT considers it important to take care of the physical and mental health of its employees, consciously investing in this area and considering it as its main asset. Now, thanks to the personal initiative of the General Director of the Company, the employees of the Company have the opportunity to devote their time to the practice of Qigong in Almetyevsk.

As part of the Active Longevity rehabilitation program, 10 Active Longevity centers for the elderly were opened in the south-eastern part of Tatarstan on the initiative of the Company. The centers are equipped with unique training equipment that works in a gentle mode with loads specially selected for the elderly. Exercises for the elderly are used as a key element of active longevity and are aimed at strengthening physical strength, reducing the risk of injuries in everyday life, reducing the risk of diseases and improving the quality of life.

ORGANIZING CHILDREN'S VACATIONS

The Summer Camp League is a project that unites 10 children's recreation camps of the Company with one idea, one goal, and one team. Great attention is paid to children's recreational programs, which are aimed at the all-round development of a child. During the holidays, the children are taken care of by qualified teachers, tutors who conduct various cognitive and educational activities. The Summer Camp League of TATNEFT Group provides high-quality organization of children's recreation and health improvement, and ensures the all-round development of the younger generation. The program is based on the unified methods of organizing and conducting shifts in various areas (creative, linguistic, environmental, sports, scientific and technical, military and patriotic), based on the values of the Company. In order to involve children in communication with horses and equestrian sports, as well as to provide hippotherapy, these camps have mini stables for keeping ponies. In 2022, there were 10,811 children on vacation.

In 2022, the Company implemented an environmental education program for children at children's health camps with more than 11,000 participants. The comprehensive educational program includes projects that promote the Sustainable Development Goals. In addition to the children of employees of the Company and other commercial organizations, children of employees of government-funded organizations have the opportunity to spend their vacations at summer camps, with the cost of the camp vouchers partially covered.

HEALTH RESORT THERAPY

The Company has 8 health resorts. They are based on an integrated treatment approach and the use of modern rehabilitation techniques. There are rehabilitation programs developed for the treatment of viral pneumonia, cardiovascular diseases, and disorders of the musculoskeletal, peripheral, and central nervous systems.

In 2020-2022, 5000 employees of TATNEFT Group working in harmful and (or) hazardous production factors rested and improved their health in health resorts. The Company's expenses for health resort therapy amounted to 445.4 million rubles.

Five resorts have licenses for medical rehabilitation of patients with diseases of the central nervous system, endocrine system, somatic diseases, lung diseases, peripheral and central nervous system. In 2021-2022, 647 people received rehabilitation treatment in the health resorts.

The Company's health resorts also provide treatment for welfare recipients, children, and individuals who require 1,783 rehabilitative treatment as prescribed by a physician.

SUPPORT FOR DEVELOPMENT INITIATIVES

GRI 2-23, 2-28

◎

Protocol

Since 2019, the Company has been a member of the UN Global Compact, which has committed itself to the 10 principles and 17 Sustainable Development Goals.

◎

◎

◎

HUMAN RIGHTS AND LABOR RELATIONS

The Company adheres to and shares the principles of fundamental international declarations and conventions in the field of human rights and labor relations, including:

◎ UN Universal Declaration of Human Rights
◎ UN Environment and Development Declarations
◎ OECD Guidelines for Multinational Enterprises

In its activities, the Company takes into account

and supports several fundamental initiatives in the

Standard and recommendations of the Greenhouse Gas

ENVIRONMENT AND CLIMATE

environment and climate safety:

of the International Labor Organization (ILO)
◎ ILO Convention No. 87 Concerning Freedom of Association and Protection of the Right to Organize

Declaration of Fundamental Rights and Principles at Work

◎ ILO Convention No. 98 Concerning the Application of the Principles of the Right to Organize and Collective Bargaining
◎ ILO Convention No. 111 Concerning Discrimination in Respect of Employment and Occupation
- Setting Science Based Targets to reduce greenhouse gas emissions
Oil and Gas Industry Climate Initiative (OGCI)
◎Recommendations for companies to disclose information on financial risks arising from global climate change (TCFD)

ANTICORRUPTION ACTIVITIES

The Company adheres to the principles and norms contained in the following documents:

◎ The United Nations Convention against Corruption (adopted by the UN General Assembly Resolution in New York on October 31, 2003)
◎ The Convention of the Organization for Economic Cooperation and Development on Combating Bribery of Foreign Public Officials in International Business Transactions (adopted in Istanbul, on November 21, 1997)
◎ Criminal Law Convention on Corruption (concluded in Strasbourg on January 27, 1999, ETS No. 173)
◎Anti-corruption Charter of Russian Business community

SOCIAL CHARTER OF RUSSIAN BUSINESS COMMUNITY

The Company adheres to the responsible business principles defined by the Social Charter on Responsible Business, covering aspects of economic and financial sustainability, product quality, respect for human rights, business ethics, and relations with partners, consumers, employees, environmental safety, participation in the development of the local community.

GRI TCFD

MEMBERSHIP IN ASSOCIATIONS

The Company enters into partnerships and participates in industrywide associations in order to constructively interact with international organizations, government agencies and other industry players and to elaborate the stance on key issues of the fuel and energy sector.

PARTNERSHIPS FOR SUSTAINABLE DEVELOPMENT

INDUSTRYWIDE ASSOCIATIONS

◎

Since 2022, the Company has been a member of the Artificial Intelligence in Manufacturing association in the format of a public private partnership to implement projects for more efficient wellbore intervention processes.

◎

Since 2022, together with the Industry Center for Competencies in Robotics and a number of industry partners, it has taken measures to create a non-profit organization to coordinate the development and implementation of robotics solutions for the fuel and energy sector.

◎

Since 2021, it has been a party to the agreement with the Ministry of Energy of Russia to create new production facilities for deep processing of crude oil, which makes it possible to increase the recoverable excise tax by the investment surcharge.

◎

Since 1994, the Company has been a member of the Union of Oil & Gas Producers of Russia, which initiated the industry reform, a tougher regulation of the fuel and energy sector, changes in legislation, and government decisions.

◎

Since 2003, it has been a member of the Russian Union of Industrialists and Entrepreneurs (RSPP). The Company plays a role in RSPP committees engaged in creation of the regulatory framework.

◎

Since 2003, the Company has cooperated with the non-profit partnership "Mining Companies of Russia".

Since 2010, the Company, in collaboration with the trade union organization, has been cooperating with the All-Russian Industry Association of Employers of the Oil and Gas Industry.

◎

Since 2011, it has participated in the working group under the Ministry of Energy for monitoring the production and consumption of oil products in the Russian Federation, regulating prices for oil products and ensuring stable and uniform supply of petroleum products to the domestic market of the Russian Federation.

◎

Since 2011, the Company has been a member of the Chamber of Commerce and Industry

◎

Since 2014, it has been a participant in the Council of Consumers for Natural Monopolies, which operates as a communication platform of PJSC Transneft and its buyers.

◎

Since 2015, it has been a member of the working group under the Ministry of Energy for monitoring oil quality, which was forged to stabilize the quality of oil in main oil pipelines.

◎

Since 2022, it has been a member of the Technical Standardization Committee "Capture, Transportation and Storage of Carbon Dioxide' under of the RF Ministry of Energy.

FORWARD-LOOKING STATEMENTS

Information disclosed in this Report contains some forwardlooking statements. Such statements include, inter alia, plans, tasks, and forecasts of production, including those relating to the output, products, and services, economic, and financial indicators, information concerning anticipated or expected income, profit (loss), net profit (loss) in respect of shares, dividends, capital structure, and other indicators and ratios as well as statements concerning the prerequisites, on which we base our statements. All statements, other than statements of historical facts, are or may be considered forecast statements.

Forward-looking statements are statements of future expectations that are based on the management's current expectations and assumptions and include known and unknown risks and uncertainties that could cause actual results, performance, or events to differ materially from those expressed or implied in these statements. Forward-looking statements include, inter alia, statements regarding the Company's potential exposure to market risks and statements expressing the expectations, beliefs, estimates, forecasts, projections, and assumptions of the management. These statements are accompanied by the wordings "is expected," "intends," "is planned," "will," "strives," "is projected," "is forecast," "ambition," etc.

Due to their specific nature, the statements about the future are subject to inherent risks and uncertainties, both general and specific. There is a risk that future actual results may differ materially from plans, goals, expectations, estimates, and intentions expressed in such statements or may not

be realized due to several different factors of economic, financial, political, social, legal aspects that are outside of the Company's control, including factors that may affect future operations of the Company.

Forward-looking statements cannot serve as the grounds for any investment decisions. Each forward-looking statement is only relevant on this Report date. Neither the Company nor any of its subsidiaries undertake any obligation to publicly update or revise any forward-looking statements based on new information, future events, or other information. Due to rounding the calculated indicators, the Report text may contain errors in the calculation of shares, percentages, amounts — except for financial statements. The data presented in this Report may differ slightly from the data published previously due to the difference in rounded figures.

PUBLIC ASSURANCE OF THE REPORT

The purpose of public assurance of the Report is:

◎ Promoting public recognition of the results of business practices in the field of sustainable development, which information is contained in the corporate report;
◎ Increasing the level of confidence of the Company stakeholders in the information contained in the Report;
◎ Assistance in developing the nonfinancial reporting process in the Company.

The subject of public assurance is the significance and completeness of the information disclosed in the Report on the results of activities in the field of sustainable development. Information that reflects the Company's activities implementing the Principles of Responsible Business Practice is considered significant. Completeness of information assumes that the Company represents a set of characteristics of sustainable development activities — values and strategic benchmarks, management system and structure, interaction with stakeholders, performance results, performance indicators.

LIMITED LIABILITY INDEPENDENT AUDIT REPORT

The purpose of certification (verification) of environmental and climate indicators by an independent auditor is:

— Diagnostics of the system for collecting and recording data on environmental indicators and greenhouse gases of the Company;
— Audit and independent assurance of key indicators for ecology and greenhouse gas emissions;

When conducting public assurance of the Report and assurance of environmental and climate indicators, an assessment of qualitative and quantitative information is used, which is disclosed in the Sustainable Development Report.

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REPORT ON COMPLIANCE WITH PRINCIPLES AND RECOMMENDATIONS OF CORPORATE GOVERNANCE CODE

STATEMENT OF THE BOARD OF DIRECTORS OF PJSC TATNEFT ON THE COMPANY'S COMPLIANCE WITH THE CORPORATE GOVERNANCE PRINCIPLES SET OUT IN THE CORPORATE GOVERNANCE CODE

The Board of Directors hereby declares that the Company uses a corporate governance model that meets the requirements of the legislation of the Russian Federation and the requirements applicable to issuers of securities whose shares are quoted on the First Level Official List of the Moscow Stock Exchange. The Board of Directors is continuously committed to developing an effective system of corporate governance, safeguarding shareholders' interests, ensuring disclosure of information and maintaining an effective risk management and internal control system.

The Board of Directors points out the growing level of compliance of the Company's corporate practices with the criteria of the Corporate Governance Code recommended for use by the Bank of Russia.

The Board of Directors acknowledges that the information and data disclosed herein are complete and accurate with respect to PJSC TATNEFT's compliance with the guidelines of the Corporate Governance Code for 2022.

DESCRIPTION OF THE METHODOLOGY USED BY THE COMPANY TO ASSESS ITS COMPLIANCE WITH THE PRINCIPLES OF GOOD CORPORATE GOVERNANCE:

The Company's compliance with the corporate governance principles was assessed under the Recommendations on Reporting on Compliance with the Principles and Recommendations of the Corporate Governance Code (Letter No. IN-06-52/8 of the Central Bank of Russia dated 17.02.2016). Explanation of the main reasons, factors and (or) circumstances due to which the Company does not comply or does not fully comply with the principles of corporate governance enshrined in the Corporate Governance Code and a description of the corporate governance mechanisms and tools used by the Company instead of those recommended by the Corporate Governance Code, as well as planned actions and measures to improve the model and corporate governance practices with an indication of the timing of the implementation of such actions and measures, are set out in the attached table.

This Report on compliance with the principles and recommendations of the Corporate Governance Code was reviewed by the Board of Directors of PJSC TATNEFT named after V.D. Shashin at its meeting held on May 16, 2023 (Minutes No. 4-z dated 16.05.2023).

№	Corp orate e prin ciple gove rnanc s	Asse nt cri teria for co te go ssme rpora verna nce princ iple c ompl iance	Comp lianc e stat us with c ate orpor e prin ciple gove rnanc	Expla natio n of d eviat ions f rom criter ia use d to a plian ssess com ce with g ood c ate g orpor overn ance
1	2	3	4	5
1.1	The Com st e re th pan y mu nsu part icipa te in ing t he C ma nag	at a ll its sha reho lder e tre ated in a s ar n eq omp any	ual a nd f air m ann er w	hen rcis ing t heir righ ts to exe
1.1.1	Com The tes t he pany crea t fav ble c ondi tions for mos oura its sh areh olde rs to part icipa te in th l me eting and to e ge nera nfor deve lop i med ition pos s on th e ite n the nda, ms o age ell a give them the s to as w ity to rdina rtun te oppo coo their acti and heir ess t ons expr opin ions he is und on t sues er disc ussio n.	1. Th e Co rovid ible mpa ny p es a n ac cess f com icati ith th mea ns o mun on w e Com h as a ho tline ail o pany , suc , e-m r inter net f , to e nabl e sh areh olde orum rs to ex s the ir op inion d su bmit pres s an their stion the da d uring the que s on agen arati f the Gen eral ting. The prep on o mee abov thod s of icati e me com mun on w ere nged by t he C and mad arra omp any e avai lable hare hold ers i n the f to s cou rse o the p ratio n for h Ge l Me eting repa eac nera held dur ing t he p eriod und view er re	plian com ce part ial plian com ce plian non com c
1.1.2	The edur es fo r not ifyin proc g of th e Ge l Me eting nera and mak ing a vaila ble t he relev ant d ents ble ocum ena the s hare hold ers t o pre pare erly for t heir part icipa tion prop e Ge in th l Me eting nera	1. Du ring the p eriod und view , the er re notifi catio n of the G al M eetin ener g wa s post ed (p ublis hed) on t he C any' omp s ast 3 0 da web site at le ys b efor e the date Gen of th e An nual eral Mee ting, unle ss a long riod ired by la er pe was requ w.	plian com ce part ial plian com ce plian non com c
		2. Th tifica tion indic ated the e no venu e of th eting and the docu ts to e me men be p nted mitti s to the rese per ng a cces ises prem
		Sha reho lders e giv s to wer en a cces infor mati n wh d the item on o o pro pose s on th enda and who inate d the e ag nom s for rd of cand idate the Boa Dire ctors and the R evisi on C issio n of the C (if omm omp any the A rticle s of Asso ciati rovid es fo r the on p Com h a C issio n). to s et up pany suc omm
1.1.3	Duri ng th tion for a nd e pre para the h oldin g of the G al ener Mee ting, the shar ehol ders	1. Du ring the p eriod und view er re , shar ehol ders had the rtun ity to put oppo tions to th mbe rs of the Com 's ques e me pany	plian com ce ial part plian com ce
	able to o btain were infor mati bout the ting on a mee and its d ents free ly an d ocum	utive bod ies a nd th e Bo ard o f Dir ecto exec rs befo d du ring the G al M eetin re an ener g. 2. Th e sta ndpo int o f the Boa rd of Dire ctors	plian non com c
	in a t imel , to p ut y ma nner tions to th mbe ques e me rs of th ny's utive e co mpa exec bodi nd th e Bo ard o f es a Dire ctors and to c unic ate omm with h oth eac er.	(incl udin g dis sent ing o pinio cord ed in ns re the m inute s) on h ite the da o f eac m on agen Gen eral tings held dur ing t he re port ing mee perio d wa s inc lude d in the p edin gs fo roce r the G al m eetin g of shar ehol ders ener
		3. In all c whe re G al M eetin ases ener gs held dur ing t he p eriod und view were er re , the C ided sha reho lders with omp any prov ss to the list o f per enti tled to acce sons Gen atten d the eral Mee ting from the date Com hich it wa eive d by the on w s rec pany
1.1.4	Ther unju stifie d e we re no diffic ultie ing vent s pre	1. Th e Co ny's Artic les o f Ass ocia tion mpa ide f dead line of at leas t 60 days prov or a	plian com ce ial
	shar ehol ders from rcisi exe ng their righ t to r st th eque e enin g of a Ge l conv nera Mee ting, to n omin ate	afte r the end of th e rel t cal enda evan r yea r for s hare hold ers t bmit ls fo o su pro posa r inclu sion on t he a gend a of the A l nnua Gen eral Mee ting.	part plian com ce plian non com c
	cand idate s for the 's com pany rning bod ies a nd to plac gove e osal the da. prop s on agen	2. D uring the perio d un der r evie w, th e Com did not r ejec t any nda item pany age s or inati for t he C any' ing nom ons omp s go vern bodi es d ue to typi ther mino ng e rrors or o r defic ienc ies in the shar ehol der's l. pro posa

ANNEXES

ANNEX 1

№	Corp orate e prin ciple gove rnanc s	Asse nt cri teria for co te go ssme rpora verna nce princ iple c ompl iance	Comp lianc e stat us with c ate orpor e prin ciple gove rnanc	Expla natio n of d eviat ions f rom criter ia use d to a plian ssess com ce with g ood c ate g orpor overn ance		№
1.1.5	Each sha reho lder able was to ex ercis e the ir vot ing r ights free ly an d in the e asie st an d t con veni ent w mos ay.	e Co 1. Th ny's Artic les o f Ass ocia tion mpa mak visio n for the ibility of fi lling e pro poss in th e ele ctro nic v oting ball ot fo n the rm o Com 's we bsite , the add of w hich pany ress is giv en in the notifi catio n of the G al ener Mee ting.	plian com ce part ial plian com ce plian non com c			1.2.2
1.1.6	The edur stab lishe d 1. Du ring the p eriod und view , whe Crite ria 1 , 2, 3 , 4: plian proc es e er re n com ce by th e Co ny fo r hol ding Gen eral Mee tings e he ld in the f of mpa wer orm ial part Purs to A rticle uant l me eting give all eting (join t pre e of shar ehol ders ), a ge nera a me senc plian com ce Fede ral L aw N o. 25 atten ding the Gen eral suffi cien t tim s allo wed for r rts o pers ons e wa epo n 25.0 2.20 22, g ener plian ting qual ortu nity the i tems on t he a gend d for disc ussio non com c mee an e opp a an n of sh areh olde rs in to ex s the ir vie nd a sk of th item d sh areh olde re gi pres ws a ese s, an rs we ven held in th e for m of tions that mig ht be of the o tunit y to ess t heir opin ions ques ppor expr votin g. inter est t o the and ask tions rela ting to th e ite m. ques ms o n the a gend a. More , the sha over had the o tunit ppor 2. Th e Co ny in vited dida tes t mpa can o tions to th ques e ca the g ning and ing b odie over ove rsee s for t he C any' omp s of th e Co nd to ok a ll ne mpa ny a cess ary rning and gove ove step s to re th eir p artic ipati on in the ensu bodi es, t he m emb Gen of S eral Mee ting hare hold at w hich ers, the B oard of D irect . 2. their inati put to a vote nom ons were Gen eral Dire ctor, Com The invit ed c andi date s to the pany e Ch Acco unta nt, th s of rning and ing b odie the gove ove rsee and bers of th mem Com and k all too y ste ps to pany nece ssar Com mitte e of re th eir p artic ipati on in the Gen eral ensu			2 of -FZ o f al m eetin gs 202 2 we re abs ente e		1.2.3	shar ehol ders
		reho lders y to put ndid ates ing rsee f ers o the ors, the Chie f airm an e Au dit the C omp any,	tion of para	1.2.4	valu e.
		Mee ting of S hare hold hich thei at w ers, r inati put to a vote nom ons were 3. Th le ex ive b ody, the ecut e so pers on onsi ble f and the		durin g the pre the m eetin d du ring g an the G al M eetin g, by ener send ing t hem to th e ho tline		1.3	the Com pan
		ting resp or ac coun Cha irma othe mbe rs of the Aud it n or r me Com mitte e of the B oard of D irect ors ilabl estio ns fr e to were ava answ er qu om shar ehol ders at th e Ge l Me eting s he ld nera durin g the iod u nder revi per ew. 4. In the rting iod, the c repo per omp any used tele icati facil ities to com mun ons ide r hare hold te ac to s prov emo cess ers rticip ate i l me eting to pa n ge nera s, or the B oard of D irect ade d ors m a rea sone		or by ail to the addr e-m esse s indic ated he C any' on t omp s web site.	1.3.1	shar ehol ders
		deci sion that ther d (po ssib ility) e wa s no nee to us ch fa cilitie s in t he re port ing p eriod e su				1.3.2
1.2	The sha reho lder s ha ve a n eq divid end s	ual a nd f air o rtun ity t rtici pate in t he p ppo o pa	Com rofit s of the	y th h th nt o f pan roug e pa yme			cont rol.
1.2.1	The Com dev elop ed a nd pany put i n pla tran ent ce a spar and clea chan ism f r me or	1. Th e Co ny's Divid end Polic y is mpa oved by t he B oard of D irect nd is appr ors a publ ishe d on the Com 's we bsite pany	plian com ce ial part plian com ce
	dete rmin ing t he a nt of mou divid ends and thei t r pay men edur proc e.	2. If the C any' s div iden d po licy u he ses t omp Com 's pe rform indi rs fro cato pany ance m its ac ting dete rmin e the rts to coun repo	plian non com c

amount of dividends, the relevant provisions

of the dividend policy take into account

consolidated figures from the financial

The justification for the proposed

appropriation of net profit, including the

own needs, and the assessment of its

compliance with the dividend policy

payment of dividends and the company's

adopted by the company, with explanations

and economic justification of the need to

profit to the company's own needs in the

period under review, have been included

in the materials for the General meeting of

shareholders at which the agenda includes

an item on the appropriation of profit

(including the payment (declaration) of

appropriate a certain portion of the net

statements.

dividends).

№	Corp orate e prin ciple gove rnanc s	Asse nt cri teria for co te go ssme rpora verna nce princ iple c ompl iance	Comp lianc e stat us with c ate orpor e prin ciple gove rnanc	Expla natio n of d eviat ions f rom criter ia use d to a plian ssess com ce with g ood c ate g orpor overn ance
1.2.2	The Com doe t ma ke pany s no a de cisio n to divid ends if pay such dec ision , whi le fo rmal ly plian t wit h the law , is n ot com justi fied from mic an e cono poin t of v iew a nd m ay le ad to m isrep ntati f the rese on o Com 's pe rform pany ance	1. Th e Co ny's Divid end Polic mpa y Reg ulati on, i n ad ditio n to the r estri ction s impo sed by la w, d efine s the fina ncia l/ omic circ tanc es in whi ch th econ ums e Com sho uld n ot de cide to p pany ay divid ends	plian com ce ial part plian com ce plian non com c
1.2.3	The Com ids pany avo dete riora tion in th any e divid end right s of its ex isting shar ehol ders	1. Du ring the p eriod und view , the er re Com k no acti on th ould lt too at w pany resu in a dete riora tion in th e div iden d rig hts o f its exist ing s hare hold ers.	plian com ce ial part plian com ce plian non com c
1.2.4	The Com end pany eavo urs reclu de a by to p ny m eans whic h its Sha reho lders may obta in an fit or gain at y pro the e f the Com xpen se o pany othe r tha n div iden ds a nd distr ibuti of its liqu idati ons on valu e.	1. Du ring the r rting iod, ther epo per e we re ther for t he c ollin ontr to no o ways g pe rson obta in pr ofit ( inco me) at th e of the e ex pens Com othe r tha n div iden ds (e .g. th h pany roug fer p ricin justi fied ision of trans g, un prov price d se rvice the C by th s to over omp any e cont rollin , thro ugh inter nal l g pe rson oans subs tituti ng d ivide nds to th ntro lling e co nd/o r its cont rolle d pe s). pers on a rson	plian com ce part ial plian com ce plian non com c
1.3	The tem and ctic sys pra es o of th lass (ca tego ry) i e sa me c the Com pan y	f co ate al te rpor gov erna nce ens ure equ rms fore n th ny, i nclu ding min ority and e co mpa	and ditio ns fo r all con ign s hare hold and ers,	sha reho lder ning sha s ow res the ir eq ual t reat t by men
1.3.1	The Com ted pany crea cond ition s tha ble t ena its g ning bod ies a nd over cont rollin s to treat g pe rson each sha reho lder fairly , in pa rticu lar to ent prev abus e of mino rity any shar ehol ders by m ajor	1. Du ring the p eriod und view , the er re rollin s of the C did n cont ot g pe rson omp any abus e the ir rig hts v is-à- vis th e sh areh olde rs of th e Co ny, t here flicts mpa wer e no con betw the c ontr ollin s of the een g pe rson Com and the shar ehol ders of th pany e Com and , if th the B oard of pany ere w ere, Dire ctors paid due side ratio n to them con	plian com ce ial part plian com ce plian non com c

The Company does not take any action that will or could result in an artificial reallocation of corporate control.

There were no quasi-treasury shares, nor did they participate in voting in the reporting period.

compliance

noncompliance

partial

The structure of the shareholders' equity is such that 63% of the voting shares are in free float. The total quasi-treasury stock held by the Company is 3% of the voting shares and therefore the voting of quasi-treasury shares has no impact on the overall voting. The election of candidates to the governing and overseeing bodies is conducted by cumulative voting, which gives no advantage to any candidate.

Based on the above, the Company believes that it is in compliance with the requirement not to take any action that results or may result in an artificial redistribution of control.

1.4 The shareholders are provided with reliable and efficient means of recording their rights in shares as well as with the opportunity to freely dispose of such shares in a non-onerous manner

ANNEXES

decisions within the Board's

competence and are required

its duties effectively shall be elected as

Directors.

to perform its duties effectively

are elected as members of the

Board of Directors.

№	Corp orate e prin ciple gove rnanc s	Asse nt cri teria for co te go ssme rpora verna nce princ iple c ompl iance	Comp lianc e stat us with c ate orpor e prin ciple gove rnanc	Expla natio n of d eviat ions f rom criter ia use d to a plian ssess com ce with g ood c ate g orpor overn ance	№	Corp orate e prin ciple gove rnanc s	Asse nt cri teria for co te go ssme rpora verna nce princ iple c ompl iance	Comp lianc e stat us with c ate orpor e prin ciple gove rnanc	Expla natio n of d eviat ions f rom criter ia use d to a plian ssess com ce with g ood c ate g orpor overn ance
The shar with relia mea ns o in sh ares oppo of su ch s oner ous	ehol ders ided are prov ble a nd e fficie nt f rec ordin g the ir rig hts ell a s wit h the as w ity to free ly dis rtun pose hare s in a non man ner.	Sha reho lders ided with liabl are prov a re e effic f rec and ient ordin g the ir rig hts mea ns o to sh and the abili disp of th ty to ares ose ese shar es fr eely and with bran out e ncum ce.	plian com ce part ial plian com ce plian non com c		2.1.4	The Boa rd of Dire ctors e Co dete rmin es th ny's mpa polic ation and / y on rem uner e rei mbu ent or ex pens rsem s) of (com ation the pens bers of th e Bo ard o f mem Dire mbe rs of the ctors , me utive bod ies a nd o ther exec key nnel of ent p man agem erso	The has dev elop ed a nd p ut in com pany plac e the poli cy (p olici es) o ation n rem uner due to an d/or reim burs nt of ts eme cos incu rred by it s bo ard m emb bers ers, mem of th ecut ive b odie s of the c e ex omp any and othe r key s, wh ich h as b man ager een oved by t he B oard of D irect appr ors. 2. D uring the perio d un der r evie w, th e	plian com ce part ial plian com ce plian non com c
The app the	Boa rd o f Dir ecto rs is in c hes for e stab lishi roac ng a y's e utive bod com pan xec	harg e of the stra tegi nt o f the c ma nag eme risk nt a nd in tern al co ntro l sys ma nag eme ies a nd p erfo oth er k ey f unct ions rms	y, d eter min es t com pan tem with in th e co mpa	he m ain p rinc iple d s an the acti vitie s of ny, o vers ees		the C omp any.	Boa rd co nsid ered issu latin g to the es re abov licy( s). e po
	The Boa rd is onsi ble resp for m akin g de cisio n the ns o intm nd d ismis sal ent a appo of m emb f exe cutiv ers o e bodi es, i nclu ding thos e relat ing t o the ir fai lure to perf their duti rly. orm es p rope	f Dir 1. Th e Bo ard o ecto rs is vest ed w ith th e t in t he A rticle s of Asso ciati et ou pow ers s on poin t, dis miss and dete rmin e the to ap d co nditi of th ts of the term ntrac s an ons e co bers of th ive b odie ecut mem e ex s. 2. D uring the perio d un der r evie w, th e	plian com ce part ial plian com ce plian non com c		2.1.5	The Boa rd of Dire ctors play s a ke y rol e in entin prev g, iden tifyin d res olvin g an g inter nal c onfli cts b etwe en th e 's go ing b odie com pany vern s, shar ehol ders and loye emp es.	1. Th e Bo ard p lays a ke y rol e in the entio n, id entifi catio d res oluti f prev n an on o inter nal c onfli cts. 2. Th e Co ny h em i n pla syst ce to mpa as a iden tify t actio ns th at m ive r ise t rans ay g o confl icts o f inte rest and t of m res t a se easu o lve s uch confl icts. reso	plian com ce ial part plian com ce plian non com c
The Boa the C bodi the a strat lines	rd al es th at so e nsur any' cutiv omp s exe e ct in alig nt w ith es a nme ved deve lopm ent ppro and key busi egy ness of th e Co mpa ny.	Nom inati on (A ppoi Hum ntme nts, an Reso s) C ittee side red urce omm con whe ther the p rofes sion al qu alific ation s, skills and erien f the bers of exp ce o mem the g ning bod ies m he c eet t nt over urre and antic ipate d ne eds of th e Co mpa ny inati ittee as d ictat ed b y the nom ng c omm oved stra tegy of th e Co appr mpa ny. 3. D the d un der r evie			2.1.6	The Boa rd of Dire ctors play s a ke y rol e in ring that ensu the c is tra rent omp any nspa , disc lose s inf ation in orm full a nd in due time , and ides its s hare hold prov ers with unh inde red a its s to cces docu ts.	1. Th re de sign ated in ere a per sons the C who onsi ble f omp any are resp or impl nting the infor mati olicy eme on p	plian com ce part ial plian com ce plian non com c
		uring perio w, th e Boa rd of Dire revi d the ort(s ) ctors ewe rep of th le ex ecut ive b ody and the e so colle gial utive bod y (if any) on t he exec impl ntati f the 's str ateg eme on o com pany y.			2.1.7	men The Boa rd ov es th erse e Com 's co ate pany rpor racti gove rnan ce p ces	1. Du ring the p eriod und view , the Boa rd er re revie wed the lts of the self- ent resu asse ssm and/ tern al ev alua tion of th e Co ny's or ex mpa	plian com ce ial part
The Boa rd es tabli the m ain g uide obje ctive s for the	shes lines and Com 's pany	1. Du ring the p eriod und view , the er re Boa rd of Dire ctors dea lt wit h ma tters relat ing t o the imp leme ntati nd on a	plian com ce part ial plian com ce			and play s a k le in the ey ro Com 's m ajor orate pany corp ts. even	orate tices corp gov erna nce prac	plian com ce plian non com c
long eval uate Com	bus ines tivitie -term s ac s, d ap es th s an prov e 's ke rform pany y pe ance	upda ting of th y, th al of the e str ateg e ap prov Com 's fin anci al an d ec ic pl pany onom an (bud get) ell a s the revi f crit eria , as w ew o	plian non com c		2.2	The Boa rd o f Dir rs is ecto acc	tabl the sha reho lder s of the Com e to oun pan	y
indic goal appr strat for it	and mai n bu sine ators ss d ev alua nd tes a s, an the Com 's oves pany and busi plan egy ness s re bu sine ctivit ies. s co ss a	and perf indi rs (in clud ing cato orm ance inter im o nes) for t he im plem tion of th enta e Com 's str d bu sine lans ateg pany y an ss p			2.2. 1	Infor mati n the k of t he on o wor Boa rd is disc lose d an d ma de avai lable to s hare hold ers.	1. Th nual ort o f the Com for t he e an rep pany perio d un der r evie ntain s inf ation w co orm on the a tten danc e of each ber a t Bo ard mem and Com mitte eting e me s.	plian com ce ial part plian com ce
The Boa defin appr the r	rd of Dire ctors es th e pri ncip les a nd oach es to sett ing u p of isk m nt an d anag eme	1. Th e pri ncip les o f and hes to th app roac e nizin g of the r isk m nt an d orga anag eme e Co inter nal c ontr ol sy stem in th mpa ny a re defin ed b y the Boa rd of Dire ctors and set	plian com ce part ial plian com ce	Crite rion 2: The Boa rd of Dire ctors and Aud it Co mmi ttee did n ot			2. Th e An nual Rep ort c onta ins in form ation on th in re sults of th e Bo ard o f e ma Dire ctors ' per form luati on d uring ance eva the r rting iod. epo per	plian non com c
	inter nal c ontr ol sy stem in th e Com pany	Com out i n the 's int l doc nts pany erna ume whic h de ine t he ri sk m d term nt an anag eme inter nal c ol po licy. ontr 2. D uring the rting iod, the B oard of repo per Dire ctors d (re vise d) an epta ble app rove acc leve l of r risk a f the Com	lianc nonc omp e	ider iew o f risk cons a rev tite d uring the perio d appe unde iew. The r rev com pany has plan s for view of th a re e 202 3-20 24. risk a ppet ite in	2.2.2	Cha n of The irma the B oard of D irect ors i ilabl s ava e nica ith th to co te w mmu e Com 's sh areh olde pany rs.	e Co 1. Th ny h tran ent mpa as a spar edur e in plac re th e to at proc ensu shar ehol ders d en quiri , and es to can sen ive fe edba ck fr the C hairm an (a nd, rece om, whe plica ble, the S enio r Ind dent re ap epen	plian com ce part ial plian com ce plian non com c
		isk ( ite) o ppet pany , the A udit Com mitte d/or the Risk e an Com mitte e (if any) side red w heth er it con is ad visa ble t bmit the issue of re visin o su g the C any' s ris k ap petit the B oard of e to omp Dire for c onsi dera tion. ctors			2.3	The Boa rd is ffec tive and an e inde den t jud ent and pen gem	Dire ). ctor fess iona l gov erni ng b ody of t he C pro omp tak ing d ecis ions in t he b est inte rest s of the	able of e any , cap xerc Com d its sha pan y an	ising obj ecti nd ve a reho lder s
					2.3. 1	Only who hav per sons e an impe ccab le bu sine nd ss a onal utati nd w ho pers rep on a have the know ledg e, sk ills a nd rienc ke ary t expe e ne cess o ma	1. On ly pe s of impe ccab le bu sine rson ss and onal utati ho h the pers rep on w ave know ledg e, sk ills a nd e ienc uired xper e req ake deci sion s tha t fall with in th to m e of th e Bo ard a nd to form pete com nce per	plian com ce part ial plian com ce plian non com c

Hereinafter referred to as the Nomination Committee

№	Corp e prin ciple orate gove rnanc s	Asse nt cri teria for co te go ssme rpora verna nce princ iple c ompl iance	Comp lianc e stat us with c ate orpor e prin ciple gove rnanc	№	Corp e prin ciple orate gove rnanc s	Asse nt cri teria for co te go ssme rpora verna nce princ iple c ompl iance	Comp lianc e stat us with c ate orpor e prin ciple gove rnanc	Expla natio n of d eviat ions f rom criter ia use d to a plian ssess com ce with g ood c ate g orpor overn ance
2.3.2	The bers of th e Bo ard mem	1. At all A l Ge l Me eting s he ld nnua nera	plian com ce	2.4.2	Can dida tes f or th e Bo ard	1. Du ring the p eriod und view , the er re	plian com ce
	of D irect f the Com ors o pany lecte d thr ough are e a	durin g the ortin riod whe re th rep g pe e da in clud ed th e ele ction of th e Bo ard agen	part ial plian com ce		of D irect ed ors a re as sess for c lianc e wit h the omp	Boa rd (o r the Nom inati on C ittee omm of th e Bo ard) form ed a inion he on t n op	part ial plian com ce
	s tha trans nt pr t pare oces allow s sh areh olde obta in rs to suffi cien t info rmat ion o n the c andi date s to form an opin ion o n the ir pe al an d rson prof essi onal lities qua	of D irect the c ided its ors, omp any prov shar ehol ders with biog raph ical d etail s of all c andi date s for the Boa rd of Dire ctors , the r esul ts of the eval uatio n of the cand idate rried out by th e Bo ard o f s ca Dire ctors (or its N omin ation Com mitte e) and infor mati n wh ethe r the dida tes on o can t the inde pend crite ria p ant t mee ence ursu o ndat ions 102 - 10 7 of the C ode reco mme , and the w ritten sent of th ndid ates to con e ca be e lecte d to the B oard of D irect ors.	plian non com c		inde pend crite ria, ence and the c lianc e of omp inde pend ent B oard bers mem with the inde pend crite ria ence is re view ed o egul n a r ar basi s. In h an ent, suc ass essm cont ent p ils ov er fo reva rm	inde pend of e ach cand idate for t he ence Boa rd an d co nica ted t hat o pinio n to mmu the s hare hold ers. 2. D uring the perio d un der r evie w, th e Boa rd of Dire (or t he N omin ation ctors Com mitte e of the B oard of D irect ors) revie wed the inde pend of th rrent ence e cu bers of th e Bo ard o f Dir ecto rs at leas t mem (aft er th eir e lecti on). once 3. Th e Co ny h dure s tha t defi mpa as p roce ne	plian non com c
2.3.3	The posi tion of th e Bo ard com of D irect ors i ll ba lanc ed in s we s of the q ualifi catio f term ns o its m emb their erien ers, exp ce, know ledg d bu sine e an ss nd e njoy the acum en, a confi denc e of shar ehol ders	1. Du ring the p eriod und view , the Boa rd er re ssed its o rofes sion al qu alific ation asse wn p s, rienc d sk ills n eeds and iden tified expe e an the c cies uired by t he B oard in eten omp req the s hort and long term	plian com ce part ial plian com ce plian non com c	2.4.3	Inde pend ent d irect ake ors m t lea e-th ird o f the st on up a	the n acti to be take n by eces sary ons a ber o f the Boa rd of Dire ctors if th mem ey e to be in depe nden t, inc ludin g the ceas oblig ation to in form the Boa rd of Dire ctors in a t imel y ma nner 1. Ind dent dire mak at le ctors ast epen e up third of th e ele cted Boa rd of Dire ctors one-	plian com ce	Crite rion 1:
2.3.4	The ber o f dire ctors num on the B oard mak es it ible poss to or gani ze th tivitie s of e ac the B oard in th st ef ficie nt e mo , inc ludin g the sibil ity way pos to fo ittee s of the rm c omm Boa rd, a nd a lso e es th at nsur	1. Du ring the p eriod und view , the Boa rd er re revie wed whe ther the n umb er of the Boa rd bers ts th eds of th mem mee e ne e co mpa ny and the i ntere sts o f the sha reho lders	plian com ce part ial plian com ce plian non com c		elec ted Boa rd.		part ial plian com ce lianc nonc omp e	The posi tion of th com e Boa rd of Dire is b ased ctors on b alan cing the inter ests of m inori d ma jority ty an shar ehol ders ell a s the , as w need for t he C itself omp any to ha ve h ighly prof essi onal and effec tive man ager s on the B oard
	the C any' s sig nific ant omp mino rity s hare hold ers c an elec andi date for w hom t a c they to th e Bo ard o f vote							The bers hip o f the Boa rd mem of D irect ors i nted by s rep rese thre e ind dent dire ctors epen
2.4	Dire ctors The Boa rd o f Dir ecto nsis rs co	ts o f a s uffic ient ber of in dep end ent num	dire ctor s					The Com plan s to pany incre the n umb er of ase inde pend ent d irect ors t o on e third of th e Bo ard o f Dir ecto rs in th e fut ure.
2.4. 1	An in depe nden t dire ctor is a p n wh o ha erso s suffi cien ertis e, sk ills t exp and inde pend to fo ence rm their ition and is own pos able ake obje ctive to m and bona fide judg nts, eme inde pend f the influ ent o ence of th ny's utive e co mpa exec	1. Du ring the p eriod und view , all er re f the rd of inde pend ent m emb Boa ers o Dire all t he in depe nden riteri ctors met ce c a ut in ndat ions 102 -107 of th set o reco mme e Cod gnis ed a s ind dent e or were reco epen by a dec ision of th e Bo ard o f Dir ecto rs.	plian com ce part ial plian com ce plian non com c	2.4.4	Inde pend ent d irect ors h ave a ke y rol e to play in th e entio n of inter nal c onfli cts prev e Co with in th nd in mpa ny a the e tion of si gnifi cant xecu orate acti by th corp ons e Com pany	1. Ind dent Dire ctors (wh o ha epen ve n o confl icts o f inte rest) mad relim inary e a p ent o f ma jor c rate actio asse ssm orpo ns in re latio n to ible confl icts o f inte rest poss durin g the ortin riod and the r esul ts rep g pe of su ch a nt we port ed to the sses sme re re Boa rd.	plian com ce part ial plian com ce plian non com c
	bodi artic ular es, a ny p grou p of sh areh olde othe rs or any r inter este d pa rty.			2.5	The Cha irma n of the Boa rd o effe ctive ly as sible pos	f Dir ecto rs fa cilit ates the rcis e of the dut exe	ies d eleg ated to t he B	oard of D irec tors as
	It sh ould be n oted that a cand idate (ele cted dire ctor ) who is re lated to th e co mpa ny, its m ajor shar ehol der, jor a ma

ANNEXES

counterparty or a competitor

of the company, or related to

the state, cannot normally be

considered independent.

activities and the objectives

noncomplianc

of the Company at any given

time.

№	Corp e prin ciple orate gove rnanc s	Asse nt cri teria for co te go ssme rpora verna nce princ iple c ompl iance	Comp lianc e stat us with c ate orpor e prin ciple gove rnanc	Expla natio n of d eviat ions f rom criter ia use d to a plian ssess com ce with g ood c ate g orpor overn ance	№	Corp e prin ciple orate gove rnanc s	Asse nt cri teria for co te go ssme rpora verna nce princ iple c ompl iance	Comp lianc e stat us with c ate orpor e prin ciple gove rnanc	Expla natio n of d eviat ions f rom criter ia use d to a plian ssess com ce with g ood c ate g orpor overn ance
2.5. 1	An in depe nden t dire ctor	1. Th e Ch airm f the Boa rd is an o an	plian com ce	Crite rion 1:	2.6. 1	The bers of th e Bo ard mem	1. Th e Co ny's inter nal d ents mpa ocum	plian com ce
	elec ted C hairm was an of th e Bo ard o r a S enio r Inde pend ent D irect or w as	inde pend ent d irect enio or o r a s r inde pend ent d irect or is des igna ted f rom ng th e ind dent dire ctors amo epen	part ial plian com ce	The Cha irma n of the B oard of Dire is a utive ctors non- exec		of D irect ake deci sion ors m s in th e lig ht of all a vaila ble infor mati on, i n the abs ence	stipu late that mbe r of t he B oard of a me Dire t info rm th e Bo ard o f Dir ctors ecto mus rs if the y ha flict of in st in relat ion tere ve a con	part ial plian com ce
	inted from ng th appo amo e elec ted i ndep ende nt di recto rs to co ordin ate t he w ork o f the inde pend ent d irect nd to ors a	2. T he ro le, ri ghts and duti f the es o Cha irma n of the B oard (and , whe re appl icab le, th e Se nior Inde pend ent Dire ) are duly out i n the Com 's ctor set pany	lianc nonc omp e	direc lecte d un anim ousl tor, e y by a ll me mbe rs of the Boa rd of D irect s the t ors a mos auth orita tive ber o f mem the B oard of D irect ith ors w		of co nflict s of inter with est, due rd to the equi table rega treat t of t he C any' men omp s shar ehol ders and with in th e	item he a gend a of eting of th to an on t a me e Boa rd of Dire f a B oard mitte ctors or o com e befo re th e sta rt of the d iscu ssio n of the relev ant a gend a ite m.	plian non com c
	liaise with the Cha irma n of the Boa rd.	inter nal d ents ocum		high skill d kn owle dge s an , impe ccab le bu sine nd ss a onal utati nd pers rep on a sign ifica nt ex perie in nce seni or le ader ship ition pos s.		limit s of al bu sine ss ri sk. norm	2. Th e Co ny's inter nal d ents mpa ocum ide t hat a ber o f the Boa rd of prov mem Dire ctors sho uld a bsta in fro ting m vo on matt er in whi ch th ey h nflict of any ave a co inter est.
				Base d on the posi tion of the i ndep ende nt di recto rs them selve ior s, no sen inde pend ent d irect or is ently des igna ted. All curr			3. Th e Co ny h in p lace to mpa as a pro cess enab le th e Bo ard t ek, a t the Com 's o se pany prof essi onal adv ice o tters expe nse, n ma with in its pete com nce.
				inde pend ent d irect ors h ave l righ ts to inte ract with equa the C hairm f the Boa rd of an o	2.6.2	The right d du ties of B oard s an bers essly ed stat mem are expr	e Co 1. Th ny h dopt ed a nd p ublis hed mpa as a the i al do hat c learl y de fines ntern ent t cum	plian com ce
				Dire ctors		and defin ed in the Com 's pany inter nal d ents ocum	the r ights and duti f the bers of th es o mem e Boa rd of Dire ctors	part ial plian com ce
				In th xt bu sine e ne ss ye ar, follo wing the elec tion of a new				plian non com c
				ual G Boa rd at the Ann al ener 2022 Mee ting at th d of e en , the i ndep ende nt di recto rs	2.6.3	The Boa rd m emb ers h ave	Indiv idua l atte ndan t Bo ard a nd ce a	plian com ce
				will b d to elec t a e pro pose Sen ior In depe nden t Dir ecto r.		suffi perf cien t tim e to their orm dutie s.	Com fficie e for mitte eting d su nt tim e me s an the w ork o f the Boa rd an d its Com mitte es	part ial plian com ce
				The Com 's ba sis is the pany princ iple that this oach is appr volu ntary			revi d as of th lf part were ewe e se f the Boa rd's perf ent o asse ssm orm ance durin g the iod u nder revi per ew.	plian non com c
				Crite rion 2 is i mpli n co ance			2. Pu the Com 's int l nt to rsua pany erna docu ts, D irect hall infor m th e Bo ard men ors s of th eir in ion t o be mbe rs of tent com e me the g ning bod ies o f ent ities othe r tha over n
2.5.2	The Cha irma n of the B oard of D irect ors e nsur es a truct ive w ork e nviro nt cons nme	1. Th rform of th e Ch airm f the e pe ance an o Boa rd of Dire ctors d as part was ass esse of th e Bo ard o f Dir ecto rs' p erfo rman ce	plian com ce ial part plian com ce				thos lled by th e Co ll as ntro e co mpa ny, a s we of th e fac t of s uch intm ent. appo
	at th eting s, fre e me e disc ussio n of the i tems	eval uatio n (se lf-ev alua tion) dur ing t he rting iod. repo per	plian non com c		2.6.4	All m emb f the Boa rd of ers o	1. Un der t he C any' s int l omp erna	plian com ce
	on th enda of th e ag e ting, and trol o mee con ver the i mple tatio n of the men					Dire ctors hav ual a e eq cces s to th e Co ny's docu ts mpa men and infor mati on. N ewly	docu ts, th mbe rs of the Boa rd men e me of D irect ors h the r ight to ob tain the ave infor mati nd d ents on a ocum nec essa	part ial plian com ce
	deci sion de b y the Boa rd s ma of D irect ors.					elec ted Dire ctors ided are prov with suffi cien t info rmat ion Com abou t the and the pany	ry for t he m emb f the Boa rd of Dire ctors ers o to pe rform thei r dut ies in rela tion to th e Com and its c ontr olled enti ties, and pany	plian non com c
2.5.3	The Cha irma n of the B oard of Dire take s the ctors nec essa ry re th at th s to	1. Th e du ty of the Cha irma n of the B oard of D irect o tak hat f ull ors t e ste ps to ure t ens and relia ble i nfor mati n the item the	plian com ce ial part			of th activ ities e Bo ard a s so on ossi ble. as p	the C any' cutiv e bo dies t omp s exe mus ke th e rel t info ion a nd t ma rmat mus evan docu ailab le. ts av men
	step ensu e bers of th e Bo ard o f mem Dire ctors ided in are prov a tim ely m r wit h the anne infor mati quire d to mak on re e	on o s on da o f the Boa rd of Dire is m ade ctors agen avai lable to th mbe rs of the Boa rd of e me Dire ctors in a time ly ma is se t out in th nner e inter nal d ents of th e Co ocum mpa ny.	plian com ce plian non com c				2. Th e Co ny h form al pr m of mpa as a ogra orien tatio n for ly ele cted bers of new mem the B oard of D irect ors.
	deci sion the item the s on s on da. agen				2.7	The etin f the Boa rd o me gs o Boa rd o f Dir ecto re th rs e nsu	f Dir ecto rs, t he p ratio ns fo r the eeti repa se m e ef fect ive o tion of t he B oard of D irec pera	and the ticip ngs par tors	atio n of the mbe f the me rs o
2.6	The mbe f the Boa rd o me rs o suffi cien t inf atio ith d orm n, w	f Dir t bo na fi de i n th e int ecto ts o rs ac eres and dilig ue c are enc e	f the Com d its pan y an	sha reho lder the bas is of s on	2.7.1	The Boa rd of Dire ctors hold s its m eetin eede d	1. Th e Bo ard o f Dir ecto rs he ld at leas t six dur nder revi	plian com ce
						gs o n an as-n basi s, wi th du ard t e reg o e Co the s of th ny's cope mpa	tings ing t he y mee ear u ew.	part ial plian com ce

№	Corp e prin ciple orate gove rnanc s	Asse nt cri teria for co te go ssme rpora verna nce princ iple c ompl iance	Comp lianc e stat us with c ate orpor e prin ciple gove rnanc	Expla natio n of d eviat ions f rom criter ia use d to a plian ssess com ce with g ood c ate g orpor overn ance		№	Corp e prin ciple orate gove rnanc s	Asse nt cri teria for co te go ssme rpora verna nce princ iple c ompl iance	Comp lianc e stat us with c ate orpor e prin ciple gove rnanc	Expla natio n of d eviat ions f rom criter ia use d to a plian ssess com ce with g ood c ate g orpor overn ance
2.7.2	The Com 's int l pany erna docu the ts se t out men edur e for the arati proc prep on and cond f me eting s of uct o the B oard of D irect o tha t ors s the m emb f the Boa rd ca ers o n be p rly p red f or th rope repa e ting. mee	1. Th e Co dopt ed a n int l mpa ny a erna docu ting he p dure for t he t set out t men roce arati nd h oldin g of Boa rd m eetin prep on a gs, whic h sti pula inter alia , tha t, in ral, tes, gene notic e of eting sho uld b e giv t lea st a me en a five days befo re th e da te of the ting. mee 2. D uring the perio d un der r evie w, bers of th e Bo ard o f Dir rs wh ecto mem o t the tings not ent a were pres mee wer e able artic ipate in th e dis ion o f to p cuss da it and voti ly th h mote agen ems ng re roug conf alls a nd v ideo conf cing eren ce c eren	plian com ce part ial plian com ce plian non com c			2.8. 1	For t he p f pre limin urpo se o ary idera tion of an tters cons y ma relat ing t l ove r the ntro o co Com 's fin anci al an d pany busi acti vitie s, th e Au dit ness Com mitte e is e stab lishe d an d prise d of inde pend ent com direc tors	1. Th e Bo ard o f Dir rs ha ecto s set plian up a n com ce Aud it Co mmi isting sole ly of ttee cons ial part inde pend ent d irect ors. plian com ce 2. Th e int l doc f the Com nts o erna ume pany lianc nonc omp e ify th e ob jecti of th e Au dit spec ves Com mitte e, in clud ing t he o bjec tives indic ated in R datio n 172 of th ecom men e Cod e. 3. At leas ber o f the Aud it t one mem Com mitte ho is an i ndep ende nt di recto e, w r, has suffi cien erien nd e tise in t exp ce a xper arati naly sis, a nt an d au dit prep on, a sses sme		Crite rion 1: The Aud it Co mmi ttee ists o f thre e ind dent cons epen direc of w hom has tors , one ienc d ex pert ise an e xper e an in pr ation lysis epar , ana , ent a nd a udit asse ssm of ac ting (fina ncia l) coun state ts (Y u.L. Levin men , Com mitte e Ch airm an). The Boa rd of Dire ctors deci ded to in crea se the m emb ersh ip of the
2.7.3	The form of th e Bo ard m eetin g is de term ined ordin g to the acc impo rtanc e of the i tems on t he da. T he m ost i rtant agen mpo matt solv ed a t ers a re re tings of th e Bo ard o f mee Dire held by p nal ctors erso	1. Th e art icles of a iatio an in tern al ssoc n or docu t of t he c stipu late that men omp any the m ost i rtant issu es (i nclu ding thos mpo e 68 o Cod liste d in Reco ndat ion 1 f the e) mme t be deal t wit h at the m eetin f the mus gs o boar d of direc in th e ph ysica l pre tors senc e of its bers mem	plian com ce part ial plian com ce plian non com c					of ac ting (fina ncia l) sta teme nts. coun 4. Th e Au dit C ittee held tings at omm mee least uarte r in t he re port ing p eriod onc e a q		Com mitte e by add ing a tive direc tor w ho none xecu is als perie nced and o ex know ledg eabl e in arati prep on, anal ysis ent a nd , ass essm audi t of a nting (fina ncia l) ccou ts (R .R. G aizat ullin ). state men
2.7.4	danc atten e. Dec ision the t s on mos impo rtant mat ters of th e Com 's bu sine pany ss a re mad e at eting of th a me e Boa rd of Dire ctors by a qual ified maj ority or b y a majo rity o f all t he e lecte d bers of th e Bo ard o f mem Dire ctors	1. Th e Co ny's Artic les o f Ass ocia tion mpa ide t hat d ecis ions on t he m ost prov impo rtant mat ters , inc ludin g tho et se s out i n Re datio n 170 of th e Co de, com men t be mad e at eting of th e Bo ard o f mus a me Dire ctors by a lified maj ority of a t lea st qua thre arte rs (3 /4) o f the vote st or by e-qu s ca jority of a ll the elec ted m emb f the a ma ers o Boa rd of Dire ctors	plian com ce ial part plian com ce plian non com c							The Boa rd of Dire ctors revie emb ersh ip of the ws m Com mitte l e on an a nnua basi s. C lianc e wit h omp ndat ions of th reco mme e Ban k of Russ ia Co de o n the c ittee bers hip omm mem excl usive ly of inde pend ent direc will b ssib le tors e po the incre ased sha re of upon inde pend ent d irect ors i n the Boa rd of Dire ctors plan ned by the C (See Cl. 2.4.3 of omp any this Rep ort f or cl arific ation ).
2.8	The Boa rd o f Dir rs fo ecto rms bus ines s	Com mitt for p relim inar nsid ion o erat ees y co	f the st im port ant mo	issu f the Com y's es o pan						Crite rion 2: Reg ulati on th e Au dit ons Com mitte ecify the e sp obje ctive s of the A udit Com mitte ith th cept ion e, w e ex of sp ecifi c ob jecti ves indic ated in R datio ecom men n 172 o f the Cod e. B ased on the p ositi f full plian on o com ce with te go cor pora vern ance e Co stan dard s, th mpa ny plan s to mak e du e ch s to ange s in 2 023. the R egul ation Crite 3, 4: rion plied are com
					2.8.2		For t he p f pre limin urpo se o ary idera tion of an tters cons y ma relat ing t o de velo nt of pme effic ient and trans nt pare tion tices , the remu nera prac Rem ation Com mitte e is uner esta blish ed, c rised of omp inde pend ent d irect nd ors a chai red b inde pend ent y an direc tor w ho is not the Cha irma n of the B oard of Dire ctors	1. Th e Bo ard o f Dir tabli shed the ecto rs es Rem ation Com mitte hich sists uner e, w con sole ly of inde pend ent d irect ors. 2. Th e Re erati on C ittee is c haire d mun omm by a n ind dent dire who is n ot th ctor epen e Cha irma n of the B oard of D irect ors. 3. Th e int l doc f the Com nts o erna ume pany ify th e ob jecti of th e Re erati spec ves mun on Com mitte e, in clud ing t he o bjec tives indic ated in R datio n 18 0 of the ecom men Cod wel l as c ondi tions (eve nts), e, as upo n the o e of whic h the Rem ation ccur renc uner Com mitte nsid ers t he is of re visin e co sue g the C any' ation poli cy fo omp s rem uner r the m emb f the Boa rd of Dire ctors ers o , utive bod ies a nd o ther key exec man ager s.	plian com ce ial part plian com ce plian non com c	with

ANNEXES

Corp e prin ciple orate gove rnanc s	Asse nt cri teria for co te go ssme rpora verna nce princ iple c ompl iance	Comp lianc e stat us with c ate orpor e prin ciple gove rnanc	Expla natio n of d eviat ions f rom criter ia use d to a plian ssess com ce with g ood c ate g orpor overn ance	№	Corp	e prin ciple orate gove rnanc s	Asse nt cri teria for co te go ssme rpora verna nce princ iple c ompl iance	Comp lianc e stat us with c ate orpor e prin ciple gove rnanc	Expla natio n of d eviat ions f rom criter ia use d to a plian ssess com ce with g ood c ate g orpor overn ance
For t he p f pre limin urpo se o ary idera tion of an tters cons y ma relat ing t o hu man reso urce s plan ning (suc ion cess plan ning ), pr ofes sion al posi tion and effic ienc com y of th e Bo ard o f Dir rs, th ecto e Nom inati on (A ppoi ntme nts, Hum ces) Com mitte an re sour e is es tabli shed with ajori ty a m of its bers bein mem g inde pend ent d irect ors.	1. Th e Bo ard o f Dir tabli shed ecto rs es the N omin ation Com mitte e (or its t asks indic ated in R datio n 18 6 of the ecom men Cod dele d to othe r Co mmi gate ttee e are ), wit h a m ajori ty of its m emb ers b eing inde pend ent d irect ors. 2. Th e int l doc f the Com nts o erna ume pany ify th ks of the Nom inati e tas spec on Com mitte e (or the relev ant C ittee with omm bine d fun ction s), in clud ing t he ta sks com indic ated in R datio n 18 6 of the ecom men Cod e. 3. In ord form the Boa rd of Dire er to ctors that best ts th als a nd o bjec tives of mee e go the C in th ortin riod , the omp any e rep g pe	plian com ce part ial plian com ce lianc nonc omp e	Crite rion 1: The task s of the N omin ation Com mitte bine d wit e are com the f ions of th e HR and unct Rem ation Com mitte uner e. Crite rion 2: is plied with com Crite rion 3: In th ortin riod the H R e rep g pe and Rem ation Com mitte uner did n ot in ith m inori tera ct w ty shar ehol ders whe lecti n se ng cand idate s for the Boa rd of D irect At th ors. e sa me time pplic able t to a , pur suan Russ ian la omin ation w, n s	2.9. 1		Boa rd of Dire ' ctors ent orm ance ass essm ed a t det ining erm effe ctive ly the Boa rd of ctors , its C ittee d omm s an bers k an d wh ethe wor r k me ets t he C wor omp any lopm ent r equi nts, reme ell a s at mak ing t heir work inte nsive and iden tifyin g s of impr ent. ovem	1. Th e Co ny's inter nal d ents mpa ocum defin cedu res f or th t e pro e as sess men (self ent) of th e Bo ard o f Dir ecto -ass essm rs perf orm ance 2. Th t (se lf-as t) of the e as sess men sess men Boa rd of Dire ' per form duct ed ctors ance con in th ortin riod inclu ded ent e rep g pe asse ssm of th rk of Com mitte es, i ndiv idua l e wo bers of th e Bo ard o f Dir ecto d the mem rs an Boa rd of Dire ctors who le. as a 3. Th ults of th e Bo ard o f Dir rs' ecto e res perf ent ( self- ent) orm ance ass essm asse ssm cond ucte d in the r rting iod w epo per ere revie wed at th e in- eetin g of the pers on m Boa rd of Dire ctors	plian com ce ial part plian com ce plian non com c
Give n the le of acti vitie sca s and leve l of r isk, t he B oard of D irect ade ors m sure	joint ly wi th ot her C ittee s of the B oard omm of D irect r the auth orize d div ision of th ors o e Com for i ntera ction with sha reho lders pany , nize d int tion with sha reho lders orga erac , not l imite d to the l st sh areh olde rs, in arge the c onte xt of the sele ction of c andi date bers of th e Bo ard o f Dir ecto rs of the mem Com pany In th ortin riod , the Boa rd of e rep g pe Dire of th e Co onsi dere d ctors mpa ny c align t of t he B oard with the stru cture men	plian com ce ial part	epte d fro m al l were acc shar ehol ders with e tha mor n 2% o f the Com 's vo ting pany shar es .	2.9.2		perf ent orm ance ass essm ent) of -ass essm oard of D irect ors, mitte nd B oard es a bers , is c arrie d ou t on a lar b asis , at l east onc e a . An rnal nisat ion exte orga sulta nt) is aged at eng hree ery t onc e ev yea rs inde pend ut an ent rry o ent o f the Boa rd of ssm ctors form per ance	e Co 1. Th ed a n ext l mpa ny e ngag erna nisat ion ( ultan t) to t an orga cons carr y ou inde pend nt of the Boa rd of ent a sses sme Dire ' per form at le in th ctors ast o ance nce e last t hree ortin riods rep g pe	plian com ce part ial plian com ce plian non com c
that the m emb ersh ip of its Com mitte es is fully in li ne with the orate obje ctive corp s of th e Co ny. E ither mpa addi	ecifi obje ctive rate scop e, sp cs, c orpo s, need d ris k pro file o f the Com s an pany Add ition al co mmi re ei ther form ed, ttee s we or de d no t nec eme essa ry.	plian non com c		3.1		Com y's C rate pan orpo to p rote ct th e rig hts ons	reta effe ctive inte ract ion w ry e nsu res inte rest s of sha reho lder nd s s, a upp	s sh areh olde oord rs, c f effi cien t wo rk o f its	Com inat ion o f the y's pan Boa rd o f Dir ecto rs
form ed, o r the re de d y we eme not n (Str ateg eces sary y Com mitte e, C rate orpo Gov Com mitte erna nce e, Ethic s Co mmi ttee , Ris k ent C Man ittee agem omm , get C Bud ittee omm , Com lth, S mitte Hea afety e on & En viron t, etc .). men				3.1. 1		Corp Sec y ha orate retar s ledg perie now e, ex nce, qual ificat ions suffi cien t lfill th e du ties assig ned, ell a imp ble s an ecca tatio d en joys the trust n an e sh areh olde rs.	1. Th e Co ny's web site and the mpa Ann ual R ovid e bio hica l rt pr epo grap infor mati f the Cor te S tary on o pora ecre (incl udin g inf ation duca tion, orm on a ge, e qual ificat ions and erien ce), ell a exp as w s infor mati ecut ive p ositi held on o n ex ons by th e Co ate S tary in ot her l egal rpor ecre entit ies w ithin at le ast t he la st fiv e ye ars.	plian com ce ial part plian com ce plian non com c
The posi tion of th com e Com mitte es is dete rmin ed to al low f preh ensi or a com ve disc ussio n of the i der ssue s un preli mina nsid erati ry co on with due ount of d ifferi acc ng opin ions	. The Aud it Co mmi , Rem ation ttee uner Com mitte e, N omin ation Com mitte e (or the ndin mmi ttee with bine d corr espo g co com func tions ) we re ch aired by i ndep ende nt direc tors in th ortin riod e rep g pe 2. Th e int l doc nts ( polic ies) of erna ume the C have ision cord ing omp any prov s ac to w hich who not m emb per sons are ers of th e Au dit C ittee , the Nom inati omm on Com mitte e (or the ndin corr espo g mitte e wit h co mbin ed fu nctio ns) a nd com the R tion Com mitte y att end emu nera e ma tings of th e Co mmi ttee ly at the mee s on invita tion of th e ch airm f the ectiv an o resp e Com mitte e.	plian com ce ial part plian com ce plian non com c		3.1.2		Corp Sec orate retar y is cien tly in depe nden t of t he 's ex ecut ive b odie pany s is ve sted with nd pow ers a uired erfo to p urce s req rm task s.	e Co 1. Th ny h dopt ed a nd p ublis hed mpa as a an in tern al do ent — the Reg ulati cum ons on the C Sec rate retar orpo y. 2. Th e Bo ard o f Dir ecto es th rs ap prov e intm ent a nd re al fro m of fice of appo mov the C Sec rate retar d co nsid ers t he orpo y an issue heir addi tiona l fee on t 3. Th e Co ny's inter nal d ents mpa ocum Corp ide f or th e rig ht of the orate prov Sec nd re ceiv retar y to est a requ e Com doc nd in form ation from nts a pany ume ce b odie ral d ivisio nd s, st ructu gove rnan ns a offic ials o f the Com pany	plian com ce part ial plian com ce plian non com c
				4.1	The and	leve l of r tion pai emu nera ired skil ls an d qu alific atio requ	d by the Com y is ade te to ble i t to pan qua ena ns. T he r tion due to t he m emb emu nera ers	attr act, tiva te a mo of th e Bo ard of D irec	nd r etai s ha ving n pe rson tors , the cuti ve b odie exe s,
	tiona l com mitte es w ere	Nom inati on C ittee , ind dent ly or omm epen	plian com ce	h e to th e Bo ard o f Dir ecto rs			The perf is aim how Dire mem their deve as w more area The (self the B Com mem regu year (con least to ca asse Dire The acti The the k and to fu as w repu of th The suffi Com and reso their	Sec and	ith it ort o

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Company are taken into account in order

excessively risky management decisions.

to avoid creating incentives to make

№	Corp orate e prin ciple gove rnanc s	Asse nt cri teria for co te go ssme rpora verna nce princ iple c ompl iance	Comp lianc e stat us with c ate orpor e prin ciple gove rnanc	Expla natio n of d eviat ions f rom criter ia use d to a plian ssess com ce with g ood c ate g orpor overn ance	№	Corp orate e prin ciple gove rnanc s	Asse nt cri teria for co te go ssme rpora verna nce princ iple c ompl iance	Comp lianc e stat us with c ate orpor e prin ciple gove rnanc	Expla natio n of d eviat ions f rom criter ia use d to a plian ssess com ce with g ood c ate g orpor overn ance
4.1. 1	The leve l of r tion paid emu nera e Co by th ny to its B oard mpa bers cutiv e bo dies mem , exe , and othe r key s is man ager adeq otiva te th uate to m em t o work effic ientl d en able y an s the C to at tract omp any and retai n kn owle dgea ble, skille d, an d du ly qu alifie d At th ime me t pers ons. e sa the C avoi ds s ettin omp any g the l evel of re erati mun on high er th any an n eces sary , ell a ably as w s an unre ason large betw the l evel gap een s	1. Re erati f the bers of th mun on o mem e Boa rd of Dire ctors , the cutiv e bo dies exe the C and othe r key s of man ager omp any is de term ined taki ng in to ac t the coun lts of is of rativ alys resu a co mpa e an the r tion leve l in c arab le emu nera omp pani com es.	plian com ce part ial plian com ce plian non com c		4.2. 1	Com The s fixe d pany pay al re erati on to the annu mun bers of th e Bo ard o f mem e Co Dire ctors . Th mpa ny does tion not pay remu nera for p artic ipati on in ain cert Boa rd m eetin r Bo ard gs o Com mitte es' m eetin The gs. Com doe t eng pany s no age meth ods of sh ort-t erm moti vatio d ad ditio nal n an finan cial ince ntive ards s tow the m emb f the Boa rd of ers o Dire ctors	the C 1. In the r rting iod, epo per omp any paid ation to th mbe rs of the rem uner e me Boa rd of Dire ctors in a danc e wit h ccor the r tion polic y ad opte d by the emu nera Com pany 2. In the C the rting iod, did repo per omp any not a pply form s of shor t-ter otiva tion m m or ad ditio nal fi ial in cent ives to th nanc e bers of th e Bo ard o f Dir ecto mem rs, the p f wh ich d ds o n the ent o aym epen Com 's pe rform (ind icato rs). The pany ance Com did erati on fo not p pany ay re mun r icipa tion in ce rtain Boa rd m eetin part gs o r Boa rd C ittee s' m eetin omm gs.	plian com ce part ial plian com ce plian non com c
4.1.2	of re erati f the mun on o se and loye f the pers ons emp es o Com pany The Com 's re erati pany mun on	1. In the r rting iod, the R tion epo per emu nera	plian com ce		4.2. 2	Long -term ersh ip of the own Com 's sh tribu tes pany ares con t to a ligni ng fi ial mos nanc inter ests of th mbe rs of e me	If the inte rnal docu t (do ents ), men cum ely, t he re erati olicy (po licies ) nam mun on p of th e Co tipul ates (stip ulate ) mpa ny, s ting of th e Co ny's shar es to gran mpa	plian com ce part ial plian com ce	Crite rion 1: The Com d pany app rove inter nal d ents ulati ocum reg ng the r tion polic emu nera y
	polic y is d evel oped by it s Rem ation Com mitte uner e and oved by t he B oard of appr Dire . Th e Re erati ctors mun on Com mitte ted e su ppor by th e Bo ard o f Dir ecto rs itors imp leme ntati mon on of an d co mpli with the ance tion polic y by the remu nera Com and , if n pany eces sary , revie nd a ds it ws a men	Com mitte iewe d the ation e rev rem uner polic y (po licies ) and /or i mple tatio men n tices ther eof, ssed the prac asse effic ienc d tra y the reof and y an nspa renc , whe ided rele vant re ne cess ary, prov ndat ions to th e Bo ard o f Dir ecto reco mme rs visin g the cifie d po licy ( polic ies). on re spe	part ial plian com ce plian non com c			the B oard of D irect ith ors w long -term inte rests of th e shar ehol ders . At the s ame Com time the doe t pany s no mak e the righ t to d ispo se of sh dep ende the nt on ares achi ent b y the Com evem pany of ce rtain form per ance lts; a nd th mbe resu e me rs of th e Bo ard o f Dir rs do ecto ake in th tion not t part e op prog rams	the m emb f the Boa rd of Dire ctors ers o , clea r rule s for sha hip b y the re ow ners bers of th e Bo ard o f Dir ecto rs ai med at mem ing l term ersh ip of h enco urag ong- own suc shar ust b vide d an d dis clos ed. es m e pro	lianc nonc omp e	base d on the ting of th gran e Com 's sh . At t he pany ares e tim e, th inter nal sam ese docu ts ar t dis clos ed men e no by th e Co mpa ny.
4.1.3	Com The 's re erati pany mun on polic vide s for tran ent y pro spar hani to b ed to mec sms e us dete rmin e the f unt o amo tion due to th remu nera e bers of th e Bo ard o f mem Dire , the cutiv ctors exe e bodi nd o ther key es, a s of the C man ager omp any, as well gula nd a ll tes a as re ny a	e Co 1. Th ny's tion polic mpa remu nera y (poli cies ) con tains tran ent m echa nism spar s for d eter mini ng th ount of re erati e am mun on of th mbe rs of the Boa rd of Dire ctors e me , the e tive bodi nd o ther key xecu es a s of the C ell a man ager omp any, as w s lates all t of p , ben efits ents regu ypes aym and privi lege nted to th s gra ese pers ons.	plian com ce part ial plian com ce plian non com c		4.2.3	The Com doe t pany s no ide f y ad ditio nal prov or an allow tion in ance or c omp ensa the e vent of e arly resig natio n of th e Bo ard m emb ers due to ch of c ontr ol ange the Com ther over pany or o circu msta nces	The Com doe t pro vide for a pany s no ny addi tiona l allo ation in wan ce o r com pens the e vent of e arly resig natio n of the B oard bers due to c hang e of cont rol o ver t he mem Com ther circu msta pany or o nces	plian com ce part ial plian com ce plian non com c
	s of , ben efits type ents paym , and privi lege vide d to the s pro abov e pe rson s.				4.3	The tem of r tion sys emu nera for t he d nde of re epe nce mun this form per anc e	due to t he m emb of th tive bod ers e ex ecu erat ion o n th e Co ny's form mpa per anc e an	ies a nd o ther key ma nag d th eir p nal c ontr erso	of th e Co rovi des ers mpa ny p ibut ion t o th hiev nt o f e ac eme
4.1.4	Com The dete rmin pany es a polic reim burs nt of y on eme (co nsat ion) expe nses mpe st of whic h co ntain s a li reim burs able exp ense s and ifies ice l evel spec serv ided to th mbe prov e me rs of th e Bo ard o f Dir ecto rs, utive bod ies, and exec othe r key s of the man ager Com . Suc h po licy m pany ay form of th e Co ny's part mpa tion polic remu nera y.	1.Th ation poli cy (p olici es) o r oth e rem uner er e Co inter nal d ents of th t out ocum mpa ny se the r ules for r eimb t of e ses t urse men xpen o the m emb f the Boa rd of Dire ctors , the ers o utive bod ies, and othe r key exec man ager s of th e Co mpa ny.	plian com ce part ial plian com ce plian non com c		4.3. 1	Rem ation due to th uner e bers of th ecut ive mem e ex bodi nd o ther key es a s of the C man ager omp any is de ined in s uch term a wa y able as to pro cure a re ason and justi fied ratio betw een its fix ed p nd it iable art a s var that is de pend part ent o n the C any' rform omp s pe ance and loye e's p nal emp erso (indi vidu al) c ibuti the ontr on to achi ent t here of. evem	1. In the r rting iod, al epo per annu perf indi cato ed b y the orm ance rs ap prov Boa rd of Dire ctors ed to dete rmin wer e us e the v ariab le re erati on d ue to the mun of th bers ecut ive b odie d oth mem e ex s an er key s of the C man ager omp any. 2. In the f the late st as t of cour se o sess men tion syste m du e to the m emb remu nera ers of th ive b odie d oth er ke ecut e ex s an y s of the C the Boa rd of man ager omp any, Dire (the Rem ation Com mitte e) ctors uner red t hat t he C appl ies assu omp any effec tive ratio of fi xed and varia ble p of arts	plian com ce part ial plian com ce plian non com c
4.2	The ratio stem of t rem une n sy fina ncia l inte rest s of sha reho	he B oard mbe harm oniz atio me rs e nsu res lder s	n of fina ncia l inte rest	s of Dire ctor s wi th lo ng-t erm			tion. remu nera 3. W hen dete rmin ing t he a nt of mou tion paid to th mbe rs of the remu nera e me utive bod ies a nd o ther key exec man ager s of th e Co he ri sks b by t he ny, t mpa orne

	Corp orate e prin ciple gove rnanc s	Asse nt cri teria for co te go ssme rpora verna nce princ iple c ompl iance	Comp lianc e stat us with c ate orpor e prin ciple gove rnanc	Expla natio n of d eviat ions f rom criter ia use d to a plian ssess com ce with g ood c ate g orpor overn ance
4.3. 2	Com The imp leme nted pany a lon g-te rm in cent ive	1. If t he C impl nted a lo ng-t omp any eme erm ince ntive for t he e tive bodi pro gram xecu es	plian com ce part ial
	for m emb f the prog ram ers o Com 's ex ecut ive b odie pany s	bers and othe r key s of the mem man ager Com Com invo lving the 's sh pany pany ares	plian com ce
	and othe r key man ager s invo lving the Com 's pany shar es (o ions r opt or othe r der ivativ e fin anci al instr the u nder lying nts, ume ts fo r wh ich a re th asse e Com 's sh ). pany ares	(or o ption othe r der ivativ e fin anci al s or ets f instr nts, the u nder lying hich ume ass or w he C any' s sh ), the are t omp ares pro gram ides that the right to d ispo uch prov se s shar nd o ther finan cial instr nts is es a ume ired arlie r tha n thr from acqu no e ee y ears the d hen such sha rovid ed. ate w res w ere p At th ime, the right to d ispo se th me t e sa e e is c ondi tione d by the achi f ent o sam evem ain t ts by the Com cert arge pany	plian non com c

4.3.3	The unt o f sev amo eran ce "go (the alled lden pay so-c	1. Th ount of s (the e am ever ance pay alled "go lden chut e") p ayab le by so-c para	plian com ce
	chut e") p ayab le by the para	the C in th ent o f ear ly dis miss al omp any e ev	part ial
	Com in th ent o f ear ly pany e ev	of th ecut ive b ody bers ther key e ex mem or o	plian com ce
	dism issal of th ecut ive e ex body bers ther key mem or o at th e init iative of th man ager e Com vide d tha t the pany , pro re have bee bad faith acti n no ons on th rt of such e pa per son, does ed tw o tim not exce es the fi xed of th eir a l	e Co at th e init iative of th man ager mpa ny, ad fa ided that ther e ha ve b no b ith prov een actio n the of s uch on, d id no part t ns o pers ed tw o tim es th e fixe d pa rt of their exce al re erati annu mun on.	plian non com c
	part nnua tion. remu nera
	The Com y ha s in plac pan e an e of ach ievin g th e Co assu ranc The Boa rd of Dire ctors	effi cien t ris k ma nt a nd in tern al co nag eme ny's ls mpa goa 1. Th e fun ction s of diffe rent gove rnan ce	ntro l sys tem des igne plian com ce	d to vide able pro rea son
	dete rmin ed th e pri ncip les	bodi nd d ivisio f the Com es a ns o pany	ial
	and oach tion es to appr crea	in th e ris k ma t and inte rnal nage men	part plian com ce
	of th e ris k ma t and nage men inter nal c ols s m in the ontr yste Com pany	rol s e cle arly defin ed in the cont yste m ar inter nal d /rele poli cies of ents vant ocum the C d by the Boa rd of omp any, app rove Dire ctors	plian non com c
	The utive bod ies o f exec	1. Th ecut ive b odie s of the C e ex omp any	plian com ce
	the C re th omp any ensu e	red t he d istrib ution of d uties ensu , pow ers
	esta blish t and tinui men con ng	and onsi bilitie s in ect o f risk resp resp	part ial plian com ce
	ratio n of the e fficie nt ope risk ent a nd man agem inter nal c ontr ol sy stem in th e Com pany	ent a nd in tern al co ntro l am man agem ong the m ers ( head s) of divis ions and anag depa rtme nts a ntab le to them ccou	plian non com c
	The Com 's ris k pany	1. Th e Co ny h ed mpa as a n ap prov	plian com ce
	nd in al ent a tern man agem cont rol s yste able m en s	antic ption poli orru cy.	ial part
5.1 5.1.1 5.1.2 5.1.3	to ob tain bjec tive, one an o fair a nd c lear view of th	2. Th e Co ny h as in plac afe, mpa e a s confi dent ial a nd e thod to-a asy- cces s me	plian com ce plian

№	Corp orate e prin ciple gove rnanc s	Asse nt cri teria for co te go ssme rpora verna nce princ iple c ompl iance	Comp lianc e stat us with c ate orpor e prin ciple gove rnanc	Expla natio n of d eviat ions f rom criter ia use d to a plian ssess com ce with g ood c ate g orpor overn ance
5.1.4 5.2	Com The 's Bo ard o f pany Dire ctors take uired s req and suffi cien t me es to asur hat t he e xistin ure t proc g risk nd ent a man agem inter nal c ol sy of ontr stem the C is co nsist ent omp any with the princ iples of a nd oach its c reati es to appr on et fo rth b y the Boa rd of as s Dire and that it op ctors erate s effic ientl y. For the s of lar i purp ose regu	1. In the r rting iod, the B oard epo per it Co of D irect ors ( Aud mmi ttee and/ or Com Risk mitte e (if any) ) con duct ed th e f the ent o risk ent a nd asse ssm man agem inter nal c ol sy ontr stem 2. In the rting iod, the B oard of repo per Dire ctors revi d the lts of the risk ewe resu nd in al co l sys ent a tern ntro tem man agem relia bility and effic ienc t and y as sess men infor mati n the lts of the revie on o resu w inclu ded in th e An nual Rep f the ort o was Com pany nde den t as t of relia bilit d ef pen sess men y an	plian com ce part ial plian com ce plian non com c ficie of th e ris k ma ncy	nt a nd in tern al nag eme
5.2. 1	trol syst ell a con em, as w s co Com The has te pany a se para struc tura l divi sion ed or e ngag an in depe nden t thir d-pa rty entit t inte rnal y to carr y ou audi t. Th e Int l Aud it erna Dep ent h artm ate as s epar lines of fu nctio nal a nd adm inist rativ ortin e rep g. Func tiona lly, th e Int l Aud it erna Dep ent i table artm to s ac coun the B oard of D irect ors.	ate tice s, th e Co rpor gov erna nce prac mpa For t he p of in tern al au dit, t he urpo ses Com ted a arate stru ctura l pany crea sep divis ion ( Inter nal A udit Dep ent) , whi ch artm is fu nctio nally able to th e Bo ard ount acc of D irect r the Aud it Co mmi ttee ors o , or ged an in depe nden t thir d-pa ntity rty e enga with the tabil ity p rinci ple. sam e ac coun	for inte rnal ny a rran ges plian com ce part ial plian com ce plian non com c	aud it
5.2.2	The Inter nal A udit Dep artm ent the effic ienc y of asse sses the i ntern al co ntro l and risk ent s yste nd man agem m, a the orate asse sses corp ce. T he C gove rnan omp any appl ies g ally a ted ener ccep dard s of inter nal a udit. stan	1. In the r rting iod, the e fficie of epo per ncy the i ntern al co ntro l and risk ent man agem syste d as part of th e int l m wa s ass esse erna audi t. 2. In the rting iod, the p racti repo per ce (indi vidu al pr actic es) o f cor te pora ce, i nclu ding cedu res f or th gove rnan pro e exch of in form ation (inte r alia ange , on inter nal c ontr ol an d ris k ma t) at all nage men leve ls of the C any' t, as omp s ma nage men well as in ction with stak ehol ders tera , was ssed f the inte rnal audi art o t. asse as p	plian com ce part ial plian com ce plian non com c
6.1	The Com d its ratio pan y an ope	re tr nt to sha reho lder s, in vest ns a ans pare	and oth take ors er s	hold ers
6.1.1	Com The has dev elop ed pany and impl nted eme an infor mati olicy uring on p ens effic of ient exch ange infor mati on b en th etwe e Com , sha reho lders pany , inve , and othe stors r stak ehol ders	Com 1. Th e Bo ard o f Dir ecto rs of the pany oved an i nfor mati olicy alig ned with appr on p Cod the r datio f the ecom men ns o e. 2. In the rting iod, the B oard repo per of D irect ors ( f its mitte es) or o ne o com idere d the effic ienc y of infor mati cons on the C exch betw ange een omp any, shar ehol ders , inve stors and othe r stak ehol ders and the dien expe cy (nec essit y) of revi sing the infor mati olicy on p of th e Co	plian com ce part ial plian com ce plian non com c

ANNEXES

complexity.

documents of the Company at the request

noncomplianc

policy) contains provisions stipulating that

if a shareholder files a request to provide

by the Company, the Company makes the

from the relevant entities controlled by the

necessary efforts to obtain such information

information on organizations controlled

The information policy (internal

documents defining the information

of shareholders.

Company.

e prin ciple rnanc s	Asse nt cri teria for co te go ssme rpora verna nce princ iple c ompl iance	Comp lianc e stat us with c ate orpor e prin ciple gove rnanc	Expla natio n of d eviat ions f rom criter ia use d to a plian ssess com ce with g ood c orpor ate g overn ance	№	Corp orate e prin ciple gove rnanc s	Asse nt cri teria for co te go ssme rpora verna nce princ iple c ompl iance	Comp lianc e stat us with c ate orpor e prin ciple gove rnanc	Expla natio n of d criter ia use d to a with g ood c orpor
The Com disc lose pany s	1. Th e Co ny d isclo infor mati mpa ses on	plian com ce		6.2.2	The Com ids a pany avo	1. Th e Co ny's infor mati olicy defi mpa on p nes	plian com ce
infor mati n its orate on o corp yste d gove rnan ce s m an tices , inc ludin g de taile d prac infor mati mpli on o n co ance with the princ iples and ndat ions of th reco	on th e Co ny's orate mpa corp gov erna nce syste d the eral princ iples of m an gen the c rate pplie d in orpo gove rnan ce a the C incl udin g the info rmat ion omp any, disc lose d on the Com 's Int t pany erne web site.	ial part plian com ce	form alist ic ap ch to proa infor mati on d isclo and sure	oach es to the disc losu re of info rmat ion appr ther ts (a ction s) th at ha on o even ve a	ial part plian com ce
		plian non com c			disc lose teria l info rmat ion s ma on it tivitie en if the s ac s, ev disc losu re of h inf ation suc orm is no uired	mate rial i ct on the valu quot ation mpa e or s of its uritie s, wh ich d ata d isclo is n ot sec sure ided for b y law prov	plian non com c
mme e e.	2. Th e Co ny d isclo infor mati mpa ses on o n bers hip o f the cutiv e bo dies and mem exe the B oard of D irect inde pend ors, ence of th mbe rs of the Boa rd an d the ir e me bers hip i n the Boa rd's Com mitte es (a mem s				t req by l aw.	2. Th e Co ny d isclo infor mati mpa ses on rding the Com 's ca pital stru cture rega pany in co mpli with Rec enda tion 290 ance omm of th e Co de in the Ann ual R rt an d on the epo Com 's we bsite pany 3. Th e Co ny d isclo infor mati mpa ses on o n
	Cod defin ed in the e). 3. In the t the re is trolli even a pe rson con ng the C the Com pub lishe omp any, pany s a dum of th ntro lling mem oran e co pers on rding the plan s of such in rega per son ect o f the te go in th resp cor pora vern ance e Com pany					cont rolle d en tities that of si gnifi cant are impo rtanc e to it, in clud ing t heir princ ipal activ ities , the hani uring mec sms ens unta bility of c ontr olled enti ties, the acco f the Boa rd of Dire ctors of th pow ers o e Com with ect t o de term ining the pany resp strat and ssin g the form of egy asse per ance cont rolle d en tities
Com y dis clos in a pan es, reho lder d inv esto rs to s an	time ly m er, f ull, upd ated and reli able info ann ke in form ed d ecis ions ma	tion abo ut it self rma	ble i s to ts so a ena			e Co 4. Th ublis hes nfina ncia l mpa ny p a no rt, in clud ing t he s usta inab ility r rt, repo epo envi enta l rep ort, orate ial ronm corp soc onsi bility r oth ort o port er re
The Com disc lose pany s infor mati on in orda with acc nce the p rinci ples of re gula rity, isten nd ti meli cons cy a ness , ell a ibility as w s ac cess , relia bility plete and , com ness	1. Th e Co ny h as d efine d a p dure mpa roce that oord inati f the k of ensu res c on o wor all st ructu ral d ivisio nd e mplo of ns a yees the C rela ted t o the disc losu re of omp any, infor mati aged in a ctivit ies t hat m on o r eng ay lead to th ed to disc lose info rmat ion. e ne	plian com ce part ial plian com ce plian non com c				resp rep ainin n-fin anci al inf ation cont g no orm , inclu ding fact elate d to the e nviro nt ors r nme (in p artic ular, logy fact nd c lima te eco ors a chan elate d fac ), the Com tors ge-r pany (soc ial fa ) and ctors te go cor pora vern ance , with the ption of th uity rities exce e eq secu issue r's re and the al re of th port port annu e
of d bility isclo sed com para data	2. In Com the t tha t the 's se curit ies even pany are t rade d in fore ign o ized mark ets, rgan the d isclo of m ater ial in form ation in th sure e			6.2.3	The Ann ual R	Com pany e Co 1. Th Ann ual R rt co ntain
	Russ ian F eder ation and in s uch mark ets i s ied o ut sy nchr sly a nd is the carr onou sam e durin g the ortin rep g ye ar.				rt, as epo one of th st im port ant t ools e mo of in form ation hang e wit h exc	ny's mpa epo s infor mati n the lts of the Aud it on o resu Com mitte e's a nt of the exte rnal sses sme	plian com ce part ial plian com ce
	3. If fore ign s hare hold ers h old a sign ifica nt f Co ber o ny's shar es, t hen num mpa infor mati on d isclo sed durin g the ortin rep g only in R ussia n, bu t als o in not year was one of th n for eign lang st co e mo mmo uage s.				the s hare hold nd o ther ers a stak ehol ders tains the , con infor mati nabl ing o on e ne the Com 's to as sess pany perf for t he y orm ance ear.	and inter nal a udit effic ienc proc ess y. 2. Th e Co ny's Ann ual R rt mpa epo Com cont ains info rmat ion o n the 's pany envi enta l pol icy a nd s ocia l pol icy. ronm	plian non com c
				6.3	The Com ovid es in form pan y pr and unh inde red essi bilit acc y	atio d do ents uest ed b y its sha n an cum req	reho lder s in orda acc	with the prin nce
				6.3. 1	The shar ehol ders rcise can exe their righ t of a s to the cces Com 's do ents and pany cum infor mati ithou dles t nee on w s	e Co 1. Th ny's infor mati olicy mpa on p (inte rnal docu ts de finin g the info rmat ion men polic y) de fines oced ure f rovid ing a pr or p unhi nder ed a infor mati nd s to cces on a	plian com ce part ial plian com ce

№

6.1.2

6.2

6.2.1

№	Corp e prin ciple orate gove rnanc s	Asse nt cri teria for co te go ssme rpora verna nce princ iple c ompl iance	Comp lianc e stat us with c ate orpor e prin ciple gove rnanc	Expla natio n of d eviat ions f rom criter ia use d to a plian ssess com ce with g ood c ate g orpor overn ance
6.3.2	Whe vidin g inf ation to n pro orm shar ehol ders , the Com pany main tains able a re ason bala betw the i ntere sts nce een	1. In the r rting iod, the C did epo per omp any efus satis fy sh areh olde rs' re not r e to ts ques for in form ation uch refus als w , or s ere justi fied.	plian com ce part ial plian com ce
	of in divid ual s hare hold ers and its ow n int lated ts re eres to th e fac t tha t the Com pany is int ted i n ke epin eres g confi dent ial se nsitiv e bu sine ss infor mati on th at m ight have teria l imp act o n its a ma petit iven com ess.	2. In es d mine d by the Com 's eter cas pany infor mati olicy , sha reho lders on p are ione d ab he c onfid entia l nat f caut out t ure o the i nfor mati nd u nder take to k it on a eep confi dent ial.	plian non com c
7.1	ffec Any act ions , wh ich a t or Com d, a rdin gly, pan y an cco ditio ring tha t the con ns e nsu	ffec Com mat eria lly a t the y's s hare may pan the ition of it s sh areh olde rs (" eria l cor mat pos righ nd in f the sha reho lder ts a tere sts o s as	ital s truc ture and cap ctio ns") te a pora are wel l as othe keh r sta	fina of t ncia l pos ition he tak n fa ir te and en o rms olde bse rved rs a re o
7.1.1	Mate rial c actio rate orpo ns are d ed to incl ude eem gani zatio n of the reor	1. Th e Co ny's Artic les o f Ass ocia tion mpa ide f list o f (cr iteria for i dent ifyin g) prov or a trans actio r oth tions falli ithin ns o er ac ng w	plian com ce ial part plian com ce
	Com uisit ion o f pany , acq 30 o t of i ts r mo re pe rcen votin g sh (tak r), ares eove ente ring by th e Co ny in to mpa mate rial t actio any rans ns, incre asin decr easi g or ng its sh apita l, list ing a nd are c delis ting of its sha ell res, as w ther actio hich as o ns w may lt in m ater ial c hang es in resu right s of its sh areh olde rs or infrin f the ir int ent o ts. gem eres The Com 's Ar ticle s of pany Asso ciati rovid e for a lis t on p of (c riteri a for iden tifyin g) actio r oth tions trans ns o er ac fallin g wit hin t he c f ateg ory o rial c actio mate rate orpo ns and ide t here in th at prov such acti fall w ithin the ons juris dicti f the Com 's on o pany Boa rd of Dire ctors	the c ateg f ma teria l cor te ac tions ory o pora Purs uant to th e Art icles of A iatio ssoc n, Dec ision mat erial te ac tions s on cor pora fall w ithin the juris dicti f the Com 's on o pany Boa rd of Dire ctors . Wh ere t hese te cor pora actio sly r ved by la w fo ns a re ex pres eser r the c eten f the Gen eral Mee ting omp ce o of S hare hold the B oard of D irect ers, ors mak priat enda tions to th es a ppro e rec omm e shar ehol ders	plian non com c
7.1.2	The Boa rd of Dire ctors play s a k le in mak ing ey ro deci sion iding s or prov ndat ions rela ting to reco mme rial c actio mate rate orpo ns. The Boa rd of Dire relie ctors s pinio f the Com 's on o ns o pany inde pend ent d irect ors.	e Co 1. Th ny h cedu re fo mpa as a pro r inde pend ent d irect ors t o sta te th eir o pinio n ial co ction s pri thei ater ate a or to on m rpor r oval appr	plian com ce part ial plian com ce plian non com c
7.1.3	en ta king mat erial any orate acti whic h corp ons affec t righ ts an d leg itima te inter ests of th e Co ny's mpa shar ehol ders al te , equ rms and cond ition ured s are ens for a ll of t he s hare hold ers; if sta tuto echa nism ry m s desi gned t the to p rotec shar ehol der r ights be e to prov insuf ficie nt fo r tha t pur pose , addi tiona l me asur es a re take he ri ghts n to prot ect t and legit imat e int ts of eres the C any' s sh areh olde omp rs. In su ch c the Com ases pany seek t onl ply y to s no com with the form al re quire ts men of la	1. Th e Co ny's Artic les o f Ass ocia tion, mpa takin g int t the uliar ities of th o ac coun pec e Com 's ac tivitie s, in clud e the l pany app rova of ot her t actio ns th at ar teria l to rans e ma the C in ad ditio n to thos e sti pula ted omp any by la w in the c eten f the Boa rd of omp ce o Dire ctors 2. In the rting iod, all m ater ial repo per orate acti sub ject to ap al corp ons were prov prior to th eir im plem enta tion.	plian com ce part ial plian com ce plian non com c

№	Corp orate e prin ciple gove rnanc s	Asse nt cri teria for co te go ssme rpora verna nce princ iple c ompl iance	Comp lianc e stat us with c ate orpor e prin ciple gove rnanc	Expla natio n of d eviat ions f rom criter ia use d to a plian ssess com ce with g ood c ate g orpor overn ance
7.2	The Com ch a ced for t akin ial c ions tha able s its sha reho lder ive ater rate act t en s to pan y en sure s su pro ure g m orpo rece full info tion uch acti in a time ly m rovi des the ith t he o ity t o infl uch acti and rtun rma on s ons ann er, p m w ppo uen ce s ons the obs and ade te le vel o f pro ion o f the ir rig hts w hen tak ing s uch acti rant tect gua ees erva nce qua ons
7.2.1	The infor mati teria l on o n ma orate acti is dis clos ed corp ons with xpla natio n of an e ditio nd reas ons, con ns a of s uch cons eque nces actio ns.	1. If t he C took mat erial omp any any orate acti durin g the ortin corp ons rep g perio d, th e Co ny d isclo sed infor mati mpa on uch actio ns in a tim ely a nd d etail ed on s inclu ding the ditio man ner, reas ons, con ns and of s uch actio ns fo cons eque nces r shar ehol ders	plian com ce ial part plian com ce plian non com c
7.2.2	Rule d pro cedu res i s an n relat ion t teria l cor te o ma pora actio ken by th e Co ns ta mpa ny t in it s int l et ou are s erna docu ts. men	1. Th e int l doc f the Com nts o erna ume pany ide f edur e for agin prov or a proc eng g an inde pend iser to de ine t he ent a term ppra valu e of disp osed cqui red erty prop or a maj tion uant to a or tra purs nsac or a non 's len gth t actio arm rans n. 2. Th e int l doc f the Com nts o erna ume pany ide f edur e for agin prov or a proc eng g an aise valu he c f acq uisit ion r to e ate t ost o appr and buyb ack of th e Co ny's shar mpa es. 3. In the abse of a form al int t of nce eres mbe r of t he B oard of D irect the a me ors, sole cutiv e bo dy, a ber o f the exe mem Colle gial Exec utive Bod y of the C omp any cont rollin of th e Co or a g pe rson mpa ny, ntitle d to give bind ing or a pers on e instr uctio ns to the Com , with ect pany resp to th e Co ny's trans actio ns, b ut in the mpa of a flict of in tere st or othe pres ence con r actu al int t, the inte rnal docu ts of eres men the C ide t hat s uch omp any prov a pe rson does not vote val o f suc h a on a ppro trans actio n.	plian com ce part ial plian com ce lianc nonc omp e	Crite rion 1,2: The Com 's int l pany erna docu ntain eral ts co men gen princ iples for e ing a ngag n aise r to d mine the eter appr valu e of disp osed erty prop of or uired uant acq purs to a majo r tran sact ion 's len gth or a non- arm trans actio d in s of n, an case isitio d bu ybac k of acqu n an the C any' s sh . At t he omp ares e tim e, th e Co ny's sam mpa inter nal d ents do ocum not c onta in a list o f cas es and the p dure for roce ging iser in enga an a ppra thes due to th e ca ses, e he C fact that , in t any' omp s tice, to d orate ate, corp prac uch actio ns h been no s ave take in re latio cept n, ex n to th m's leng th e no n-ar actio ns. T he C trans omp any iser enga ges an a ppra for t he n rm's leng th on-a actio ns in the trans case s and in ac cord with the ance edur scrib ed b y the proc e pre appl icab le law s of the R ussia Fede ratio n. Am endm ents to th e Co ny's inter nal mpa docu ts go ing t he men vern ent o f an aise enga gem appr r in th e ab s wil l be ove case mad e if s uch need s ari se. Crite rion 3: is plied with com

ANNEXES

the principles of corporate

governance set out in the

Code.

ANNEX 2

KEY RISKS

The Company monitors market trends and external environment on a regular basis and with due regard to key risks and opportunities for managing its asset portfolio and updating its Development Strategy. Particular focus is placed on factors that can have a significant impact on access to resources, markets, services, equipment, technologies, skilled personnel, etc. It also pays respect to global social and economic processes, the epidemiological situation, energy transition trends, promotion of the low-carbon agenda, the geopolitical situation (including

sanctions), world trade conditions, agreements between OPEC countries and other oil producers aimed at maintaining the balance in the global oil market, foreign policy, government regulation, infrastructure, etc., which can influence achievement of the TATNEFT Group strategic goals and the Group's future profile.

Risk	Desc riptio n	Risk m t anag emen	Indic ator
STR ATE GIC RIS KS
Mac ic ris ks roec onom	Cau of Dete riora tion se: ic co nditi ed mac roec onom ons caus by a slow dow n in glob al ec onom y and the r isk o f glo bal r sion eces s, incre ased vola tility in wo rld e nerg y price chan inflat iona tes, s, ex ge ra ry d tig hten ed fi scal and proc esse s, an poli cies etary mon Effe The ative imp n the cts: act o neg Com 's fin anci rform	Com The rio a ach to pany use s a s cena ppro fore ing m omic rs. O f cast mete acro econ para ne o the s rios is ba selin d ch teriz es th cena e an arac e ic sit uatio n tha t is t he m ost l ikely to mac roec onom r. In addi tion, the Com is d evel opin occu pany g a high oil p rice/ clim rio, w hich in li ith ate s cena ne w inter natio nal T CFD ndat ions s tha t reco mme ass ume incre in gl obal ld be tem ture ase ave rage pera wou kept belo w 2° C ab indu stria l leve ls, in add ition ove pre- to th ssim istic low o il pri rio. st pe e mo ce s cena	Cate : lon g-te gory rm risk Leve l: me dium
	al pe pany ance	The Com 's str y is t d for taina bility in ateg este pany sus all d evel rios. The low oil p rice ario ent s opm cena scen help s ide ntify the ts an d inv estm ent p rojec ts asse that are t he m ost s ensi tive t gativ e ch s in o ne ange ic ind icato mac roec onom rs.
Strat egic risk s	Cau se: T he g litica l eopo situa tion, ld tra de c ondi tions wor ,	Com ent S The imp leme nts t he D evel trate pany opm gy 203 0, w until hich is b ased deta iled anal ysis of on a	Cate : lon g-te gory rm risk
	ics a nd a cha mac roec onom nge in th rld e rkets e wo nerg y ma , nts b en O PEC etwe agre eme tries and othe r oil prod coun ucer s, ansi tion ds, c lima tic, gy tr tren ener lega l and latio chno logy tax n, te regu boom , cha in th e lab arke t, nges or m have a si gnifi imp n the etc. cant act o Com 's bu sine pany ss.	the c omb inati f all key f acto hich imp act on o rs, w may the C any' s de velo nt an d ac hiev nt of the omp pme eme Dec ision s of the C any' targ ets. t omp s ma nage men relat ed to the egic and lann ing a nd strat ent p curr ratio nal a ctivit ies a ade on th unds ope re m e gro of al l ava ilabl e inf ation rela ted t ssib le orm o po deve lopm rios and tend onsi der a ll ent s to c cena onab ly fo eabl riatio nd a ption reas rese e va ns a ssum s used in s uch plan ning . In o rder duce the risks to re ciate d wit h the ition , the inte rnal rgy t asso ene rans	Leve l: me dium
	Effe Ach ieve t of cts: men the s gic g oals und er th trate e Com 's De velo nt St	price for g hous issio ns is take n int reen e ga s em o unt w hen eval uatin g inv estm ent p rojec ts. acco
	rateg pany pme y large ly de pend the rnal exte s on envi ent. ronm	The Com has a hi gh-q ualit set s truct nd pany y as ure a a hig h-te ch b that it is i ving tinuo usly ase mpro con in ac cord with duct ion g oals , inc ludin g the ance pro deve lopm ent o f imp ort-s ubst itutin g tec hnol ogie d s an equi nt. T he C impl nts a poli f pme omp any eme cy o vert ical integ ratio d div ersifi catio hich allo n an n, w ws us to sign ifica ntly redu ce (e limin ate) strat egic risk s by re distr ibuti and mod ity flo ng re sour ces com ws and reali ze th tent ial of ket n iche s by e po new mar adin isting duct s/cr eatin lue-a dded upgr g ex pro g va

products.

Risk	Desc riptio n	Risk m t anag emen	Indic ator
Failu re to ach ieve the S usta inab le Deve lopm ent G oals	Cau se: T he la ck o f, or failu re to p ptly upda te su stain able rom deve lopm ent g oals (ES G an d UN S DG) , lac k of d reso urce s an ary t hiev proc esse s ne cess o ac e thes als, or in effic ienc y of e go new tech nolo gies e Co Effe cts: Dam to th ny's age mpa busi utati on, i ased loan ness rep ncre rates , lim ited ss to bor d acce rowe fund d hu s an man reso urce s, or RO I for inve nt in low stme zero new carb chno logie on te s.	The Com take tive effo rt to enab le ES G pany s ac trans form ation lt, it a ved and prior itized ; as a resu ppro sust aina ble d evel ent g oals ated rtica l opm , cre a ve syste m fo nagi usta inab le de velo nt r ma ng s pme Stra 203 0 to cts a nd u pdat e the tegy inclu de a aspe sect ion r ding clim ate c hang t and egar e ma nage men rd to carb on fo otpr int re duct ion. In or der pay rega Com to in volv e the 's bu sine in a chie ving pany sses Com sust aina ble d evel ent g oals , the has opm pany built an E SG r oadm nd a fram rk fo ular ap a ewo r reg itorin g the SDG nd a sing the stat mon us a sses adeq of re lated uacy mea sure s. The Com 's co ntrib ution turin g the to re struc pany aina ble d evel mad sust ent m nt sy stem opm anag eme e it po ssib le fo r the Com ignifi ly im to s cant pany prov e its e nviro ntal and clim atic ratin nd b nme gs a ecom e a r in e nviro ntal impa sette ct m nt. pace nme anag eme	Cate : lon g-te gory rm risk Leve l: me dium
Clim ate c hang e ris ks	Cau se: T ighte ned latio n in light regu of cl imat e ch and its p hysic al ange cons eque nces Effe cts: Low ost er re venu es, c th, d asin fitab ility, grow ecre g pro lowe r bus ines s eff ectiv d enes s an finan stric tions ce re	The Com sha res t he w orld ern f or cl imat pany conc e chan onsi sten tly a nd c rehe nsive ly ad here ge, c omp s to cl imat e/GH G re duct ion i nitia tives and play ole s a r in th e dis ion a nd im plem enta tion of m res t cuss easu o late nhou miss ions bot h na tiona lly regu gree se g as e and inter natio nally	Cate : lon g-te gory rm risk Leve l: hig h
Clim Cau More strin clim The ent T ATN EFT Grou p Str y 20 ate: gent ate ateg se: curr irem of s take hold a sh ift rojec ted o il pri incl udin g thr ents requ ers, on p ces, ee s Lowe r dem and for o il of co efere ards (bas eline , hig h pri nd lo ice s tow nsum er pr nces ce a w pr cena and oil p rodu cts ( and prod with a lo carb The main th po ints f or th e Co ucts wer on grow mpa prod with carb ucts on foot print rdan ith th e Str y 20 30 a re bu ateg acco ce w inten sity high er th an dive rsific ation by i asin g the duct ncre pro that of pe er/s ubst itute Effe Cha in th e Co ny's cts: nge mpa petit ive p rodu hat m the cts t eets com mos prod ) ture/ dec e in ucts struc reas reve nues envi l sta ndar ds a nd ti ghte ned enta ronm the c arbo n foo tprin t.		30 is bas ed rios cena rios) ny's valu e in sine ss ion o f t stri t ngen itorin g of mon	Cate : lon g-te gory rm risk Leve l: hig h
Clim ate: Esta blish t of G HG men quot as	Cau se: T ighte ned latio n in light regu of cl imat e ch and its p hysic al ange . An enha nced cons eque nces al G HG inter natio nal/n ation lator y fra ork regu mew Effe cts: Fee s for eedi ng th exc e le G HG q issib uota perm s.	The Com ecia l atte ntion to e xistin pany pay s sp g latio nd b ills b oth i n the Rus sian Fed erati regu ns a on and abro ad; a nt of the pote ntial effe ct of sses sme Car (CB EU's bon Bord er Ad justm ent M echa nism AM) and deve lopm ent o f car bon latio n in t he R ussia regu n Fede ratio of th e utm ost i rtanc n are mpo e. Com To re duce this risk , the sets ls to pany goa redu ce it rbon foot print and ach ieve carb s ca on by 2 050 neut rality ; to t his e nd, i t is im plem entin g a for r educ ing g hous issio prog ram reen e ga s em ns. Sinc e 20 21, w hen eval uatin g inv rojec estm ent p ts, it ha s tak en in entia l CO issio to ac t pot coun 2 em ns (Sco pe 1 , 2 a nd 3 ) in o rder to m inim ize t he im pact of proje cts o n the Com 's ca rbon foot print , with new pany the i ntern al ca rbon pric ed to calc ulate pote ntial e us finan cial impa ct.	Cate : lon g-te gory rm risk Leve l: hig h
Clim ate: Failu re to ply com GHG with ortin rep g irem ents of requ lator thor ities regu y au	Cau irem ents for se: new requ lar G HG r rting regu epo Effe ct: fi for le gal e ntitie d nes s an offic ials f or fa ilure to ide d ata, prov ision of inac te da ta. or prov cura	In or der t o mi nimi ze ri sks o f fail ure t vide o pro or GHG Com ide u nreli able , the has imp d prov pany rove its G HG a nting syst nd h utom ated ccou em a as a relat ed c alcu latio ith in al m onito ring and tern ns, w calc ulati heck a ke lutio on c s as y so n. The Com ularl rifies GHG calc ulati pany reg y ve ons with the invo lvem f ISO 140 64 c ertifi ed a udito ent o rs who hav ise in ificat ion o f non -fina ncia l pert cert e ex infor mati on.	Cate : sho rt-te gory rm risk Leve l: low

ANNEXES

Risk	Desc riptio n	Risk m t anag emen	Indic ator
Clim ate: Wor seni puta tion ng re beca of use envi enta l imp acts ronm	Cau of Incre ased atte ntion se: the s ocie ty, in nd ra ting/ vest ors a cred it ag enci the long es to -term ESG taina bility of c anie sus omp s (pot entia l refu sal o f inv ent i n the estm oil in dust ry). Effe Low pital izatio cts: er ca n, incre ased loan s, lim ited rate acce ss to bo ed fu nds and hum rrow an reso urce s.	Com The is c itted to p ting nsta nt, pany omm romo a co d tra dialo on E SG i rent ope n an nspa gue ssue s. The Com is ta king at ef fort to p te pany gre romo aina ble d evel oals in th ions sust ent g opm e reg whe re it . It p ublis hes its E SG i ndic rates ators ope rterly bas is in orde r to i inve stme nt on a qua ncre ase ctive and imp its p ositi in ES G attra ness rove ons rank ings bas ed o n tim ely a nd c lete disc losu omp re. Infor mati n cli -rela ted a ctivit ies is disc lose d mate on o ally i n the CDP stion naire and in th e Cl imat annu que e and Sust aina ble E y Fu ion o n the ture sect nerg Com 's we bsite pany	Cate : lon g-te gory rm risk Leve l: hig h
Clim ate: Failu re to imp leme nt proje cts t o red uce emis sion s/fai lure to achi GHG red uctio eve n targ ets	Cau Ban of su pplie s to the se: Russ ian F eder ation Effe cts: Hig her c osts of fo reign equi nt/te chno logy , log istics pme chal leng es.	Con stan t sea rch f or im port sub stitu tion optio nd ns a simi lar d stic prod ucts . In-h duct ion o f ome ouse pro equi nt. pme	Cate : sho rt-te gory rm risk Leve l: hig h
Clim ate: RO I for Zero inve stme nt in ne w low bon -car tech nolo gies	Cau Cha in e al Inno vativ hnol ogic al ris ks a sing issu xtern e tec se: nges re a pres e and inter nal c ondi tions for t he for t he C ecia lly in the long (Sce nario omp any, esp run impl ntati f pro jects duce 2030 , Ca rbon Neu tralit y by 2050 ). To red thes to re eme on o uce e nhou emi ssio risks , the Com itors tech nolo hat i gy, t gree se g ases ns. pany mon s, the s lutio d ca paci ty of exis ting and tate , evo n an Effe Mis ding of th cts: spen e rging tech nolo gies in R &D a nd eme , eng ages Com 's fu nds. pany inve sts in hi-te ch s ps th ntrib id tartu at co ute t o rap deve lopm ent o f gre en te chno logie s.		Cate : lon g-te gory rm risk Leve l: me dium
Clim ate: Natu ral ri sk	Cau Cha ngin athe se: g we r cond ition s in t he re gion Effe cts: Incr easi tiona l ng o pera cost s for tech nolo gica l pro cess es and OHS	The Com 's as sets main ly co trate d in pany are ncen the V olga Reg ion, Russ ia, w hich has ntly been rece sed to ex trem athe r phe h as expo e we nom ena, suc hurr ican es, d hts, and ice r ains . The latte roug r are the m ost d in te of do ing b usin ange rous rms ess as they pend ratio ns d ue to dam to can sus ope age infra (e.g ., bro ken er lin es). The finan cial struc ture pow ct of this risk is as soci ated with ts aspe reco very cos and loss d by pend ed b usin activ ity. es c ause sus ess	Cate : mid -term gory risk Leve l: me dium
Clim ate: Geo hica l risk grap s	Cau Clim ate c hang e in the se: regio n. Effe Disr d pro duct ion cts: upte d log istics ratio proc esse s an ope ns, in ad ditio n to ised com prom infra struc ture	The Com 's pr oduc tion inly ts ar pany asse e ma entra ted i n the mod erate tinen tal m id conc -con latitu de c lima te. T he C any' s ph ysica l ass ets omp and regio nal i nfras truct re de sign ed a nd b uilt ure a with due ard t o sig nific ant t eratu re/w ind reg emp chan and ipita tion, whi ch m akes them quit ges prec e resis tant in te of ph ysica l risk ocia ted w ith rms s ass clim ate c hang es. T he C large ly de pend omp any s on trans port infra struc ture rated by t hird part ies t ope o deliv er its duct s to cust rs, it doe t exp ect pro ome s no sign ifica nt di tions of tr ort in frast ructu any srup ansp re ciate d wit h cli mati c ris ks, t houg h. N thele asso ever ss, the C has gh a sset s to omp any enou ensu re ry sh f its fi nish ed p rodu thus tem orta cts, pora ge o mitig ating logi stics risk s.	Cate : lon g-te gory rm risk Leve l: me dium

Risk	Desc riptio n	Risk m t anag emen	Indic ator
TOR SKS REG ULA Y RI
Cou ific a nd ntry- spec polit ical risks geo	Cau Seve ral in ation al, tern se: ial, n ntal com merc on-g over nme nizat ions pub lish t heir try orga coun ratin gs b ased on t he le vel o f risk s, inclu ding poli tical s. In h one suc ratin gs, t he R ussia n Fe dera tion may be c lassi fied n inc ed-r isk as a reas try, w hich inve stors sho uld t ake coun into unt w hen inve sting in th acco e try's d se curit ies o f coun eco nom y an Russ ian is suer s. Effe cts: The Com is pany inco ated and has sets rpor man y as in th e Ru ssia n Fe dera tion; that is why its in vest t rati ay b men ng m e limit ed b y the ntry- ific cou spec ratin alcu lated by i ntern ation al, gs c ial a nd n ntal com merc on-g over nme nizat ions orga	The Com adh to th inion that the pany eres e op situa tion in th ion w here the Grou s its e reg p run core busi and whe re its key re lo d is ets a cate ness ass rally stab le. gene Ratin enci s the cred itwo rthin of g ag es a sses ess untry with a vie w to the relev ant c ount ry ris ks a co base d on thei thod olog ies. A s of Dec emb r ow n me er 31, 2 021, the C nded to th dit omp any corr espo e cre ratin sign ed b y the inte rnati onal ratin g as g ag ency Fitch Rat ings at B BB- ell a s the cred it rat ing , as w assig ned by th e int tiona l rati y Mo ody' erna ng a genc s at Ba a2. H thes e rat ings e wit hdra owe ver, wer wn by ra ting cies in M arch 202 2 du e to incre ased agen tions inst t he R ussia n Fe dera tion. sanc aga At th me t ime, the Expe rt RA ratin e sa g ag ency Com confi rmed the 's na tiona l sca le cr edit ratin pany g ril 20 22. at ru AAA with a st able outl ook in Ap	Cate : lon g-te gory rm risk Leve l: me dium
Sanc tions risk s	Cau se: T he U nited Stat he es, t Euro Unio d se l pean n, an vera othe ntrie s ha onsi tly sten r cou ve c impo sed tions on t he R ussia sanc n Fede ratio n, in clud ing s ecto ral tions affe cting the activ ities of sanc indiv idua l com pani ting in es o pera the e d oth ctors of th nerg y an er se e Russ ian e cono my. Effe cts: Cha in th e bu sine nges ss struc ture , low es, i ased er re venu ncre cost s of fore ign e quip t and men tech nolo gies , log istics cha lleng es.	In its acti vitie s, th e Co kes into ny ta unt mpa acco and itors the exist ing s ions inim ize t he anct to m mon adve ffect d co es (c onsi derin rse e s an nseq uenc g the p tial e sion of s ions , i.e. ious oten anct xpan , var initia tives in th e Un ited Stat nd o ther tries es a coun to st then the tions inst t he R ussia reng sanc aga n Fede ratio n), w hich mig ht ha sele ctive imp act o ve a n the C any' s hig hly p ising proj ects . To redu omp rom ce the r isks relat ed to the avai labil ity of tech nolo gies and equi nt su bjec t to s anct ions , the Com ies pme pany carr out t he c onsi sten t imp leme ntati f the on o pro gram of im port sub stitu tion and deve lopm ent o f dom estic tech nolo gies with the loca lizati f equ ipme nt on o prod uctio n in t he R ussia n Fe dera tion and the ent o f adv d ind ustry arch ters enga gem ance rese cen	Cate : lon g-te gory rm risk Leve l: hig h
Litig ation risk s	Cau Pote ntial failu fulfi ll re to se: al ob ligat ions by t he cont ractu Com or it bsid iary, or b pany s su y artie s of the T ATN EFT terp coun Grou p. Effe The Com be cts: pany may invo lved defe ndan laint iff in t or p as a mult iple lega l pro ceed ings that aris e in th e ord inary f bus ines cou rse o s.	In ca rryin t fina ncia l and ic ac tivitie s, th g ou eco nom e Com adh to th e pri ncip le of denc e. As pany eres pru of th e da te of l her eof, the C not app rova omp any was invo lved in an y litig ation , whi ch, w hen ruled upo n, migh t adv ly aff ect i ts fin anci al st andi erse ng. The Com is a to le gal p edin risin party pany roce gs a g in th e ord inary f bus ines s. C ntly, cou rse o urre the o utco f the edin t be me o se p roce gs c anno dete rmin ed. B ased on t he a vaila ble i nfor mati on, the m nt be lieve s tha t the re is a lo w ris k anag eme that futu sts a iated with kno oten tial re co ssoc wn p liabi lities ld ha mat erial adv effe ct on wou ve a erse the C any' s fin anci al pe rform or fi ial omp ance nanc stan ding	Cate : lon g-te gory rm risk Leve l: low
Rep utati on ri sk	Cau Publ icati f ina ate o se: on o ccur r disc redit ing i nfor mati r cha on o rges , leak s of confi dent ial in form ation , or ethic al vio latio ns b y the Com 's pany loye emp es Effe Dam to th e Co ny's cts: age mpa busi utati sulti ng in the ness rep on re disto rtion of c idea s ab out onsu mer the C any' tivitie oduc ts omp s ac s, pr and ices , whi ch w ould affe ct serv sale d pro fitab ility i n the rele vant s an busi t. ness seg men	The Com ches cial impo atta rtanc e to pany spe main taini ng it s bu sine tion and leve ling risks puta ss re with ative utati onal neg rep con sequ ence s. To p d mi nimi ze th gativ e eff f the nt an ect o reve e ne tatio nal r isk o n the Com 's bu sine ll repu pany ss, a activ ities ubje ct to te go are s cor pora vern ance To m utati onal risk , the Com anag e rep pany impl bala nced info ion p olicy , inc ludin nts a rmat eme g nd p te th lues , bra nd s to prot ect a mea sure romo e va and inter of th e TA TNE FT G in p ublic ests roup spa ce and s thr ning its b usin to e vent eate resp onse ess tatio repu n.	Cate : lon g-te gory rm risk Leve l: low

ANNEXES

Risk	Desc riptio n	Risk m t anag emen	Indic ator	Risk
Risk s of chan ges in le gisla tion and lator y fra ork regu mew	Cau se: T here be c hang es in may tax, toms inera l curr ency , cus or m laws , inc ludin g rul reso urce es for a llotti ng la nd p lots, sub ject to licen sing Effe s eff cts: Bus ines ectiv enes s and profi tabil ity la rgely dep end xcise /tax and ntion rates rete on e licen ses.	Com The ies o ut its acti vitie s in a danc pany carr ccor e with licab le law ngoi onito ring of app s, ru ns o ng m enfo laws and law ent p racti tribu tes t rcem ces, con o elab orati ng b ills o r oth gula tions in th e fue l and er re gy in dust d als ives for a tive o str struc ener ry an con dialo with ulato rs in f leg al ect o gue reg resp inter tion. preta The Com to th e law enfo pect ent pany pay s res rcem tice in co in or der t alua d pre dict urts te an prac o ev ible arios and min imize ntial imp pote acts poss scen on its b usin ess.	Cate : lon g-te gory rm risk Leve l: low	dem
FINA NCI AL R ISK S
Inve nt ris ks stme	Cau Cha in e al xtern se: nges and inter nal c ondi tions for t he impl ntati f pro jects , whi ch eme on o e a d eviat ion o f act ual R OI can caus from ecte d RO I. exp Effe tial p artia l or c lete ct: p oten omp loss of ow n inv miss pend ing estm ent, of th e Co ny's fund mpa s.	The Com take ntinu effo iden tify, rt to pany s co ous anal nd e valu ate i nt ris ks a nd ta kes tme yze a nves mini mize the that its p rojec step s to t sam e, so coul d rea ch a taina ble fi ial p erfo sus nanc rman ce. Mult ifact or ris k ass ent i s ba sed t and essm on e xper stati stica l ass ent o f the t sig nific ant r isks. essm mos Risk ent a nd m ultiva riate mod eling of th ass essm e inve stme nt pr ojec t per form is ca rried out takin ance g into unt t he c latio n fac tors of in puts acco orre	Cate : mid -term gory risk Leve l: me dium	Tech
Inter est r ate r isks	Cau se: A seni wor ng ic sit uatio d an mac roec onom n an incre in int y aff t rate ect ase eres s ma inter est e xpen ses. Effe cts: A ch in in tere st ra tes ange affe e Co ct th ny in ect may mpa resp of lo ans.	Sho he C uld t ives float ing- rate bank omp any rece loan s, it w ill he dge the r isk. T he ra tio o f fixe d an d float ing r ate l is m onito red a nd m ed o oans anag n ngoi ng b asis inim ize t he ri sk o f cha in to m an o nges inter est r ates	Cate : mid -term gory risk Leve l: low	skille
Curr risk ency s	Cau Cha in th se: nges e ic sit uatio n dir ectly mac roec onom affec t for eign hang e rat es. T he exc Gov ent c xert ernm an e curr ency cont rol to limit ratio ns in fore ign ope enci uire ruble ts curr es o r req pay men for fi ial o bliga tions in fo reign nanc enci curr es. Effe cts: Effe ctive of th ness e Com 's bu sine ss is sub ject to pany risks of a dver hang es in fore ign se c exch rate ange s.	The Com 's inc from sell ing o il an d oil pany ome prod is d ivers ified and is b oth i n for eign ucts enci nd in Rus sian rub les, w hich red curr es a uces impl icati of a ible chan ge in fore ign ons poss exch rate s. Th e Co eks t e de bt ange mpa ny se o us finan cing in th ntex t of c ncie s in line w ith e co urre the r nts. If ne it even ue c urre ncy com pone cess ary, hedg e its ition s eit her p artia lly or can curr ency pos plete ly. com	Cate : lon g-te gory rm risk Leve l: me dium	Logi
Risk ocia ted w ith s ass the C any' ck s sto omp trad ing	Cau se: T he C any' curit ies omp s se and their der ivativ ded re tra es a on th curit ies m arke t in R ussia e se and abro ad. C hang es in the irem for i rs fro ents requ ssue m lator thor ities and k stoc regu y au exch y for ce th e Co ange s ma mpa ny odify its c to m rate orpo gove rnan ce edur nd a e ad ditio nal proc es a ssum oblig ation s in t he fi eld o f info rmat ion disc losu d int tion with re an erac shar ehol ders Effe cts: As a lt of failu resu re to co mply with obli gatio ns, t he Com 's se curit ies c an b pany e dow n-lis ted o r del isted , whi ch c an tivel y aff ect t he li quid ity a nd nega	Com The itors cha in lis ting rules and pany mon nges othe uirem of re gula bodi nd s tock ents tory r req es a exch d tak ll ne ction s to ent ange s an es a cess ary a prev gativ e im he li quid ity of the Com 's pact on t a ne pany rities . At t he e nd o f Ap ril 20 22, t he C secu omp any pplic ation d the ADR and sent to e xten an a pro gram the a pplic ation d. was app rove The Com 's re tives icipa te in enta part pany pres work ing m eetin nd o ther issue rs' e s he ld vent gs a by th e Ba nk o f Ru ssia ck e xcha and othe , sto nges r nizat ions that ide a dviso d ed iona l ucat orga prov ry an ices for is s. Th e Co lso s trive s to serv suer mpa ny a impl nt th e be st int tiona l pra ctice s in t he fi eld eme erna of co ate g rpor over nanc e.	Cate : lon g-te gory rm risk Leve l: me dium

Risk	Desc riptio n	Risk m t anag emen	Indic ator
PRO DUC TIO N R ISK S
Oil p rice risk, oil a nd petro leum duct pro s dem and risk	Cau se: T he s lowd in w orld own omic th, a vatio n of econ grow ggra the g litica l situ ation ing eopo , wo rsen worl d tra de c ondi tions and a fa ster ansi tion in lig ht of the gy tr ener gthe ning ironm l age nda stren enta env affec t the dem and for o il an d oil prod ucts Effe Bus ines s effi cien nd cts: cy a profi tabil ity la rgely dep end rices on p and dem and for o il an d oil duct pro s.	Com The has the inter nal p oten tial t o red istrib ute pany mod ity flo ws in e of a sig nific ant d iffere in com cas nce price betw dom estic and inte rnati onal kets een mar , for c dem and rude oil a nd p etro leum duct pro s, and the a bility duce ebal ital a nd to re or r ance cap ratin o ful fill its obli gatio ns in e of sts t ope g co cas a slum p in price s of oil, g nd p leum duct etro as, a pro s. Reg ardin g glo bal o il de d Th e Co man mpa ny adhe o the ition that in th e mi d-lo il res t ng te pos rm o and oil p rodu ould be s ubst itute d ev en in cts w not light of a ltern ative rgy b (larg ely t hank s to ene oom deve lopin ies). g ec onom	Cate : lon g-te gory rm risk Leve l: me dium
Tech nica l and tech nolo gica l risk s	Cau Expl orati on, d evel ent, se: opm and equi ppin g of field new s, arati on, t port ation and prep rans essi f oil and is a v proc ng o gas ery plica ted ( tech nolo gica lly) a nd com nsive expe pro cess Effe cts: Bus ines rform s pe ance large ly de pend the t s on mos prod uctiv d av ailab le hi gh-t ech e an tech nolo gies	The Com ecia l atte ntion to d evel ent pany pay s sp opm and appl icati f cut ting- edge tech nolo gies in a ll on o lines of it s bu sine es in in-h R&D and ss, e ngag ouse erate s wit h ad ed in dust ch c ente coop vanc ry re sear rs. The Com is a ctive ly de velo ping IT in frast ructu pany re ered by t he s ingle info rmat ion p latfo pow new -gen rm of pr oduc tion ent, whic h int tes man agem egra infor mati on fl of al l ser vice s at all st of th ows ages e valu e ch ain.	Cate : mid -term gory risk Leve l: me dium
Risk of a sho e of rtag skille d pe nel rson	Cau Rec ruitm deve lopm ent, ent se: and ntion acti rete ons Effe Insu fficie alific ation cts: nt qu s and rtise of e mplo expe yees may have dver se im he pact on t an a Com 's fin anci al pe rform pany ance	The Com ion t hens ive at at tent pany pay s gre o co mpre staff dev elop t and imp leme aim ed nts p men rogr ams ining and cting lents , dev elop ing at tra attra ng ta you loye e sk ills a nd im ing e mplo moti vatio emp prov yee n to in se th e du ratio d effi cien f the ir crea n an cy o work for t he C Its H R str y is b ased ateg omp any. on the D evel ent S trate nd s taffin eds of opm gy a g ne the b usin units ; to t his e nd, t he C ess omp any runs pt re cruit ing c aign d off rofes sion al prom amp s an ers p train ing/ retra ining cou rses	Cate : lon g-te gory rm risk Leve l: me dium
Logi stics risk s	Cau Mos t con f oil se: sum ers o and oil p rodu cts a re di stan t fro m Com the r egio here the ns w pany its c ore b usin Rus sian runs ess. sea inals hav rtain limit ation term e ce s ciate d wit h ge phic asso ogra loca tion, ther cond ition wea s, and city. With in Ru ssia , oil capa prod ed m ainly ucts trans port are by p ipeli ilroa d be long ing nes or ra l mo ly ho lders and to na tura nopo their pric ing p olicy is d mine d by eter nt au thor ities to en gove rnme sure the b alan f inte rests betw the ce o een nt an d all part icipa nts i gove rnme n the t port ation rans pro cess	he C The regio n wh ere t its c omp any runs ore busi has tran t and othe r infr astru cture ness spor Com The itors the deve lopm ent a nd pany mon main tena of th e tra rt inf rastr uctu quire d nce nspo re re to de liver oil a nd p etro leum duct s to buye pro rs, keep on t he ta riff p olicy and acti vely s an eye icipa tes i n the rele indu stria l disc ussio part vant ns o r initia tives The Com has a la ank farm for s torin rge t pany g ial st ocks of o il an d pe trole rodu cts, com merc um p whic h ca n be also d du ring ordin extra use ary disru ption s in t he o tion of th e tra rt pera nspo infra struc ture	Cate : lon g-te gory rm risk Leve l: me dium
	Effe cts: The Com dep ends pany on th turity of tr ort e ma ansp infra struc ture , its n al orm unin terru pted func tioni nd ng a ss to this infra struc ture acce

cost of such securities.

Risk	Desc riptio n	Risk m t anag emen	Indic ator
Risk s of indu stria l and envi enta l safe ty ronm	Cau se: T he o tion of co mple pera x tech nolo gica l ass ets r elate d to haza rdou duct ion f acilit ies. s pro Effe cts: Thre ats o f inju ries, pote ntial dan ger t o live d he alth s an of em ploy ironm enta l har ees, env m and gativ e im he lo cal pact on t a ne latio popu n.	Com The has dev elop ed a preh ensi pany com ve aime d at mitig ating ative situ ation prog ram neg s ciate d wit h ind ustri al an d en viron tal asso men Com risks . The tinuo usly impl nts n pany con eme ew tech nica l and aniz ation al ac tivitie mini mize s to org the i ct of h ris ks. T he C also mpa suc omp any ides liab ility i for s al fa cilitie prov nsur ance ever s. Com preh ensi ction s in t his a rea h yield ed ve a ave the r educ tion of en viron tal fo int to the otpr men leve l whe re th ere i tial f oten tems to s a p or ec osys self- reco ver.	Cate : lon g-te gory rm risk Leve l: hig h
		To im e the effic ienc y of indu stria l and prov envi l safe nt, th e Co ny h enta ty m ronm anag eme mpa as intro duce d the m in plian ent s yste man agem com ce with inte rnati onal stan dard s ISO 140 01-2 015 a nd IS O 4500 1:20 18.
Epid emic risk s	Cau se: T he g loba l wid ead of espr COV 9, w ID-1 hich eriou may cau se s s lead ing t o de ath. cons eque nces	The of 2 022 char acte rized by t he fu rthe year was r (CO ad o f the el co virus infe ction VID spre nov rona 19). How , the s of this dise have ever con sequ ence ase beco ignifi cant ly m ilder me s	Cate : lon g-te rm gory risk Leve l: low
	Effe cts: Mea s tak en to bat sure com COV 9 lea the s d of ID-1 d to prea the u f lim iting bus ines rgen cy o s activ ities , whi ch a ffect s the dem and for e nd o ther nerg y res ourc es a prod of th e Co ll as ucts mpa ny, a s we to th ed fo ive m vent e ne r pre easu res aime d at ing t he s d of supp ress prea infec tion.	Com The has imp leme nted hole e of pany a w rang s aim ed a t pre vent ing m infec tion and mea sure ass ngin ccin ation s in both loye nd lo cal arra g va emp es a resid ents The Com 's eff have min imize d the ative orts pany neg impa ct of the pand emic he C any' s bu sine on t omp ss and have d op erati onal disr uptio ns. T he ente prev rienc e of essf ul fig ht ag ains t CO VID- 19 expe succ in ad ditio the C any' akes it n to omp s me asur es m ible for it ptly ond her m to p to ot poss rom resp ass infec tious dise ases
Infor mati ity ri sk on s ecur	Cau Pote ntial loitin g of se: exp vuln erab ilities of th e Co ny's IT mpa syste ms Effe cts: Los ed b y the ses caus Com 's pr rty a nd a sset pany ope s as ult o f una utho rized ess t o its a res acc infor mati yste r dis clos f on s ms o ure o confi dent ial in form ation	The Com imp leme nts a set of m res t pany easu o re th e int egrit ibility and fiden tialit ensu y, ac cess con y of its info rmat ion r . In o rder to co ntro l esou rces ss to info rmat ion r and syst acce esou rces ems , it em ploy y of hard and soft to s an arra ware ware iden tify i ncid ents jeop ardiz ing i nfor mati ity. on s ecur Com The duct ular audi ts in ord er to pany con s reg re st rict c lianc e wit h the Priv Polic y. To ensu omp acy of in form raise loye es' a ation urity emp ware ness sec irem , it of fers cybe urity brie fings ents requ rsec on a mati c ba sis. T he B oard of D irect ved syste ors a ppro the C any' s Cy bers ity a nd C yber Res ilien omp ecur ce Polic y.	Cate : lon g-te gory rm risk Leve l: hig h
Econ omic urity risk sec	Cau Pote ntial offe sed se: nses cau by u upul actio f the nscr ous ns o Com 's em ploy or th ird pany ees part ies Effe cts: Dam to th ages e Com 's pr rty a nd a sset pany ope s as ult o f offe mitte d by a res nses com	The Com take s ste ps to ent p oten tial pany prev dam to its pert d as sets lt of age pro y an as a resu offe , the se in clud ing a ntro l, a c lear nses cces s co divis ion o f res ibilit ies in clud ing c ontra cts pons con or tra tions ents for k eepi nd nsac , arra ngem ng a prot ectin rcial rets, due dilig in g co mme sec ence ect o f cou nterp artie s be fore ente ring into resp a cont ract, and sett ing a Hot line. In a dditi on, t he	Cate : lon g-te gory rm risk Leve l: me dium

Company's departments of economic and financial

security conduct selective inspections.

the Company's employees or third

parties, including fraud or theft.

ANNEX 3

REPORT ON MAJOR AND NON-ARM'S LENGTH TRANSACTIONS ENTERED INTO BY PJSC TATNEFT NAMED AFTER V.D. SHASHIN IN 2022

APPROVED BY Resolution of Board of Directors of PJSC TATNEFT named after V.D. Shashin (Minutes No. 10 of 24.03.2023)

The validity of the data has been verified by the conclusion of the Auditing Committee PJSC TATNEFT named after V.D. Shashin (Minutes No. 6 of 28.02.2023)

This report contains a list of transactions carried out by PJSC TATNEFT n. a. V. D. Shashin (hereinafter referred to as the Company, PJSC TATNEFT) in 2022, which are recognized as non-arm's length transactions under the Federal Law On Joint Stock Companies No. 208-FZ dated 26.12.1995.

The entities listed in this report are recognized as non-arm's length parties in making such transactions as at the date of the transactions.

Item No.	Coun terpa rty	Non- Arm's Leng th Pa rty Non- Arm's Leng th Ba sis	Comp any's rning body that gove made the d ecisio n ratify to autho rize o r the tr ction / ansa decis ion d ate	Essen tial te f the actio trans rms o n
1	JSC TANE CO:	PJSC TAT NEF T as th tity c ollin g JS C TA NEC O: ontr e en	Boa rd of Dire ctors 27.0 1.20 22	Sub f the ion: chas d stan tran sact ce o pur e an sale of im able pert mov pro y Imm ble p rty i : In- plan t cab le tem ova rope orks 6kV , 380 /220 V (tit .130 /2). netw Part ies t o th tion : Se ller - PJS C e tra nsac TATN EFT, Buy er - J SC T ANE CO. Tran sact ion v alue : 960 975 150 ,08 r uble s. Tran sact ion D ate: 31.0 1.20 22
2	JSC CO: TANE	PJSC TAT NEF T g JS C TA NEC O: as th tity c ontr ollin e en	Boa rd of Dire ctors 23.1 1.20 21	Sub stan f the tran sact ion: chas d ce o pur e an sale of im able pert mov pro y : Se 1070 Imm ble p rty i tem rvice rack (tit. ova rope ion 1 990) sect Part ies t o th tion : Se ller - PJS C e tra nsac TATN EFT, Buy er - J SC T ANE CO. Tran ion v alue : 1 0 55 8 77 8 01, 3 9 rub les. sact Tran ion D 01.0 3.20 22. sact ate:
3	JSC TANE CO:	PJSC TAT NEF T as th tity c ontr ollin g JS C TA NEC O: e en	Boa rd of Dire ctors 23.1 1.20 22	Sub stan f the tran sact ion: chas d ce o pur e an sale of im able pert mov pro y Imm ble p rty i tem : Ra ck w ith o ffsite ova rope pipe lines , ste ipeli (tit.1 070 sect ion proc ess am p nes 1999 ). : Se PJS Part ies t o th e tra tion ller - C nsac SC T CO. TATN EFT, Buy er - J ANE : 2 9 48 3 89 6 33,5 Tran sact ion v alue 5 rub les. 01.0 3.20 22. Tran sact ion D ate:

Item No.	Coun terpa rty	Non- Arm's Leng th Pa rty Non- Arm's Leng th Ba sis	Comp any's rning body that gove made the d ecisio n to autho rize o ratify r the tr ction / ansa decis ion d ate	Essen tial te f the actio trans rms o n	Item No.	Coun terpa rty	Non- Arm's Leng th Pa rty Non- Arm's Leng th Ba sis	Comp any's rning body that gove made the d ecisio n to autho rize o ratify r the tr ction / ansa decis ion d ate	Essen tial te f the actio trans rms o n
4	JSC CO: TANE	PJSC TAT NEF T g JS C TA NEC O: as th tity c ontr ollin e en	No a val ppro ired from requ the g ning over body *	Sub stan f the tran sact ion: chas d ce o pur e an sale of im able pert mov pro y ck fo of Imm ble p rty i tem : Blo r loa ding ova rope leum cok e int o du ruck s (tit .1015 /1 se ction petro mp t 5112 ). Part ies t o th tion : Se ller - PJS C e tra nsac TATN EFT, Buy er - J SC T ANE CO. Tran ion v alue : 252 442 250 ,40 r uble sact s. Tran ion D 31.0 3.20 22. sact ate:	7	JSC CO: TANE	PJSC TAT NEF T g JS C TA NEC O: as th tity c ontr ollin e en	Boa rd of Dire ctors 23.1 1.20 21	Sub stan f the tran sact ion: chas d ce o pur e an sale of im able pert mov pro y Imm ble p rty i tem : Hyd sion ova rope roco nver Plan t (titl e 10 14, s ectio n 410 2). Part ies t o th tion : Se ller - PJS C e tra nsac TATN EFT, Buy er - J SC T ANE CO. Tran ion v alue : 8 3 36 3 86 4 76,6 5 rub les. sact Tran ion D 01.0 7.20 22. sact ate:
5	Tatne ft-Ak tiv LL C	PJSC TAT NEF T as th tity c ontr ollin g JS C TA NEC O: e en	No a val ppro ired from requ the g ning over body *	Sub stan f the tran sact ion: chas d ce o pur e an sale of p rty rope Prop erty item hip i ntere st of 47,1 82% : ow ners in th thor ized capi tal o f Niz hnek k Ca rbon e au ams int-S Com Blac k Pla nt Jo tock pany : Se Part ies t o th e tra tion ller – Tatn eft-A ktiv nsac LLC, PJSC Buy TAT NEF T. er - : 781 960 000 ,00 r Tran sact ion v alue uble s. 04.0 5.20 22. Tran sact ion D ate:	8	JSC Tatne ftekh iminv est Hold ing	1. Cha irma n of the B oard of D irect ors of PJ SC T ATN EFT ed a fter nam V.D. Sha shin R. N . Min nikh anov ntly s Cha irma n of conc urre erve s as the B oard of D irect f JSC TNH I ors o Hold ing; rship inte rest in th no o wne e — JSC auth orize d ca pital of P TAT NEF T; rship inte rest in no o wne — f JSC the a utho rized ital o cap TNH I-Ho lding ;	The notifi catio n edur e ha proc s been follo wed No a val o f ppro the t actio rans n has been este d as requ at th e da te of oval of th is appr Rep ort.	Sub f the ion: Ass ignm o the stan tran sact ent t ce o New Len der o f the Rig ht of Cla im b elon ging to th e Lend nt to Loa n Ag ent N o. 00 6/20 17/ er pu rsua reem TN-N ZSH CM K da ted 16.0 6.20 17, c oncl uded betw the L ende r and Nizh neka msk Truc k Tir een e Plan t LLC , and Loa n Ag ent N o. 02 2/20 19/ reem TN-N KSH date d 25 .02.2 019, lude d be twee conc n the L ende r and PJS C Ni zhne kam sksh ina. Part ies t o th e tra tion : Len der - nsac PJSC JSC TAT NEF T, N ew le nder - Bu yer - g (JS C TN Tatn efte khim inve st-H oldin HI-H oldin g).
6	JSC Tatne ftekh iminv est Hold ing	1. Cha irma n of t he B oard of D irect ors of PJ SC T ATN EFT ed a fter nam V.D. Shas hin R .N. M innik hano v tly se as C hairm f conc urren rves an o the B oard of D irect f JSC TNH I ors o Hold ing; rship inte rest in th no o wne e — auth orize d ca pital of PJ SC T ATN EFT; rship inte rest in no o wne — the a utho rized ital o f JSC cap TNH I-Ho lding ; 2. Gen eral Dire ctor, Mem ber o f the Boa rd of Dire ctors , Cha irma n of f PJS C the M nt Bo ard o anag eme .D. S TATN EFT ed a fter V hash in nam N.U. Mag ently anov con curr serv es as M emb er of the Boa rd of Dire ctors of JS C TN HI-H oldin g; ersh ip int t in t he own eres — auth orize d ca pital of P JSC TATN EFT - 0,0 0017 6%; rship inte in rest no o wne — the a utho rized ital o f JSC cap TNH I-Ho lding ; 3. Mem ber o f the Boa rd of Dire ctors of PJ SC T ATN EFT ed a fter nam V.D. Shas hin S h. F. Takh autd inov tly se as M emb er of conc urren rves the B oard of D irect f JSC TNH I ors o Hold ing; ersh ip int t in t he a utho rized own eres — capi tal o f PJS C TA TNE FT - 0,116 503% ; rship inte rest in no o wne — the a utho rized ital o f JSC cap TNH I-Ho lding ; 4. Mem ber o f the Boa rd of Dire ctors of PJ SC T ATN EFT ed a fter V .D. nam Shas hin V . Yu. Soro kin c rrent ly oncu s Me mbe r of t he B oard of serv es a Direc tors of JS C TN HI-H oldin g; rship inte rest in th no o wne e — SC T auth orize d ca pital of PJ ATN EFT; rship inte rest in no o wne — f JSC the a utho rized ital o cap TNH I-Ho lding ;	15.0 8.20 22	Sub f the ion: chas d stan tran sact ce o pur e an sale of p rty rope Prop item erty : ersh ip int t of 1 ,026 9% o f the auth orize d own eres — capi tal o f Kam a Tra ding Hou se L LC; ersh ip int t of 9 9,96 2% o f the auth orize d own eres — capi tal o f Niz hnek k Tru ck T ire P lant LLC; ams ersh ip int t of 1 00% of th thor ized own eres e au — capi tal o f Ma t Co ny Ta tneft nage men mpa Neft ekhi m LL C; ersh ip int t of 9 9% o f the auth orize d own eres — capi tal o f JSC Nizh neka msk Mec hani cal P lant; ersh ip int t of 5 5,92 68% of th thor ized own eres e au — f JSC capi tal o Yarp olym sh-T atne ft. erma : Se PJS C Part ies t o th e tra tion ller - nsac SC T TATN EFT, Buy er - J atne ftekh imin vest -Hol ding (JSC TNH I-Ho lding ). Tran ion v alue : 35 554 634 000 , 00 ruble sact s, ting 2,64 9% o f the boo k val f the repr esen ue o Com 's as as d mine d on the basi s of sets eter pany the a nting rds a 31 M arch 202 2. s at ccou reco Tran ion D 09.0 6.20 22 sact ate:			2. Gen eral Dire ctor, Mem ber o f the rd of , Cha n of Boa Dire ctors irma the M nt Bo ard o f PJS C anag eme TATN EFT ed a fter V .D. S hash in nam N.U. Mag ently anov con curr serv es as M emb er of the Boa rd of Dire ctors of JS C TN HI-H oldin g; ersh ip int t in t he own eres — auth orize d ca pital of P JSC TAT NEF T - 0,0 0017 6%; rship inte rest in no o wne — the a utho rized ital o f JSC cap TNH I-Ho lding ; 3. Mem ber o f the Boa rd of Dire ctors of PJ SC T ATN EFT ed a fter nam V.D. Sha shin Sh. F. Ta khau tdino v ntly s Mem ber o f conc urre erve s as the B oard of D irect f JSC TNH I ors o Hold ing; ersh ip int t in t he own eres — auth orize d ca pital of P JSC TAT NEF T - 0,1 1650 3%; rship inte rest in no o wne — f JSC the a utho rized ital o cap TNH I-Ho lding ; 4. Mem ber o f the Boa rd of Dire ctors SC T of PJ ATN EFT ed a fter V .D. nam Shas Sor hin V . Yu. okin ently con curr s Me mbe r of t he B oard of serv es a Dire of J SC T NHI- Hold ing; ctors rship inte in th rest no o wne e — auth orize d ca pital of P JSC TAT NEF T; rship inte in rest no o wne — the a utho rized ital o f JSC cap TNH I-Ho lding ; 5. Mem ber o f the Boa rd of Dire ctors of PJ SC T ft na med afte r V.D atne Shas hin R .M. G aliev ently con curr mbe r of t he B oard of serv es a s me Dire of J SC T NHI- Hold ing; ctors rship inte in th rest no o wne e — auth orize d ca pital of P JSC TAT NEF T; rship inte rest in no o wne — the a utho rized ital o f JSC cap TNH I-Ho lding ;		: 2 7 99 6 92 4 83,0 0 rub Tran sact ion v alue les. 30.0 6.20 22. Tran sact ion D ate:

ANNEXES

Item No.	Coun terpa rty	Non- Arm's Leng th Pa rty Non- Arm's Leng th Ba sis	Comp any's rning body that gove made the d ecisio n to autho rize o ratify r the tr ction / ansa decis ion d ate	Essen tial te f the trans actio rms o n	O C I N T E R N A L D U M E O F T H E C O M P A N Y
9	JSC TANE CO:	PJSC TAT NEF T as th tity c ontr ollin g JS C TA NEC O: e en	Boa rd of Dire ctors 26.0 7.20 22	Sub stan f the tran sact ion: incr easi ng th ce o e unt o f fun ding ided by t he P rinci pal t o the amo prov Age nt un der t he A y Ag ent b terin genc reem y en g into pple tary nt. a su men agre eme Part ies t o th e tra tion : Prin cipa l - JS C nsac TAN ECO ,Age nt - P JSC TAT NEF T. Tran sact ion v alue : 16 666 666 667, 00 ru bles Tran sact ion d ate: 26.0 8.20 22.
10	JSC TANE CO:	PJSC TAT NEF T as th tity c ollin g JS C TA NEC O: ontr e en	Boa rd of Dire ctors 29.0 9.20 22	Sub f the ion: chas d stan tran sact ce o pur e an sale of im able pert mov pro y Imm ble p rty i s: H eatin g pla nt (ti tle tem ova rope 1135 tion 7515 ), the rmal clam ping ation wat er st , sec (title 1139 tion 7570 ) and hea ting r (titl wate , sec e 1136 tion 7580 ). , sec
				Part ies t o th tion : Se ller - PJS C e tra nsac TATN EFT, Buy er - J SC T ANE CO. Tran sact ion v alue : 3 4 77 8 90 3 60, 6 9 rub les.	Artic les o f As iatio n of PJS C TA TNE FT n .a. V .D. S has hin soc — Gen Sha PJS C TA .D. S Reg ulat ions the eral Me etin g of reho lder s of TNE FT n .a. V has hin on —
				Tran sact ion d ate: 30. 11.20 22.
11	JSC CO: TANE	PJSC TAT NEF T g JS C TA NEC O: as th tity c ontr ollin e en	Boa rd of Dire ctors 30.1 1.20 22	Sub stan f the tran sact ion: chas d ce o pur e an sale of im able pert mov pro y Imm ble p rty i tem : Eas t-We st Ra ck ova rope	Reg ulat ions the Boa rd o f Dir rs of PJS C TA TNE FT n .a. V .D. S has hin ecto on — Reg ulat ions the Aud it Co ittee of t he B oard of D irec tors of P JSC TAT NEF T n. a. V .D. S has hin on mm —
				(tit.0 70, s ec.0 902 ge II ). , sta Part ies t o th tion : Se ller - PJS C e tra nsac	Co JSC Reg ulat ions the HR a nd R tion ittee of t he B oard of D irec tors of P TAT NEF T n. on emu nera mm —
				TATN EFT, Buy er - J SC T ANE CO. Tran ion v alue : 14 086 101 0 51,47 rub les. sact Tran ion d 30. 11.20 22. sact ate:	— V.D . Sh ash in n.a.
12	JSC TANE CO:	PJSC TAT NEF T	Boa rd of	Sub stan f the tran sact ion: chas d ce o pur e an	Gen JSC .D. S Reg ulat ions the eral Dire ctor of P TAT NEF T n. a. V has hin on —
		as th tity c ontr ollin g JS C TA NEC O: e en	Dire ctors 30.1 1.20 22	sale of im able pert mov pro y Imm ble p rty i tem ova rope s: Pare .011 2600	Reg ulat ions the Man t Bo ard of P JSC TAT NEF T n. a. V .D. S has hin on age men —
				x (tit ): sec. Isom ar (t it.011 .270 0), T atora y (tit .011 2800 ), sec sec. (tit.0 Frac tiona tion of be d tol 11 nzen e an uene 2900 ): sec.	Reg ulat ions the Rev ision Co issio n of PJS C TA TNE FT n .a. V .D. S has hin on mm —
				: Se PJS C Part ies t o th e tra tion ller - nsac SC T CO. TATN EFT, Buy er - J ANE	Cor te G ce C JSC .D. S ode of P TAT NEF T n. a. V has hin pora ove rnan —
				Tran ion v alue : 8 9 32 3 02 4 19,2 7 rub les. sact Tran ion d 27.1 2.20 22. sact ate:	PJS C TA TNE FT n .a. V .D. S has hin Poli n Su stai nab le D lopm and Inte ion w ith S take hold ent ract cy o eve —
					Risk Ma nt a nd I nter nal C ontr ol P olicy of P JSC TAT NEF T n. a. V . D. Sha shin nag eme —
13	JSC TANE CO:	PJSC TAT NEF T as th tity c ontr ollin g JS C TA NEC O: e en	Boa rd of Dire ctors 30.1 1.20 22	Sub f the ion: chas d stan tran sact ce o pur e an sale of im able pert mov pro y Imm ble p rty i tem : Dis tribu tion ova rope	SC T . Sh Reg ulat ions the Divid end Pol icy o f PJ ATN EFT . V.D ash in on n.a —
				trans form bsta tion (tit.1 24/4 1) w ith c ontr ol an d er su instr nt te chni cal r (tit.0 91/6 ): ume oom Part ies t o th e tra tion : Se ller - PJS C	Reg ulat ions the Cor te S of P JSC TAT NEF T n. a. V .D. S has hin tary on pora ecre —
				nsac TATN EFT, Buy er - J SC T ANE CO. Tran sact ion v alue : 1 0 92 9 23 8 65, 4 1 rub les.	Reg ulat ions the Inte rnal Aud it De part t of PJS C TA TNE FT n .a. V .D. S has hin on men —
				Tran sact ion d ate: 27.1 2.20 22.	SC T . Sh Reg ulat ions the Info tion Pol icy o f PJ ATN EFT . V.D ash in on rma n.a —

not subject to approval by the Company's governing body under Article 81, clause 2, item 12 of the Federal Law on Joint-Stock Companies and clause 1 of the Bank of Russia Directive No. 4335-U of 31.03.2017 On setting the limits for transactions of joint-stock companies and limited liability companies, above which such transactions may be recognized as non-arm's length transactions.

Explanatory notes:

ANNEXES

This Report is to be published by the Company pursuant to the Articles 52 and 81 of the Federal Law On Joint-Stock Companies No. 208-FZ of 26.12.1995. The report is to be included in the package (of materials) to be distributed for information purposes to the persons entitled to participate in the Company's Annual General Meeting of Shareholders.

Information on the major transactions carried out by the Company in the year under review:

In 2022, the Company carried out no transactions that would be treated as major transactions under the Federal Law On Joint Stock Companies No. 208-FZ of 26.12.1995.

INTERNAL DOCUMENTS

Regulations on the HR and Remuneration Committee of the Board of Directors of PJSC TATNEFT n.a. V.D. Shashin
Regulations on the Sustainable Development and Corporate Governance Committee of the Board of Directors of PJSC TATNEFT

PJSC TATNEFT n.a. V.D. Shashin Policy on Sustainable Development and Interaction with Stakeholders

— Regulations on the Information Disclosure to Shareholders of PJSC TATNEFT n.a. V. D. Shashin
— Regulations on the Insider Information of PJSC TATNEFT n.a. V.D. Shashin
— Regulations on the TATNEFT Group
— Anti-Corruption Policy of PJSC TATNEFT n.a. V.D. Shashin
— Cybersecurity and Cyber Resilience Policy
— Integrated Management System Policy of the TATNEFT Group
— Health, Safety and Environmental Policy of PJSC TATNEFT n.a. V.D. Shashin with considerations to climate change

GRI INDEX

The Integrated Annual Report has been prepared in accordance with GRI 2021 Standards and Industry Standard GRI 11: Oil and Gas Sector 2021.

The Report was generated in accordance with the principles of sustainable development, completeness, balance, comparability, accuracy, timeliness, clarity, and verifiability. The list of significant topics is presented in the Significant Topics and Stakeholders section.

GRI 2 021 s tanda rd Indic ator C ode	Indic ator D escri ption	Comm ents	Repo rt pag e
2	Gene ral D isclo s (GR I 202 1) sure
2 - 1	Orga nizat ional deta ils		11
2 - 2	Entiti es in clude d in t he or ganiz ation 's sus taina bility rting repo		3
2 - 3	Repo rting perio d, fre d con tact p oint quen cy an		3
2 - 4	Resta f info rmati teme nts o on	Due to th e dis l of t he ti mple posa re co x, ell a s the tic a cqui sitio d syst as w ema n an disp osal of p rodu ction the b ets, ass ase indi cato n be lcula ted f year rs ca reca or data bility com para	41-4 2, 18 3
2 - 5	Exter nal a ssura nce		3
2 - 6	Activ ities, value chai d oth er bu sines n, an s relati onsh ips		-16, 65, 113 11, 15
2 - 7	Empl oyee s		149- 150
2 – 8	Work ho ar e not loyee ers w emp s	All th e Co orke yroll mpa ny w rs ar e pa loye emp es
2 -9	Gove and ositio e stru cture rnanc comp n		80, 8 2, 86 , 90, 97,10 4
2 - 1 0	Nom inatio n and sele ction of th e hig hest gove rnanc e body		84
2 -11	Chai r of th e hig hest e bod gove rnanc y		85
2 -12	Role of the high est g body in ov ing overn ance ersee the m t of im pacts anag emen		21, 2 2, 85 , 93- 94, 97, 1 01-1 02,1 19- 122, 175
2 -13	Deleg ation of re sibilit y for ging impa cts spon mana		104
2 - 1 4	Role of the high est g body in su stain abilit overn ance y rting repo		3, 7, 142 141-
2 -15	Confl icts o f inte rest		131
2 – 1 6	Com muni catio n of c ritica l con cerns		85, 9 8-10 2
2 – 1 7	Colle ctive know ledge of th e hig hest gove rnanc e body		85
2 -18	Evalu ation of th form of th e hig hest e per ance e bod gove rnanc y		95-9 6
2 -19	Rem tion p olicie unera s		106
2 - 2 0	Proce ss to deter mine tion rem unera		106- 107
2 -21	Annu al tot al co satio n rati mpen o	The infor mati on is disc lose d for not confi dent iality reas ons
2 -2 2	State ment ustai nable deve lopm ent s trateg on s y		19, 2 1-26
2 -23	Polic mitm ents y com		21-2 2,13 0-13 1, 248
2 -24	Embe dding polic mitm ents y com		130- 131,1 33
2 - 2 5	Proce medi egati ve im to re ate n pacts sses		136- 137
2 -26	Mech anism s for seek ing a dvice and raisin g conc erns		136-1 37

GRI 2 021 s tanda rd Indic ator C ode	Indic ator D escri ption	Comm ents	Indus try Stand ard GRI 1 1: Oi l and Gas S ector 2021 Indic ator C ode	Repo rt pag e
2 -27	Com plian ith law s and lation ce w regu s	No s ignifi f non plian cant cas es o com ce with laws d du ring the r rting occ urre epo perio d
2 - 2 8	Mem bersh ip ass ociat ions			165, 175, 2 48
2 - 2 9	Appr oach to st akeh older nt enga geme			7, 115 -116, 117-1 18
2 – 3 0	Colle ctive barg ainin ents g ag reem			158-1 59
UN G C Princ iple 3
RUIE — 3 .1.4
3	GRI 202 Mat eria l Top ics ( 1)
3-1	Proc ess t o de term ine m ater ial to pics			7
3-2	List o f ma teria l top ics			8
3-3	Man f ma teria l top ics ent o agem	The main hes in th e fie ld app roac of m ial to pics ater ent a man agem re disc lose d in the r ctive tions of espe sec the R rt epo
	Env iron tal p rote ctio sts men n co			180-1 81
OG6 ,	Ass ocia ted petr oleu s ut iliza tion m ga			191
UN G C Princ iples 8,9
	MAT ERIA L TO PICS
	GHG issio em ns		11.1
3-3	Man ent o f ma teria l top ics agem		11.1. 1	171, 1 75, 1 83
302	Ener gy (G RI 20 16)
302- 1 UN G C Princ iples 7, 8 — 2 .2 RUIE	Ener mpti ithin the nizat ion gy c onsu on w orga		11.1. 2	215-2 18
302- 2	Ener mpti utsid e of the gy c onsu on o nizat ion orga		11.1. 3	217
302- 3	Ener gy in tens ity		11.1. 4	218
305	Emis sion s (GR I 201 6)
305- 1	ct (S 1) G HG e Dire miss ions cope		11.1. 5	184
UN G C 7, 8 Princ iples
RUIE - 2. 5
305- 2	Ener gy in direc t (Sc 2) G HG e miss ions ope		11.1. 6	184
305- 3 305 - 4	Othe r ind irect (Sc 3) G HG e miss ions ope GHG emi ssio ns in tens		11.1. 7 8 11.1.	185 186
	ity Occ		11.9
	tion al he alth and saf ety upa
3-3	Man f ma teria l top ics ent o agem		11.9. 1	162-1 64
403 403- 1	Occu patio nal H ealth and Safe ty (G RI 20 18) Occ upat iona l hea lth a nd s afety ent man agem syste m		11.9. 2	163-1 64
403 – 2	Haza rd id entifi catio n, ris k ass ent, and essm incid ent i tigat ion nves		11.9. 3	164
RUIE — 3 .1.5, 3.1.6 , 3.1 .7, 3 .1.8
403- 3	Occ iona l hea lth s ervic upat es		11.9. 4	166
403- 4	Wor ker p artic ipati ltatio d on, c onsu n, an icati tiona l hea lth a nd com mun on o n oc cupa safe ty		11.9. 5	166
403- 5	Wor ker t raini tiona l hea lth a nd ng o n oc cupa safe ty		11.9. 6	166
403- 6	Prom otion of w orke r hea lth		11.9. 7	161, 2 43-24 7

GRI 2 021 s tanda rd Indic ator C ode	Indic ator D escri ption	Comm ents	Indus try Stand ard GRI 1 1: Oi l and Gas S ector 2021 Indic ator C ode	Repo rt pag e
403- 7	f occ Prev entio d mi tigat ion o upat iona l n an heal th an d sa fety impa cts d irect ly lin ked by busi rela tions hips ness		11.9. 8	161, 2 43-24 7
403- 9	Wor k-re lated inju ries		11.9. 10	168, 169
403- 10	Wor k-re lated ill he alth		11.9. 11	168, 169
	Digi taliz atio d cy bers rity n an ecu
3-3	Man ent o f ma teria l top ics agem			137-1 38
	Eco ic im ts nom pac		11.1 4
3-3	Man f ma teria l top ics ent o agem		11.14 .1	221-2 22
201	Econ omic Perf (GRI 2016 ) orma nce
201- 1	Dire ct ec ic va lue g ated and onom ener		11.14 .2	16
RUIE — 1 .2, 1 .3, 1.4, 1.5, 1.6, 1.7	distr ibute d
202	Mark et Pr ce (G RI 20 16) esen
202- 2	Prop ortio n of seni nt hi red f or m anag eme rom the l ocal ity com mun	Due to th e lac k of ified hodo logy met a un , crite ria fo r sel ectin g da ta fo r cal cula ting this indic and tech nica l limi tatio ator ns of ac ting l sys , it is tems coun pers onne ently ible llect relia ble not to co curr poss data	11.14 .3
203	Indir mic i cts ( GRI 2 016) ect e cono mpa
203- 1	Infra struc ture inve stme nts a nd s ervic es orte d supp		11.14 .4	223, 228- 230
204	Proc ent p racti ce (G RI 20 16) urem
204- 1	Prop ortio n of ding on l ocal plier spen sup s		11.14 .6	70
	Emp loym tice ent prac s		11.1 0
3-3	Man ent o f ma teria l top ics agem		11.10 .1	147-1 48
401	Emp loym ent ( GRI 2 016)
401- 1	New loye e hir nd e mplo turn emp es a yee over		11.10 .2	150
UN G C Princ iple 6
RUIE — 3 .1.2, 3.1.
401- 2	Ben efits ided to fu ll-tim ploy that prov e em ees ot pr ovid ed to tem part -time are n pora ry or loye emp es		11.10 .3	160
401- 3	Pare ntal leav e		11.10 .4	151
402	Labo r/Ma t Rel ation s (GR I 201 6) nage men
402- 1	Mini noti eriod ardin mum ce p s reg g ratio nal c hang ope es		11.10 .5	160
404	(GRI 2016 Train ing a nd E duca tion )
404- 1	Aver hour s of train ing p age er ye ar pe r		11.10 .6	153
UN G C Princ iple 6	loye emp e
RUIE - 3.1 .10
404- 2	Prog for u ding loye e sk ills a nd rams pgra emp ition istan trans ass ce p rogr ams		11.10 .7	154-1 55
414	Sup r So plie cial Ass ent essm	The lier e valu ation syst supp em w as	11.10 .8
		2022 deve lope d an d eff ecte d in late . In 2023 Com , the plan s to intro duce pany the E SG c ertifi catio cedu re fo n pro r liers supp	11.10 .9
	Inno vati ons
3-3	Man ent o f ma teria l top ics agem			55
	Air e miss ions		11.3
3-3	Man ent o f ma teria l top ics agem		11.3. 1	171, 1 75

305 Emissions (GRI 2016)

GRI 2 021 s tanda rd Indic ator C ode	Indic ator D escri ption	Comm ents	Indus try Stand ard GRI 1 1: Oi l and Gas S ector 2021 Indic ator C ode	Repo rt pag e
305- 7 UN G C 7, 8 Princ iples RUIE —2 .6	O ), (SO Nitro oxid es (N sulfu r oxi des ), gen and othe r sig nific ant a ir em issio ns	The doe t use siste nt com pany s no per nic p ollut ants doe s it g ate orga , nor ener them . The sha re of haz ardo ir us a pollu in th e Co ny's emis sion s is tants mpa insig nific ant	11.3. 2	189
416- 1	Asse ent o f the hea lth a nd s afety imp acts ssm of pr oduc t and ice c ateg ories serv		11.3. 3	57-59 , 72-7 4
	Loca l com ities mun		11.1 5
3-3	Man ent o f ma teria l top ics agem			42 141-1
413	Loca l com ities (GRI 2016 ) mun
413- 1	Ope ratio ith lo cal c unity ns w omm ent, impa ct as ts, a nd enga gem sess men deve lopm ent p rogr ams		11.15 .2	224
	Ass et in ity a nd c ritic al in cide tegr nt t man age men		11.8
3-3	f ma Man ent o teria l top ics agem		11.8. 1	162-1 65
306	Efflu ents and Was te ( GRIP 202 0)
306- 3	Sign ifica nt sp ills		11.8. 2	165
	Cult ural and ial p roje cts soc
3-3	Man ent o f ma teria l top ics agem			221-2 23, 2 40-24 1
	Clim ate ada ptat ion, ilien and res ce, tran sitio n		11.2
3-3	Man f ma teria l top ics ent o agem		11.2. 1	171-1 76
201	Econ omic Perf (GRI 2016 ) orma nce
201- 2	Fina ncia l imp licat ions and othe r risk d s an rtun ities due to cl imat e ch oppo ange		11.2. 2	24,44 ,47,17 8-179 , ие 2 прил ожен «Клю чевы е риск и»
305	Emis sion s (GR I 201 6)
305- 5	Red uctio n of GHG emi ssio ns		11.2. 3	187-1 88
UN G C Princ iple 8
	Was te		11.5
3-3	Man ent o f ma teria l top ics agem		11.5. 1	171, 1 75
306	Was te (G RIP 2 020)
306- 1	Was tion and sign ifica te ge nt wa ste nera relat ed im pact s		11.5. 2	200- 203
306- 2 UN G C Princ iple 8 РСП П — 2.8	Man ent o f sig nific ant w aste -rela ted agem impa cts		11.5. 3	200- 203
306- 3	Was ted te ge nera		11.5. 4	200- 203
UN G C Princ iple 8
RUIE — 2 .9

GRI 2 021 s tanda rd Indic ator C ode	Indic ator D escri ption	Comm ents	Indus try Stand ard GRI 1 1: Oi l and Gas S ector 2021 Indic ator C ode	Repo rt pag e
306- 4	Was te di verte d fro m di al spos	Com The imp leme nted the pany reus e	11.5. 5
UN G C 8 Princ iple		of w aste for i ts in tend ed p urpo se (recy cling ), the volu f rec yclin me o g in 20 22 a to 3 092 nted .4 to mou nnes (haz ardo 1801 .1 to us - nnes , non haza rdou s - 1 291. 3 ton nes)
		Out of th of re e tot al am ount cycl ed uired by G RI st anda rds, data wast e req is dis clos ed (s ately for h dous epar azar and haza rdou ste) on d ispo sal non- s wa n fac ilities and by t he th ird p artie at ow s, ell a s da cling ta on at o as w recy wn facil ities . Oth er br eakd not own s are disc lose d, si the a nting is nce ccou base d on istica l rep ortin g for ms N stat o. 2-TP (wa ste) , whi ch d t req uire the o no ndin g bre akdo corr espo wns
306- 5	Was te di d to disp osal recte		11.5. 6	202- 203
UN G C Princ iples 8, 9
	You th p olicy
3-3	Man ent o f ma teria l top ics agem			147-1 48, 1 56-15 7
	Wat nd e fflue nts er a		11.6
3-3	Man f ma teria l top ics ent o agem		11.6. 1	171, 1 75, 1 92
303 303- 1	Wate r and efflu ents (GR I 201 8) Inter actio n wit h wa ter a hare d res s a s ourc e		11.6. 2	192
303- 2	Man f wa ter d isch -rela ted ent o		11.6. 3	193-1 94
	agem arge impa cts
303- 3	Wate r wit hdra wal		11.6. 4	193-1 96
UN G C 7, 8 Princ iples
RUIE — 2 .3
303- 4	Wate r dis char ge		11.6. 5	198
303- 5	Wate ption r con sum		11.6. 6	193-1 96
	Cha rity
3-3	Man ent o f ma teria l top ics agem			221-2 22, 2 25-2 27
	Anti ion rupt -cor		11.2 0
3-3	Man f ma teria l top ics ent o agem		11.20 .1	67-68 ,133- 134,1 36
205	I 201 Anti- uptio n (GR 6) corr
205- 1	Ope ratio sed for r isks relat ed to ns a sses		11.20 .2	134-1 35
UN G C Princ iple1 0	uptio corr n
205- 2	Com icati nd tr ainin g ab nti out a mun on a		11.20 .3	134-1 35
UN G C Princ 10	uptio licies and cedu corr n po pro res
iple 205- 3	Con firme d inc iden ts of ion a nd cor		11.20 .4	134-1 35
UN G C	rupt actio ns ta ken
Princ iple 10
	Desc ribe the a ach to co ntrac t ppro trans incl udin pare ncy, g: – wh ethe tract d lic mad r con s an ense s are e publ icly a nd, i f so, whe re th blish ed ey a re pu – if c ontra cts o r lice not p ublic ly nses are avai lable , the on fo r this and acti reas ons take n to mak e the blic in th e fut m pu ure	.fedr www esur s.ru	11.20 .5
	List t he o izatio n's b enefi cial rgan own ers and expl ain h ow t he o izatio n ide ntifie rgan s the b enefi cial f bus ines rtne own ers o s pa rs, inclu ding join t ven ture d su pplie s an rs	PJSC TAT NEF T n.a . V.D . Sha shin has no bene ficia l own ers i cord with n ac ance the i nterp retat ions of th plica ble e ap legis latio n.	11.20 .6
		Deta iled infor mati n the stru cture on o of th e sh apita l is d isclo sed in are c rdan ith th e leg islat ion o f acco ce w the R ussia n Fe dera tion on th e offi cial

website www.tatneft.ru

GRI 2 021 s tanda rd Indic ator C ode	Indic ator D escri ption	Comm ents	Indus try Stand ard GRI 1 1: Oi l and Gas S ector 2021 Indic ator C ode	Repo rt pag e
	Biod iver sity		11.4
3-3	Man ent o f ma teria l top ics agem		11.4. 1	171,17 5,207
304	Biod ivers ity (G RI 20 16)
304- 1	Ope ratio nal s ites ed, l d, m ed own ease anag		11.4. 2	209
UN G C Princ iple 8	in, o r adj d are nd a t to, prot ecte acen as a reas of hi gh b iodiv ersit lue o utsid d tecte y va e pro area s
304- 2	Sign ifica nt im s of activ ities duct d pact , pro s an		11.4. 3	208
UN G C Princ iple 8	ices on b iodiv ersit serv y
304- 3	Hab itats prot ecte d or resto red		11.4. 4	210-2 11
UN G C Princ iple 8
304- 4	IUCN Red List ies a nd n ation al spec		11.4. 5	209
UN G C	tion list s peci ith h abita ts in cons erva es w
Princ iple 8	s aff ecte d by ratio area ope ns
	TOP ICS DEE MED INS IGN IFIC ANT Duri ng th alys is, it aled that e an was reve the s take hold ers d id no ogni al t rec ze s ever topic s of GRI 11 O il&G as 2 021 Stan dard as sign ifica nt. T he C belie hat t hese ves t omp any topic ulate d in deta il by natio nal s are reg legis latio d do need add ition al not n an latio n by inte rnal dard s. Th ith, stan regu erew oach es to thes e top ics a rtiall appr re pa y disc lose d in this Rep ort.
	Non -dis crim inat ion a nd e l qua nity ortu opp		11.1 1
405	al (G RI 20 16) Dive rsity and Equ
405- 1	Dive rsity of g ning bod ies a nd e mplo over yees		11.11 .5	98,14 9-150
405- 2	Ratio of b asic sala d rem ation ry an uner		11.11 .6	151-1 52
406	Non- disc rimin ation (GR I 201 6)
406- 1	Incid ents of d iscri mina tion and ectiv corr e		11.11 .7	147
UN G C 6 Princ iple	actio ns ta ken
	Free dom of a iatio d co llect ive ssoc n an barg aini ng		11.1 3
407	Free dom of a iatio d co llect ive ssoc n an barg aini ng ( GRI 201 6)			158,1 59
407- 1	Ope ratio nd s uppl iers in wh ich t he ri ght ns a to fr eedo m of ocia tion and colle ctive		11.13 .2	67-68
UN G C 3 Princ iple	ass barg ainin y be at ri sk g ma
	Pub lic p olicy		11.2 2
415	Publ ic po licy (GRI 2016 )
415- 1	Polit ical c ibuti ontr ons	In ac cord with inte rnal latio ance regu ns, the C is no t inv olve d in the omp any activ ities of po litica l par ties and nd d not d irect ly nts a mov eme oes or in direc tly p rovid y fin anci al e an assis tanc e.	11.22 .2
	Con flict and urity sec		11.1 8
410	016) Secu rity p racti ces ( GRI 2
410- 1	Sec urity el tra ined in h n rig hts per sonn uma polic edur y or proc es		11.18 .2	155
	Pay ts to ents men gov ernm		11.2 1
	Econ omic perf (GRI 2016 ) orma nce
201- 1 RUIE 1.2, 1.3, —	Dire ct ec ic va lue g ated and onom ener distr ibute d		11.21 .2	15-16

GRI 2 021 s tanda rd Indic ator C ode	Indic ator D escri ption	Comm ents	Indus try Stand ard GRI 1 1: Oi l and Gas S ector 2021 Indic ator C ode	Repo rt pag e
201- 4	Fina ncia l ass istan ceiv ed fr om t he ce re nt gove rnme		11.21 .3	64
207	Tax ( GRI 2 019)		11.21
207- 1	App h to tax roac		11.21 .4	63
207- 2	Tax ontr ol, a nd ri sk gove rnan ce, c ent man agem		11.21 .5	63
207- 3	Stak ehol der e nt an d ma t ngag eme nage men of co lated to ta ncer ns re x		11.21 .6	63
	Clos and reh abil itati ure on		11.7
	Land and e rig hts res ourc		11.1 6
	Add ition al se ctor disc losu res:	No c of fo rced relo catio n of loca l ases ities or in divid uals rred com mun occu follo wing the deci sion s wit hin t he fram rk of land issu es in the ewo Com 's ac tivitie pany s.	11.16 .2
	– Lis t the loca tions of o tions that sed pera cau ntrib uted to in volu ntary ttlem ent or co rese here h res ettle t is o ngoi or w suc men ng. For e ach loca tion, des cribe how ples ' peo re af fecte liveli hood d hu righ ts we d s an man and red resto
	Anti titiv e be havi - co mpe or		11.1 9
	Anti- petit ive b ehav ior (G RI 20 16) com
206- 1	Lega l act ions for a nti-c etitiv e be havio omp r, anti- , and ly pr actic trust mon opo es	For t he p eriod from 202 0 to 2022 , the Com has aled viola tions not pany reve any of th timo ly leg islat ion, ther e an nopo e are ignifi fine cant no s s.	11.19 .2
	Righ f ind igen ples ts o ous peo		11.1 7
3-3	Man ent o f ma teria l top ics agem		11.17 .1	242
411	Righ ts of indi ople s (GR I 201 6) geno us pe
411- 1 UN G C Princ iples 1, 2 RUIE — 3 .2.3	Incid of v iolat ions invo lving righ ts of ents indig ople enou s pe s	In 20 22, t here flicts with wer e no con the i ndig ople d no enou s pe s an cas es of vi olati affec ting the r ights of ons indig ople d sm all et hnic enou s pe s an ities com mun	11.17 .2
	Add ition al se ctor disc losu res List t he lo catio f ope ratio here ns o ns w indig ople sent ffect ed enou s pe s are pre or a by a ctivit ies o f the aniz ation org		11.17 .3	242
	Forc ed l abo d m ode lave r an rn s ry		11.1 2
3-3	Man f ma teria l top ics ent o agem		11.12 .1	67
414	Supp lier s ocia l ass ent ( GRI 2 016) essm
414- 1	New plier s tha t we ed u sing sup re sc reen soci al cr iteria	The lier e valu ation syst supp em w as 2022 deve lope d an d eff ecte d in late . In 2023 Com , the plan s to intro duce pany SG c the E ertifi catio cedu re fo n pro r liers supp	11.12 .3	67
	Add ition al in dica tors of t hem atic GR I stan dard flec ted in th e Re port s re
202- 1	Ratio of th e sta ndar d en tryle vel w by age gend red t o the loca l min imum er co mpa wag e			151-1 52
201- 3	Defin ed b enefi t pla n ob ligat ions and othe r retire t pla men ns			160
RUIE — 1 .8
301- 1	Mate rials used by w eigh t or v olum e			75
301- 2	Recy cled inpu t ma teria ls us ed			75
301- 3	Rec laim ed p rodu nd th eir p acka ging cts a rials mate			75
302- 4 UN G C	Red uctio n of mpti ener gy c onsu on			214-2 15
Princ iples 8, 9
305- 6 UN G C	Emis sion s of e-de pleti ubst ozon ng s ance s S) (OD	The Com doe t use pany s no ozo ne dep letin bsta n ind ustri al g su nces on a scal r doe s it p rodu ce th e, no em

GRI 2 021 s tanda rd Indic ator C ode	Indic ator D escri ption	Comm ents	Repo rt pag e

408	Child Lab or	The Com follo he n of ws t pany orms Russ ian a nd in ation al law and doe tern s not u se fo rced puls or ch ild , com ory, labo r	147
409	Forc ed o r Co lsory Lab mpu or		147
416- 2	Incid of n lianc ning the ents on-c omp e co ncer heal th an d sa fety impa f pro duct d cts o s an ices serv		72-74
417- 1	Req uirem for p rodu d se rvice ents ct an infor mati nd la belin on a g		72-74
2 417-	Incid ents of n lianc ning on-c omp e co ncer prod uct a nd s ervic e inf ation and labe ling orm		72-74
417- 3	Incid ents of n lianc ning on-c omp e co ncer mark eting icati com mun ons		72-74
418	Cust r Priv ome acy		72-74

Principles 7, 8

TCFD INDEX

TCFD Reco	Place ment in th e Rep ort (page ber) num
1.	Cor te G pora ove rnan ce
1.1	Role of th e Bo ard o f Dir ecto rs in seei lima te-re lated risk d op port uniti over ng c s an es	175- 176
1.2	Role of m nt in essi nd m ing c lima lated risk d op uniti te-re port anag eme ass ng a anag s an es	175- 176
2.	Stra tegy
2.1	Com Desc riptio n of shor t-, m ediu nd lo ng-t clim ate- relat ed ri sks a nd o tunit ies id entifi ed b y the m-, a erm ppor pany	21-2 4
2.2	Desc riptio n of the i ct of clim ate- relat ed ri sks a nd o tunit ies o n the bus ines s, st rateg d fin anci al mpa ppor y, an plan ning of th e Co mpa ny	21-2 4
2.3	f the of th e Co Asse ent o taina bility ny's strat takin g int t var ious clim ate- relat ed s rios, ssm sus mpa egy o ac coun cena inclu ding nario s of incre by 4 °C a nd 2 °C. tem ture sce pera ase	21-2 4

3.	Clim ate risk t man age men
3.1	n of of id entifi t of c Desc riptio the p catio d as lima te ris ks roce sses n an sess men	119- 124, 178 177-
3.2	Desc riptio n of clim ate r isk m nt pr anag eme oces ses	177- 178
3.3	Desc riptio n of the i nteg ratio n of the p of id entifi catio t, an d ma t of c lima te ris ks roce sses n, as sess men nage men into the o ll risk ent s yste vera man agem m	178 177-
4.	Met rics and targ ets
4.1	Com Desc riptio n of the i ndic ators d by the to a s clim ate- relat ed ri sks a nd o tunit ies in use pany sses ppor rdan ith it s ris k ma t stra tegy and acco ce w nage men pro cess es	183- 186
4.2	Disc losu re of info rmat ion o enho emis sion s by Sco pe 1 , 2, 3 and rela ted r isks n gre use gas	183- 186

GS	—	Gas Stat ion, fuel fillin tion g sta
JSC	—	Join t Sto ck C omp any
BMP	—	Bug ulma Mec hani cal P lant (a st ral s ubdi visio n of PJSC TAT NEF T) ructu
GOS T	—	Natio nal S tand ard
HPP	—	Hydr oele ctric ation er st pow
CHC	—	Child ren's holi day cam p
EU	—	Euro Unio pean n
KPI	—	Key perf indi cato orm ance rs
MIC EX	—	k Cu Mos Inte rban cy E xcha cow rren nge
IFRS	—	Inter natio nal F inan cial Rep ortin g Sta ndar ds
VER T	—	Volu ntee team r em erge ncy resp onse
NGD U	—	Oil a nd G as F ield Ope ratin g Div ision (a s ural subd ivisio n of PJSC TAT NEF T) truct
WPT	—	wind fall p rofits tax
MET	—	Mine ral e tion xtrac tax
VAT	—	Valu e-ad ded tax
R&D	—	Rese arch and dev elop t men
NNP F	—	Natio nal N onst ate P ensi on F und
STC	—	Scie and Tech nolo gy C ente nce r
UN	—	Unite d Na tions
LLC	—	Limit ed L iabil ity C omp any
NCA	—	Natu vatio re co nser n are a
OEC D	—	Orga nizat ion f or Ec ic Co ratio d De velo nt onom ope n an pme
PJSC	—	Publ ic Jo int S tock Com pany
HSE	—	Hea lth, S afety , and Env ironm ent
APG	—	Asso ciate d pe trole um g as
RUIE	—	Russ ian U nion of In dust rialis d En ts an trep rene urs
RT	—	Rep ublic of T atars tan
RF	—	Russ ian F eder ation
Med ia	—	Mas dia s me
CS RMI	—	al Co l Sys Risk Man ent a nd In tern ntro tem agem

LIST OF ABBREVIATIONS

GRI TCFD

I N

TH	—	Trad ing h ouse
TTH	—	Trad d tec hnol hous e an ogy e
toe	—	e of Tonn oil e quiv alen t
FEC	—	Fuel and lex ene rgy c omp
TPP	—	Ther mal er pl ant pow
MC	—	Man ent c agem omp any
PFTF for R PM	—	JSC Proc Fluid Trea tme nt Fa cility for R voir Pres Mai nten (a s ubsi diary of P ess eser sure ance TATN EFT)
TNG PD	—	Tatn efteg botk a Div ision (a s ural subd ivisio n of PJSC TAT NEF T) truct azpe rera
SDG	—	Sust aina ble d evel ent g oals opm

CONTACT INFORMATION

PUBLIC JOINT STOCK COMPANY TATNEFT NAMED AFTER V.D. SHASHIN

Hea dqu arte rs:	Con tac t pe n fo r th e In teg rate d R rt: rso epo
75 L enin a St r., 4 234 50 A lme sk, Rep ubli c of Tat tyev arst an, Rus sian Fed ion erat	D.M . Ga miro v, C Sec rate reta orpo ry
Tele pho +7 ( 855 -3) 4 5-64 -92 ne:	Tele pho +7 ( 855 3) 3 7-61 -01 ne:

Auditor:

Registrar:

Eurasian Registrar, LLC

Russian Federation

Representative Office in Moscow:

17 Tverskoy Boulevard, 123104 Moscow, Russian Federation

Telephone: +7 (495) 937-55-78

Representative Office in Kazan:

71 K. Marksa Street, Kazan, Republic of Tatarstan, Russian Federation

Telephone +7 (843) 533‒83‒12

For shareholders:

Office of the Corporate Secretary

Telephone: +7(8553)37-37-39, 37-39-27, 37-60-27 299

Joint Stock Company Technologies of Trust – Audit

Moscow, Russian Federation

Telephone: +7 (495) 967-60-00

Telephone: +7 (8553) 22-10-88

10 Butyrsky Val Street, White Square Business Center 125047

10 Mira Street, 423450 Almetyevsk, Republic of Tatarstan,

Company website:www.tatneft.ru

AI Terminal

Tatneft-3

6410_10-k_2023-06-13_480892ad-78b9-42cf-8ce8-58e916d35493.pdf

TABLE OF CONTENTS

SUSTAINABLE DEVELOPMENT...........................140Sustainable Development..............................................................

PROMOTION OF SOCIAL DEVELOPMENT............220

APPENDIX

ABOUT THE REPORT

GRI 2-2, 2-3, 2-5, 2-14

◎

◎

◎

◎

As a methodological basis, when preparing the Report, we focus on:

◎ IPIECA Guidelines for Voluntary Reporting on Sustainable Development in Oil and Gas Sector

ISO 26000 Guidance on Social Responsibility

◎

◎

REPORTING PRINCIPLES

SUSTAINABLE DEVELOPMENT CONTEXT

ACCURACY

BALANCE

CLARITY

COMPARABILITY

COMPLETENESS

TIMELINESS

VERIFIABILITY

SIGNIFICANT TOPICS AND STAKEHOLDERS

IV Identification of material topics required to be IIIdisclosed in the Report

ABOUT THE COMPANY

GRI 2-1, 2-6

COMPANY'S MISSION

KEY OBJECTIVE OF THE COMPANY

OUR GLOBAL REACH

OUR RESOURCES (CAPITALS)*

OPERATIONAL

The development of the Company's business model is based on:

INTELLECTUAL 3,235

NATURAL

STRATEGIC REPORT

GRI 2-22

We are summarizing the year 2022 in which the changes in the global system are further unfolding.

ADDRESS OF THE GENERAL DIRECTOR, THE CHAIRMAN OF THE MANAGEMENT BOARD

SUSTAINABLE DEVELOPMENT STRATEGY

OUR VALUES

MANAGEMENT APPROACH

a set of internal regulations has been put into effect to regulate sustainable

◎

◎

developed the ESG roadmap

◎

MANAGEMENT

UPDATE OF STRATEGY 2030 GRI 201-2

The Company's ultimate goal is to ensure the growth of the Group's value by managing risks of the sustainable development agenda and introducing effective transformation approaches to achieve leadership in this respect

◎

◎

INTEGRATION OF THE SUSTAINABLE DEVELOPMENT GOALS

UN SUSTAINABLE DEVELOPMENT GOALS NAVIGATOR

ENVIRONMENTAL

STRATEGIC GOALS

RESULTS FOR 2022

7.1, 7.2, 7.3, 7a, 7i

STRATEGIC GOALS

RESULTS FOR 2022

UN SUSTAINABLE DEVELOPMENT GOALS NAVIGATOR

ENVIRONMENTAL

12.2, 12.4, 12.5, 12.6, 12.8

STRATEGIC GOALS

increase in the share of recycled and reused waste by up to 50% by 2025, up to 70% by 2030

RESULTS FOR 2022

SDG 13

STRATEGIC GOALS

RESULTS FOR 2022

PLANS FOR 2023

PLANS FOR 2023

UN SUSTAINABLE DEVELOPMENT GOALS NAVIGATOR

ENVIRONMENTAL

SDG 15

15.1, 15.2, 15.3, 15.4, 15.5, 15.8, 15a, 15b

STRATEGIC GOALS