Last Updated: Jan 15 2009 - Able2Act


Fact Sheet for West Siberian Resources Ltd.

Industry: Oil & Gas
Country: BMU
Contact: Clarendon House, 2 Church StreetHamilton, Bermuda, Phone: +7-095 723 0718
Management: Maxim Barski , Managing Director ; Vyacheslav Pershukov , Chief Technical Officer ; Eric Forss , Chairman of the Board ; Ekaterina Sapozhnikova , ACCA, Finance Director, Rustam Khasanov , VTK and Alexandrov Refinery General Director - Dmitry Degtyariov , Pechoraneft General Director ; Alexander Karataev , VTK Chief Engineer and Khvoinoye General Director ; Konstantin Povstyanoy - WSR Head of Business Development ; Oleg Makhno - Saneco General Director Vladimir Kuraev , WSR Chief Legal Officer
Homepage: http://www.westsiberian.com/
Comments: West Siberian Resources Ltd's primary objective is to create shareholder value through growth in oil reserves and production. The company strives to become a considerably larger independent exploration and production company with an increasing ability to grow from internally generated opportunities. Over the last three years, WSR has focused on establishing a solid basis for further growth and on positioning WSR for capitalising on the vast opportunities available to the company. The corner stones of this position are:An under-exploited asset base of oil reserves with significant long-term growth opportunities A track record of finding, structuring and closing value-adding acquisitions A high performing management and operational team Operational capacity and financial flexibility WSR's objective is to further expand in the current and new regions through development, exploration and acquisitions. The long-term strategy focuses on enhancing the value of the existing assets, improving profitability and identifying and acquiring assets with proven reserves with development and exploration potential.Exploiting the asset baseWSR's base of long life oil reserves provides for continued growth in production towards a peak of 75,000 barrels of oil per day in the next decade. The asset base also contains exploration opportunities that could significantly affect reserve numbers and production targets. In order to exploit the asset base, WSR will continue to increase production while maintaining a firm grip on controllable operating costs and through efficient investment in development and exploration drilling, improving existing and adding new infrastructure and implementing operating efficiencies. Proven technologies like water injection, horizontal drilling, hydrofracturing and acid treatment will continue to be employed.Acquiring exploitation opportunitiesAcquisitions have been and will remain a core element in the growth strategy. WSR constantly reviews acquisition opportunities in Russia and CIS. The objective is to acquire proven oil reserves and development and exploration opportunities that are not of primary strategic interest to Russia's larger oil companies. WSR reviews license and company acquisitions, license auctions and merger opportunities that are likely to provide economically attractive development and exploration opportunities with acceptable risk profiles and potential synergies with existing operations.In 2006, WSR formed a separate business development team for reviewing acquisition opportunities and concluded two strategic acquisitions with a total fair value of MUSD 295.50. Through these acquisitions the company entered the Volga-Urals region and significantly expanded its presence in the Timano-Pechora region.Maintaining financial flexibilityProduction growth provides for financial growth which creates room to continue to capitalize on business opportunities. WSR's objective is to maintain a solid balance sheet and financial flexibility, and has a targeted long-term debt to EBITDA ratio of 3.0. The board is constantly reviewing long-term financing options and evaluating capital market opportunities.Forming strategic alliancesWSR seeks to develop strategic alliances in all areas of the business operation. The objective of such alliances are to facilitate increases in reserves and production, strengthened marketing activities, improved access to capital, and efficiently operating in all regions.In 2006, WSR formed a strategic alliance with Repsol YPF seeking to increase both companies' oil and gas reserves and production through acquisitions and investment projects. Under the alliance, Repsol YPF provides technical expertise to WSR. Repsol YPF holds 10 per cent of the shares of WSR. West Siberian Resources Ltd (WSR) is an independent oil company incorporated in Bermuda and operating assets in Russia. The business concept is to produce oil, develop oil fields, and conduct oil exploration. WSR's exploration and production assets provide a combination of current oil production with significant low-risk development and exploration potential. The company operates in three of Russia's most oil-rich regions: Tomsk in Western...

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